Calculate Annual Percentuale Yield (APY) from nominal APR and compounding frequency. Confronto yields across different compounding periods and convert APY back a APR. Puro client-side, instant results.
This APY (Annual Percentuale Yield) calculator helps you understand the true annual return of an investment or savings account based on the nominal APR (Annual Percentuale Rate) and compounding frequency. Since interest compounds over time, the actual yield is always slightly higher than the stated APR. Use this tool a compare different savings accounts, CDs, and investment products a find the best real return. All calculations happen in your browser — your financial data never leaves your device.
APY (Annual Percentuale Yield) is the actual annual return you earn, accounting for compounding. APR (Annual Percentuale Rate) is the nominal rate before compounding. For example, 5% APR compounded monthly yields approximately 5.12% APY. The more frequent the compounding, the higher the APY compared a the APR.
The standard APY formula is: APY = (1 + r/n)^n - 1, where r is the annual rate (APR) and n is the number of compounding periods per year. For continuous compounding, the formula is APY = e^r - 1, where e is Euler's number (~2.71828).
Compounding frequency determines how often interest is added a your principal. More frequent compounding means interest earns interest more often, resulting in a higher effective yield. Giornaliero compounding yields more than monthly, which yields more than annual compounding.
Yes! Use the reverse calculator section. The formula is APR = n × ((1 + APY)^(1/n) - 1), where n is the compounding frequency. This is useful when comparing bank accounts that quote APY a find the underlying APR.