The Cities with the Highest Vacancy Rates
The three top cities are located in the Sunshine State.
Use the free simple savings calculator below to determine how fast your savings investments can grow with compound interest. You can find more information on savings interest rates, yield and compounding below!
Never settle for looking at the yield and growth on just one savings account or investment tool. You should always shop around and explore at least several different account or investment options before you choose the one that’s the best fit for you.
This comparison should even (and especially) be run on your basic savings account! Most people just opt to open a savings account at the same bank or credit union where they maintain a checking account. There may be benefits to having both accounts at one financial institution, such as overdraft protection.
However, just because you have an account in place to take advantage of those benefits, it doesn’t mean that this should be the primary account where you save. If the rate isn’t good (and it’s probably not), shop around to see what kinds of other savings accounts are available. Money Market Accounts tend to have better growth and yield, but often require a higher minimum balance.
With that in mind, use the personal savings calculator above and run several tests to compare growth on your account, check account requirements, then open the best account for your needs.
Many savings and investment tools have an interest rate that gets applied to the money you initially deposit and any additional contributions you make. Here’s a quick explanation of how interest rates work on savings account and what “compounding” means to saving interest calculations.
You have two options for $5,000 investment – Option 1 has 3.5% APY and compounds quarterly, while Option 2 has 5% APY but compounds annually.
Which option gives you better growth over a 5-year time period?
a. Option 1
b. Option 2Reveal Answer
After 5 years the balance for Option 1 is $5,951.70, meaning you earned $951.70 on your investment. Meanwhile the return on Option 2 is $1,381.41 so your ending balance after five years is $6,381.41. That makes Option 2 the better option if all other factors are equal.Return to question