Effective annual interest calculator

Effective annual interest rate is calculated as (1+i_month)^12 − 1. Use the stated system boundary and matching input units.

i_{\text{eff}} = \left(1 + i_{\text{month}}\right)^{12} - 1

Calculator

Enter the values you know and leave one box empty. Calculate finds the empty one, the result or any input.

Given

i_{\text{eff}} = \left(1 + 0.01\right)^{12} - 1 \approx 0.1268

Symbol	Meaning	Unit
$i_{\text{eff}}$	effective annual interest rate	—
$i_{\text{month}}$	monthly compound interest rate	—

Results are estimates for study and screening. Check the inputs, units and assumptions before you use them for design, billing or contract decisions.