[et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”4.16″ global_colors_info=”{}” theme_builder_area=”post_content” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on” da_disable_devices=”off|off|off”][et_pb_row admin_label=”row” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”4_4″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||” theme_builder_area=”post_content”][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
Compound interest is an important financial concept to understand. Unlike simple interest, which is applied to the principal sum only, compound interest is applied periodically to the principal sum plus the interest already accrued. In other words, both the principal sum and the interest accrued grow with each period.<\/p>\n
Whether you\u2019ve taken a loan or made an investment, if compound interest is applied, you need to know how to calculate it. Fortunately, you can do this easily and quickly in Google Sheets using the compound interest formula; additionally, the CAGR formula in Google Sheets can be used to calculate the compound annual growth rate.<\/p>\n
In this article, you will learn how to set up a simple template to calculate the final amount of an investment where interest is compounded. By changing the value of one cell, you can change the compounding frequency – yearly, monthly, daily, or whichever periodicity you want to use. The last section adds monthly contributions to the same template.<\/p>\n
[\/et_pb_text][et_pb_text module_id=”what-is-compound-interest” _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
With compound interest, the accumulated interest is added to the principal sum. This means that the interest will be calculated on a larger principal sum in the next period. Unlike simple interest, which is always calculated based on the initial amount, compound interest is periodically compounded, so the compounding frequency can have a significant impact on your finances.<\/p>\n
Imagine you’ve invested $1,000 with simple interest of 10% per year. By the end of the first year, you’ll have $1,100. By the end of the second year, you’ll have $1,200. What would happen if you made the same investment but with annually compounded interest? At the end of the first year, you’d still have $1,100, but at the end of the second year, you’d have $1,210.<\/p>\n
Essentially, with compound interest, you\u2019re reinvesting your profits and earning further interest on that larger sum. The frequency with which interest is compounded can vary greatly, from yearly to daily. The more frequently interest is compounded, the greater the final amount will be. In the next section, you will learn how to set up your own compound interest calculator in Google Sheets.<\/p>\n
[\/et_pb_text][et_pb_text module_id=”how-to-calculate-compound-interest-in-go” _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
The compound interest formula calculates the final amount of an investment:<\/p>\n
\nF = P*(1+r\/n)^(n*y)<\/p>\n<\/blockquote>\n
In this formula:<\/p>\n
\n
- F =<\/strong> final amount<\/li>\n
- P =<\/strong> principal sum (the amount originally invested)<\/li>\n
- r =<\/strong> annual interest rate<\/li>\n
- n =<\/strong> number of compounding periods per year<\/li>\n
- y =<\/strong> number of years<\/li>\n<\/ul>\n
The rate r is the nominal annual rate, before compounding. Savings accounts often advertise an APY, which already includes compounding, so convert it to a nominal rate before you use it here. The NOMINAL function does the conversion: see how to find the nominal interest rate in Google Sheets<\/a>.<\/p>\n
You can easily set up a simple template in Google Sheets with the relevant variables. In the following sections, I will use the same values for all variables except the number of compounding periods per year. This way, you\u2019ll see how the frequency of compounding – yearly, monthly, daily – affects the outcome, even when all other variables have the same values.<\/p>\n
1.<\/strong> Set up a table like the one shown below, with the variable names clearly indicated to avoid confusion when you change the input.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-table.webp” alt=”Compound interest calculator in Google Sheets \u2014 table with labels for principal sum, annual interest rate, compounding periods per year, years and final amount” title_text=”Table with labels for principal sum, annual interest rate, compounding periods per year, years and final amount” align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
2.<\/strong> Click on the cell for the value of the principal sum, then format it as currency. Below, cell B1.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-currency-format.webp” alt=”Compound interest calculator in Google Sheets \u2014 cell B1 selected for the principal sum, with the currency format button highlighted” title_text=”Cell B1 selected for the principal sum, with the currency format button highlighted” align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
