CD rate calculator
See your balance at maturity and the interest earned if you keep your CD for the full term. Enter your deposit and APY, then set the term in months. The result uses the APY you enter and does not subtract an early withdrawal penalty.
Result
- Balance at maturity
- $10,400.00
- Interest earned
- $400.00
How it works
Over a full year, your deposit grows by the APY you enter. For other terms, the calculator applies the equivalent monthly growth once for each month, with no added contributions. The inputs take APY, which already includes compounding, so the result does not depend on compounding frequency. Changing the compounding dropdown has no effect. The APY stays constant throughout the calculation. An early withdrawal penalty is not modeled, and the result assumes you hold the CD for the term you entered.
Frequently asked questions
What's the difference between APY and interest rate?
APY reflects the total interest paid over a 365-day period, including compounding. The interest rate is the annual rate paid without reflecting compounding. Use the APY for this calculation.
Is CD interest taxable?
The IRS lists CD interest as taxable interest. You generally include it when received or available without a substantial penalty. Interest payments of $10 or more should bring Form 1099-INT or Form 1099-OID, but you must report your interest even if no form arrives.
Are CDs covered by FDIC insurance?
CDs at FDIC-insured banks are covered up to $250,000 per depositor, per FDIC-insured bank, for each account ownership category. All deposits in the same ownership category at that bank count together. A separate CD does not create a separate coverage limit.
What happens if I withdraw my CD money early?
Early withdrawal penalties depend on your account terms. The OCC says federal law sets a minimum penalty but no maximum. Review your account agreement for how the penalty is calculated and when it applies; this calculator does not subtract one.
What is a CD ladder?
A CD ladder splits the money you're comfortable locking away equally across several CDs with different maturity dates. Those different dates can give you more flexibility. At maturity, you can cash in a CD or roll its balance into a new CD.
Are credit union share certificates insured?
The NCUA administers the Share Insurance Fund, which covers share certificates at federally insured credit unions. Single ownership accounts with no beneficiaries are insured up to $250,000 per member-owner. Confirm federal insurance, since some state-chartered credit unions use private insurers.