CD Calculator

A certificate of deposit (CD) is a federally insured savings product that pays a fixed APY (annual percentage yield) over a set term—often 3, 6, 12, 24, or 60 months. You agree to leave the money in the CD until maturity; withdrawing early usually triggers a penalty. Our calculator takes your principal, APY, and term in months and shows the maturity value and total interest earned, using monthly compounding (common for CDs).

When CDs make sense

CDs are low-risk and predictable—good for money you know you will not need until a specific date (e.g., a down payment in two years or an emergency fund tier). When rates are high, CD yields can compete with or beat savings accounts. The tradeoff is liquidity: you lock up the money. For flexible savings with compound growth over long periods, try our compound interest calculator or savings growth calculator; for retirement, use our retirement calculator.

CD laddering

Some savers “ladder” CDs—e.g., buy 12-, 24-, 36-, and 48-month CDs so that one matures each year. That gives a mix of liquidity and often higher rates than a single short-term CD. Use this calculator to see the outcome for each rung, then add them up for your ladder.