APY Calculator - Convert APR to APY and Back, With Earnings

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APY Calculator

See the true yearly return once compounding is counted

Your rate
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APR
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APY
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Difference
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Final balance
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Interest earned
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Enter a rate to convert between APR and APY.

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Both Directions

Turn a quoted APR into the APY you actually earn, or work back from an APY to the APR behind it.

Any Compounding

Annual, semiannual, quarterly, monthly, weekly, daily or continuous: see how more frequent compounding lifts the yield.

Earnings Preview

Enter a deposit and a number of years to see the final balance and the interest earned.

Full Privacy

Everything is calculated in your browser.

APR Versus APY

APR is the simple yearly rate; APY includes the effect of compounding, meaning interest earning interest. A 5% APR compounded monthly grows to an APY of 5.116%, and compounded daily to 5.127%. Savings accounts advertise APY because it is the higher and more honest figure for what you earn, while loans usually quote APR.

The formula is APY = (1 + APR ÷ n)ⁿ − 1, where n is the number of compounding periods a year, and with continuous compounding it is eAPR − 1. The gap widens with higher rates and more frequent compounding, so it matters most for high-yield accounts and credit cards.

Key Takeaways

  • Exact: Results are checked against independent calculations.
  • Round trips: Converting there and back returns the rate you started with.
  • Optional deposit: Leave the deposit empty to see rates only.
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