How to calculate compound interest: formula and examples
Learn how to calculate compound interest with its formula, a step-by-step example and the effect of compounding frequency and regular contributions.
· 2 min read
Personal finance guides and tips
Educational guides on personal finance. Informational content, not professional advice.
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Simple vs. compound interest: the differences
Compare simple and compound interest with their formulas and the same example over 1, 10 and 20 years, and see when each one is used.
· 1 min read
How to calculate a loan payment
Calculate a loan's monthly payment with the standard amortization formula, a worked example and the effect of the term, interest rate and APR on the total cost.
· 2 min read
How to create a monthly budget
Build your monthly budget in four steps: net income, expenses by category, balance and savings rate, with an example and the 50/30/20 rule.
· 1 min read
What is ROI and how is it calculated?
What ROI means, its formula with costs included, a worked example and why it's worth calculating the annualized return too.
· 1 min read
How inflation affects purchasing power
Understand how inflation erodes purchasing power, with the formula, a 10-year example, the rule of 72 and its effect on your savings.
· 1 min read