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Home/Calculators/Savings Interest Calculator
Free calculator

High-Yield Savings Interest Calculator

How much does your money actually earn in a high-yield savings account? Enter a starting balance, monthly deposit, and APY to see a year-by-year projection of your interest and balance.

Final balance

$28,960

after 5 years

Total deposited

$25,000

your own money in

Interest earned

$3,960

free money from APY

YearTotal depositedCumulative interestBalance
1$13,000$483$13,483
2$16,000$1,114$17,114
3$19,000$1,899$20,899
4$22,000$2,846$24,846
5$25,000$3,960$28,960

Assumes interest compounds monthly at the stated APY and deposits arrive at the end of each month. Savings rates are variable — banks can change your APY at any time.

What this calculator does

It simulates a savings account month by month: interest compounds on your balance at the APY you enter, and your monthly deposit is added at the end of each month. The results split your final balance into money you deposited versus interest the bank paid you — the number that makes the difference between a 0.01% megabank account and a 4%+ high-yield account painfully obvious.

The APY gap is enormous

$10,000 earns about $1 a year at 0.01% — and over $400 a year at 4.25%. Over five years with monthly deposits, the gap compounds into thousands of dollars for zero extra effort or risk, since both accounts are equally FDIC-insured (verify yours with our FDIC insurance calculator).

Keep expectations honest

Savings APYs are variable — they follow the Fed. If you want a locked rate, compare with our CD vs savings calculator. And to know whether your rate is beating inflation at all, check the inflation calculator.

Frequently asked questions

How much interest will $10,000 earn in a high-yield savings account?

At a 4.25% APY, about $425 in the first year with monthly compounding. At the 0.01% many large banks pay on standard savings, the same $10,000 earns roughly $1. Use the calculator above for your exact numbers and timeline.

How often do savings accounts compound interest?

Most compound daily and credit monthly. The advertised APY already includes the effect of compounding, so two accounts with the same APY earn the same regardless of compounding frequency.

Can my APY change after I open the account?

Yes — savings APYs are variable and banks adjust them whenever they like, usually tracking Federal Reserve rate moves. Only CDs lock a rate for a fixed term.

Is interest from savings accounts taxable?

Yes. Interest is taxed as ordinary income in the year it's credited; your bank sends a 1099-INT if you earn $10 or more. This calculator shows pre-tax earnings.

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Wondering if your bank is safe in the first place? Check its health grade or compare two banks.