3.<\/strong> Click on the cell for the value of the annual interest rate, then format it as a percentage. In my example, B2.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-percent-format.webp” alt=”Compound interest calculator in Google Sheets \u2014 cell B2 selected for the annual interest rate, with the percent format button highlighted” title_text=”Cell B2 selected for the annual interest rate, with the percent format button highlighted” align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
4.<\/strong> Click on the cell where you want to have the “Final Amount” value and type in the formula =B1*(1+B2\/B3)^(B3*B4), as shown below.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-formula-google-sheets-typed.webp” alt=”Compound interest formula in Google Sheets \u2014 =B1*(1+B2\/B3)^(B3*B4) typed in cell B5″ title_text=”=B1*(1+B2\/B3)^(B3*B4) typed in cell B5″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
5.<\/strong> When you press Enter, you will see a \u201c#DIV\/0!\u201d error, as the relevant cells are currently empty. It will disappear as soon as you start filling in values for the variables.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-div0-error.webp” alt=”Compound interest formula in Google Sheets \u2014 #DIV\/0! error in B5 while the input cells are empty” title_text=”#DIV\/0! error in B5 while the input cells are empty” align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
How to calculate interest compounded annually<\/h3>\n
Follow the steps below to calculate the final amount for an investment where interest is compounded annually.<\/p>\n
1.<\/strong> In the template, fill in the value for the \u201cPrincipal Sum\u201d. In my example, \u201c$10,000\u201d in cell \u201cB1\u201d, is formatted as a currency.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-principal-10000.webp” alt=”Compound interest in Google Sheets \u2014 principal sum of $10,000.00 entered in cell B1″ title_text=”Principal sum of $10,000.00 entered in cell B1″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
2.<\/strong> Fill in the value for the \u201cAnnual Interest Rate\u201d. Below, \u201c8%\u201d in cell \u201cB2\u201d, which is formatted as a percentage.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-rate-8-percent.webp” alt=”Compound interest in Google Sheets \u2014 annual interest rate of 8.00% entered in cell B2″ title_text=”Annual interest rate of 8.00% entered in cell B2″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
3.<\/strong> Since I want to use annual or yearly compounding, there will only be \u201c1\u201d compounding period per year. Below, cell \u201cB3\u201d.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-one-period-per-year.webp” alt=”Interest compounded annually in Google Sheets \u2014 1 compounding period per year in B3 and a final amount of $10,000.00″ title_text=”1 compounding period per year in B3 and a final amount of $10,000.00″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
4.<\/strong> Fill in the value for \u201cN\u00ba Years\u201d. In my example, \u201c10\u201d in cell \u201cB4\u201d.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-10-years.webp” alt=”Interest compounded annually in Google Sheets \u2014 10 years in B4 and a final amount of $21,589.25″ title_text=”10 years in B4 and a final amount of $21,589.25″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
5.<\/strong> That\u2019s it. The final amount for this example is \u201c$21,589.25\u201d, in cell \u201cB5\u201d.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-annual-result.webp” alt=”Interest compounded annually in Google Sheets \u2014 final amount of $21,589.25 selected in cell B5″ title_text=”Final amount of $21,589.25 selected in cell B5″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
How to calculate interest compounded monthly<\/h3>\n
Let\u2019s see how the \u201cFinal Amount\u201d for the same investment varies when I use monthly compounding, instead of yearly.<\/p>\n
1.<\/strong> Click on the cell with the \u201cN\u00ba Compounding Periods per Year\u201d value. Below, \u201cB3\u201d. For monthly compounding, the value should be \u201c12\u201d.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-monthly-12-periods.webp” alt=”Interest compounded monthly in Google Sheets \u2014 12 compounding periods per year in B3 and a final amount of $22,196.40″ title_text=”12 compounding periods per year in B3 and a final amount of $22,196.40″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
