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Printed August 25, 2026 · https://trycleartally.com/cd-calculator
Estimates for educational purposes only — not financial advice. See https://trycleartally.com/disclaimer.
CD Calculator
An APY already includes compounding, so frequency doesn't change the total.
Value at maturity
After 3 yrs
Interest earned
Deposit
Effective APY
As entered
Growth over time
Assumes the CD is held to maturity at a fixed rate and interest stays in the account. Early withdrawal penalties, promotional/bump-up terms, and taxes on interest aren't modeled — CD interest is generally taxable in the year it's credited. Estimate only, not financial advice.
CD Worksheet
Value at maturity
$28,529.15
Assumes the CD is held to maturity. Early-withdrawal penalties and taxes not modeled. Not financial advice.
Calculated using the standard formulas described at https://trycleartally.com/methodology — for educational estimates only, not a quote or financial advice. Verify with your lender or financial institution before making decisions.
See what a certificate of deposit will be worth at maturity and how much interest it earns — from your deposit, the rate, and the term.
Reviewed by the ClearTally editorial team · Last updated July 17, 2026 · Methodology & sources
Comparing a CD against other savings? The compound interest calculator handles regular contributions, and the savings goal calculator works backward from a target date.
How it works
A certificate of deposit is a simple trade: you lock a lump sum away for a fixed term and the bank pays a fixed rate in return. Nothing is added along the way, so the whole result comes from compounding one deposit: maturity = deposit × (1 + APY)years. Because the rate is locked, a CD is one of the few places where the projected number is what you actually get — assuming you leave it alone until maturity.
The wrinkle worth understanding is APY versus the interest rate. APY is the effective annual yield — it already folds compounding in, which is exactly why banks advertise it and why you can compare two CDs on APY alone. A nominal rate doesn't: 5% compounded monthly isn't 5% a year, it's about 5.12%. Switch the rate type above and you'll see the compounding dropdown appear only when it actually changes the answer.
Example:$25,000 in a 3-year CD at 4.50% APY matures at about $28,529 — roughly $3,529 of interest. That beats a flat 4.5% a year ($3,375) by about $154, because each year's interest earns interest of its own.
FAQ
The interest rate is the raw rate; APY (annual percentage yield) is what you actually earn over a year once compounding is counted. A 5% rate compounded monthly works out to about 5.12% APY. Banks advertise CDs in APY precisely so you can compare offers directly — two CDs at the same APY pay the same at maturity no matter how often they compound. That's why this calculator only asks how often it compounds when you enter a nominal rate.
You'll usually pay an early withdrawal penalty, commonly a set number of months' interest — often around three months on a short CD and six months or more on a longer one. It's a bank term, not a federal rule, so the exact penalty is in your CD's disclosure. On a young CD the penalty can eat into your principal, not just the interest. That's the real cost of a CD's higher rate: the money isn't liquid, so only commit what you won't need before maturity.
Generally yes, as ordinary income. Interest is typically taxable in the year it's credited to your account — even if you leave it in the CD and don't touch it — and your bank reports it on a Form 1099-INT. That means a multi-year CD can create a tax bill each year before you ever see the money. This calculator shows pre-tax figures, so your after-tax return will be lower depending on your bracket.
CDs at an FDIC-insured bank are about as safe as saving gets: deposits are insured to at least $250,000 per depositor, per insured bank, per ownership category (credit unions carry equivalent NCUA coverage). The risk with a CD isn't losing the money, it's opportunity cost — locking in a rate before rates rise, or tying up cash you end up needing early and paying a penalty to reach.
They solve different problems. A CD locks your rate for the term, which is valuable if rates are falling but a drag if they climb; a high-yield savings account stays liquid but its rate can change any day. A common approach is to keep the emergency fund liquid and use CDs only for money with a known date attached — a down payment 18 months out, say. If you're saving toward a specific target, our savings goal calculator works out the monthly amount you'd need.