CalcQuick · APY

APY Calculator

Choose the direction, enter a rate and select how often interest compounds. The result shows the one-year effect of compounding without adding fees.

Reviewed and updated:
Annual percentage yield5.1162%Compounding-only rate conversion; fees and legal disclosure rules are not included.

01

How to use this calculator

  1. Enter your values using the units shown.
  2. Review the result, which updates instantly.
  3. Check the formula and assumptions before using the number for a decision.

02

Formula and assumptions

APY = (1 + r ÷ n)^n − 1. For continuous compounding, APY = e^r − 1. Reverse conversion: r = n((1 + APY)^(1/n) − 1).

03

Worked example

A 5% nominal annual rate compounded monthly has an APY of about 5.116%. With annual compounding, the nominal rate and APY are both 5%.

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Sources and scope

These references support the formula or category guidance. CalcQuick remains responsible for the calculator implementation.

FAQ

Frequently asked questions

What is the difference between APY and a nominal interest rate?

The nominal rate states the annual rate before the effect of within-year compounding. APY includes that compounding effect over one year.

Does this APY include account fees?

No. This calculator converts rates using compounding only. Legal disclosure measures in some countries can include fees and other costs.

Can I convert APY back to a nominal rate?

Yes. Choose the reverse mode and the compounding frequency to calculate the equivalent nominal annual rate.