So if you wanted to put $3,000—with no additional deposits—into a high-yield savings account earning 2% that compounds monthly (12 periods within a year), the APY formula would look like this.

Since APY includes compound interest, the calculations are a bit more complicated than the basic interest rate. The formula for calculating compound interest is A = P(1 + r/n)^nt. A is the amount ...

However, if you don’t know the APY, you can use the pure interest rate and compounding frequency. Here’s the formula in case you want to try it yourself: Your initial deposit = $1,500 But this ...

Here is the formula for compound interest ... Interest in savings accounts Average savings rates offer 0.41% APY, and average CD rates pay 0.25% to 1.78% APY, according to the FDIC.