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Savings interest calculator
Use our free savings compound interest calculator to see how much interest you could earn, and check out current rates.
Key takeaways
- Use this calculator to see how compound interest helps your savings grow over time.
- Many high interest accounts require specific monthly deposits or transactions to earn the maximum rate.
- Current Australian savings accounts often offer maximum variable interest rates above 4.5% per annum.
Savings interest calculator
How to use the savings calculator
- Enter your initial deposit: This is how much you plan to put into the account immediately.
- Enter how much you plan to contribute each month
- Enter the interest rate your savings account currently offers (or if you don't yet have one, compare current rates below).
- Enter how many years you plan to stick to this savings plan
You'll then see how much interest you can earn. See how much more you can earn by increasing your monthly contributions slightly.
Our expert says
"When using the savings calculator, keep in mind that it assumes you've met any account conditions to earn the full interest rate.
Many savings accounts will have a monthly deposit requirement in order to earn interest, sometimes as high as $1,000. Make sure you check what this is before opening the account."
How do I calculate interest on my savings?
The money in your savings account benefits from compound interest to help it grow. This means you will earn interest on your interest.
For example, let's say you had a balance of $100,000 in your account with a savings interest rate of 5.00% p.a. The 5.00% p.a. rate will be applied to your balance which results in $5,000 interest. However, this is an annual rate, while savings accounts pay interest monthly. So, dividing the annual amount of interest earned by 12 leaves you with $416.66 in interest for the first month.
Now, let's pretend that you don't add any more money into the account other than your initial $100,000 deposit. Going into month 2 you now have a balance of $100,416.66. When calculating your interest for the month, the rate is applied to your whole balance (including the interest payment!). This time, your monthly interest payment is $418.40 - slightly more than in month 1.
This continues month on month, and as you're earning more interest each month, your balance is getting bigger. Because your balance is getting bigger, you're earning even more interest.
Compound interest allows you to grow your money without even depositing anything extra. However, most savings accounts will require you to deposit a certain amount each month in order to earn the high interest rate.
Don't want to meet a monthly deposit condition? Look at savings accounts with no conditions to meet, or see how much interest you could earn with our term deposit calculator instead.
Current savings account interest rates
Compare other products
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How we picked theseHow the Finder Score helps you find a better savings account
The Finder Score is a simple score out of 10. The higher a savings account's score, the better we think it is for the average customer.
We score each savings account in our database of hundreds based on a data-driven methodology with 2 main criteria: Does the account offer a high interest rate? And is it easy for savers to actually earn that rate?
Frequently asked questions
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I want to dump 100,000 into a bank account and not have to do anything like deposit or withdrawal so pretty much set and it and forget it and let it build as much money as possible without having to do anything. What type of account is this and which bank has the best return for 5 years..and how much money can I expect my account to grow by each year?
Hi Bonnie,
Most high interest savings accounts have at least one condition of making a deposit, or making a deposit of a minimum amount each month, but you can satisfy this condition by setting up a direct debit, so you can ‘set and forget’. For instance, the Suncorp Bank Growth Saver Account pays interest of 5.05% provided you grow your balance by at least $200 per month (and make no withdrawals). You review a number of options that might suit your needs here.
Keep in mind that interest rates will change regularly, especially as the RBA is expected to lower rates over the next 12-18 months – economists predict rates to come down by 1-1.5% in that period. If you wish to lock in a higher rate now for that period, you could look at a long-term term deposit for 5 years. There are no conditions so you can set and forget, although you can’t access this money for any reason during that period (if you do, penalty fees and lost interest will apply).
Hope this helps!
Looking for a high interest savings account.
Hi Adrian,
Thank you for getting in touch with Finder.
You may compare high-interest savings accounts using our comparison table. Once you’ve chosen a provider, you may click the “Go to site” button to be redirected to the bank’s official website to get more details or start your application.
Please make sure though to read the eligibility criteria, features, and details of the account, as well as the relevant PDS/ T&Cs of the account before making a decision and consider whether the product is right for you.
I hope this helps.
Thank you and have a wonderful day!
Cheers,
Jeni
What is my credit score ?
Hi Elizbeth,
Thanks for leaving a question on Finder.
You may refer to our step-by-step guide to getting your free credit score with Finder.
Please send me a message if you need anything else. :)
Cheers,
Joel
My wife invested 0n 08.05.2002 the sum of $A600,000 in a term deposit for 90 days with the
interest of 4.13%.She died shortly after, before the expiry of first maturity period.
The money remained with the Bank until now. What is the value of the investment now?
I need your answer to claim the money from the Australian Bank.
Your answer will be appreciated.
Sever
Hi Sever,
Thank you for your inquiry.
Our company finder.com.au is a financial comparison website and general information service designed to help consumers to make a better decision. Please note we do not represent any company we feature on our pages.
With regards to this matter, it would be nice if you can coordinate this directly with the bank. As they have the specific access to your wife’s account. This way, they can further check the information for you and provide the current status of the account.
I hope this information has helped.
Cheers,
Harold
History of Banks term Deposit Interest Rate since 1992?
Hi JimP,
Thank you for your inquiry.
I’m afraid we don’t have that data as of this time. However, what you can do is compare term deposit accounts and once you’re done comparing, you can then get in touch directly with your chosen bank and ask them directly for a historical interest rates record.
I hope this information has helped.
Cheers,
Harold