An online calculator to calculate the total savings, given the principal \( P \), the annual interest rate \( r \), and the number of compoundings per year, is presented below.
Compounding Formula
If an amount \( P \) (principal) is invested at the annual rate \( r \) and is compounded \( n \) times a year, the amount at the end of \( t \) years is given by the compounding formula:
\[ A = P \; \left(1 + \frac{r}{n} \right)^{n \times t} \]Enter the principal (total amount to be invested), the annual interest rate, the number of years, and the compounding frequency (number of compoundings per year) to calculate potential returns on your investment.