2.<\/strong> That\u2019s it. You have the final amount for your investment with monthly compounding. In my example, “$22,196.40” in cell “B5”.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-monthly-result.webp” alt=”Interest compounded monthly in Google Sheets \u2014 final amount of $22,196.40 selected in cell B5″ title_text=”Final amount of $22,196.40 selected in cell B5″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
How to calculate interest compounded daily<\/h3>\n
Finally, let\u2019s calculate the final amount for the same investment when interest is compounded daily.<\/p>\n
1.<\/strong> Click on the cell with the \u201cN\u00ba Compounding Periods per Year\u201d value. Below, \u201cB3\u201d. For daily compounding, the value should be \u201c365\u201d.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-daily-365-periods.webp” alt=”Interest compounded daily in Google Sheets \u2014 365 compounding periods per year in B3 and a final amount of $22,253.46″ title_text=”365 compounding periods per year in B3 and a final amount of $22,253.46″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
2.<\/strong> That\u2019s it. You have the final amount for your investment with daily compounding. In my example, “$22,253.46” in cell “B5”.<\/p>\n
[\/et_pb_text][et_pb_image src=”https:\/\/static.sheetgo.com\/wp-content\/uploads\/2026\/10\/compound-interest-google-sheets-daily-result.webp” alt=”Interest compounded daily in Google Sheets \u2014 final amount of $22,253.46 selected in cell B5″ title_text=”Final amount of $22,253.46 selected in cell B5″ align=”center” _builder_version=”4.22.2″ _module_preset=”default” width=”100%” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_image][et_pb_text module_id=”compound-interest-with-monthly-contribut” _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
Compound interest with monthly contributions<\/h2>\n
Most savings plans keep adding money after the first deposit. To add a fixed amount at the end of each month, type Monthly Contribution in A6 and the amount in B6, say $200, then enter this formula in B7:<\/p>\n
\n=B1*(1+B2\/12)^(12*B4)+B6*((1+B2\/12)^(12*B4)-1)\/(B2\/12)<\/p>\n<\/blockquote>\n
The first part grows the principal, as before. The second part adds up the deposits and the interest each one earns. The formula uses 12 instead of B3 because it assumes interest compounds monthly, on the same schedule as the deposits. With $10,000 at 8% for 10 years and $200 a month, the final amount is $58,785.61. You paid in $34,000 of that, and the other $24,785.61 is interest.<\/p>\n
Google Sheets also has a shortcut for this calculation, the FV function: =FV(B2\/12,12*B4,-B6,-B1) returns the same $58,785.61. The principal and the contributions go in as negative numbers because they’re money you pay in. For every argument and more examples, see the FV formula in Google Sheets<\/a>.<\/p>\n
[\/et_pb_text][et_pb_text module_id=”conclusion” _builder_version=”4.22.2″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
Conclusion<\/h2>\n
As you have seen, there\u2019s a big difference between simple and compound interest. Given the same initial investment of $10,000 at an annual interest rate of 8% for 10 years, simple interest gives you $18,000. Compound interest gives you $21,589.25 compounded annually, $22,196.40 monthly, and $22,253.46 daily.<\/p>\n
You now know how to set up and use a compound interest calculator in Google Sheets. By changing the value for a single cell, you can calculate the final amount using different compounding frequencies – yearly, monthly, or daily.<\/p>\n
To work the numbers the other way, the RATE formula<\/a> finds the interest rate that turns one amount into another, the PV formula<\/a> tells you how much to invest today to reach a target, and the PMT formula<\/a> works out the regular payment.<\/p>\n
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Utilisez la formule des int\u00e9r\u00eats compos\u00e9s dans Google Sheets pour voir comment votre \u00e9pargne cro\u00eet avec une capitalisation annuelle, mensuelle ou quotidienne, puis ajoutez des versements mensuels.<\/p>","protected":false},"author":2,"featured_media":263173,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[54],"tags":[],"class_list":["post-263158","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-google-sheets-formulas"],"acf":[],"permalink_manager":null,"_links":{"self":[{"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/posts\/263158","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/comments?post=263158"}],"version-history":[{"count":0,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/posts\/263158\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/media\/263173"}],"wp:attachment":[{"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/media?parent=263158"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/categories?post=263158"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sheetgo.com\/fr\/wp-json\/wp\/v2\/tags?post=263158"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}