When it comes to calculating interest, there are two basic choices -- simple and compound. Simple interest simply means a set percentage of the principal every year, and is rarely used in practice. On ...

Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Suzanne is a content marketer, writer, and fact-checker. She holds a Bachelor ...

Brian Beers is a digital editor, writer, Emmy-nominated producer, and content expert with 15+ years of experience writing about corporate finance & accounting, fundamental analysis, and investing.

Compound interest grows by reinvesting earnings, creating larger interest over time. Increasing compounding frequency (e.g., monthly) can significantly accelerate investment growth. Compound earnings ...