ROI vs Compound Interest

Return on a lump sum vs growing savings over time

ROI calculators answer “what did I earn on this investment?” Compound interest answers “what if I keep contributing?” They complement each other for portfolios and savings plans.

ROI calculator

Percent return between start and end value, including optional cash flows.

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Compound interest

Future value with recurring contributions and compounding frequency.

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Bottom line

Use ROI for a finished bet or property flip; use compound interest for 401(k), ISA, or monthly investing habits.

FAQ

Can ROI and compound interest give the same answer?
For a single deposit with no contributions, they can align. With monthly savings, compound interest is the better model.
Do these include inflation?
Run our inflation calculator separately to translate nominal results into purchasing power.

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