APY Calculator
Work out annual percentage yield from interest rate and compounding frequency with this free APY calculator in your browser.
Enter Values
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How to use this calculator
- Enter the nominal rate and how often it compounds.
- Press Calculate.
How it works
APY = (1 + rate ÷ n)^n − 1, where n is how often it compounds — the true yearly return once compounding is counted.
Worked example
12% compounded monthly. ≈ 12.68% APY.
Common mistakes
- Comparing a nominal (APR) rate to an APY — APY includes compounding and is higher.
- Using the wrong compounding frequency.
Frequently asked questions
What's the difference between APR and APY?
APR is the nominal rate; APY (effective annual rate) includes compounding, so it's higher for the same nominal rate.
Does more frequent compounding help?
Yes, slightly — daily compounding gives a marginally higher APY than monthly or yearly.
Related tools
- Compound Interest Calculator
- Rule of 72 Calculator
- Savings Rate Calculator
- CAGR Calculator
- Simple Interest Calculator
- Future Value Calculator
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Cite this tool
Zerdly. (2026). APY Calculator. Retrieved from https://www.zerdly.com/tools/apy-calculator/
Tip: Enter any known values to calculate the remaining results.
Designed to run locally in your browser. Tool inputs are not intentionally stored by Zerdly unless stated otherwise.