CD Calculator

Calculate interest earned, APY, and maturity value for a Certificate of Deposit.

Typical CD Rates by Term (2026)

Representative rates from top online banks. Rates change frequently — check current offers before opening.

TermTypical APY$10K Earns (at maturity)Min. Deposit
3 months4.75%+$116.69$500
6 months5.00%+$246.95$500
1 year5.00%+$372.70$1,000
18 months4.75%+$475.00$1,000
2 years4.50%+$682.54$1,000
3 years4.25%+$868.06$1,000
4 years4.00%+$1,248.64$1,000
5 years4.00%+$1,698.59$1,000

CD Earnings at 5% APY

Deposit6 months1 year2 years5 years
$1,000+$24.70+$50.00+$102.50+$276.28
$5,000+$123.48+$250.00+$512.50+$1,381.41
$10,000+$246.95+$500.00+$1,025.00+$2,762.82
$25,000+$617.38+$1,250.00+$2,562.50+$6,907.04
$50,000+$1,234.75+$2,500.00+$5,125.00+$13,814.08
$100,000+$2,469.51+$5,000.00+$10,250.00+$27,628.16

CD vs High-Yield Savings Account (HYSA) — When to Use Each

FeatureCertificate of Deposit (CD)High-Yield Savings Account
Interest rateFixed for term — locked inVariable — can change anytime
LiquidityLocked until maturity (3 mo–5 yrs)Withdraw anytime, no penalty
Early withdrawalPenalty (typically 3–6 months interest)None
FDIC insuranceYes — up to $250,000Yes — up to $250,000
Typical APY (2024–25)4.5%–5.25% (shorter terms)4.5%–5.0%
Minimum deposit$500–$1,000 at most banks$0–$100
Best forMoney you won't need for 6–24 monthsEmergency fund, short-term goals
RiskNone (FDIC-insured)None (FDIC-insured)

Bottom line: Use a CD when you can commit to the term and want a guaranteed locked-in rate. Use an HYSA for your emergency fund or any money you may need within 3 months.

CD Ladder Strategy — Get Liquidity Without Sacrificing Rate

A CD ladder splits your deposit across multiple terms so one CD matures every 6–12 months. You get higher long-term rates plus regular access to cash.

Example: $20,000 split into 5 CDs ($4,000 each)

CDTermRate (APY)Interest EarnedMatures
CD 16 months4.9%+$976 months from now
CD 212 months5%+$2001 year from now
CD 318 months4.85%+$29518 months from now
CD 42 years4.75%+$3892 years from now
CD 53 years4.6%+$5783 years from now

When each CD matures, renew it as a new 3-year CD at the back of the ladder. After 3 years, you have a CD maturing every 6–12 months indefinitely.

CD Earnings at Different APY Rates — $10,000 Deposit

APY3 months6 months1 year2 years5 years
3.00%+$74.17+$148.89+$300.00+$609.00+$1,592.74
3.50%+$86.37+$173.49+$350.00+$712.25+$1,876.86
4.00%+$98.53+$198.04+$400.00+$816.00+$2,166.53
4.50%+$110.65+$222.52+$450.00+$920.25+$2,461.82
5.00%+$122.72+$246.95+$500.00+$1,025.00+$2,762.82
5.25%+$128.74+$259.14+$525.00+$1,077.56+$2,915.48
5.50%+$134.75+$271.32+$550.00+$1,130.25+$3,069.60
6.00%+$146.74+$295.63+$600.00+$1,236.00+$3,382.26

How to Calculate CD Interest — Step by Step

CDs (Certificates of Deposit) earn compound interest at a fixed rate. Your return depends on APY, term length, and compounding frequency.

  1. 1
    Understand APY vs APR. APY (Annual Percentage Yield) already accounts for compounding — it's what you actually earn. APR is the stated rate before compounding. Most CDs advertise APY. Example: 5.00% APY on $10,000 = $500 interest after 1 year.
  2. 2
    Calculate CD maturity value. Maturity Value = Principal × (1 + APY)^years. For a 2-year CD at 4.75% APY with $25,000: $25,000 × (1.0475)² = $27,404. Interest earned = $2,404.
  3. 3
    Account for early withdrawal penalties. Most CDs charge 3–12 months of interest for early withdrawal. On a 1-year CD, breaking it at 6 months may cost all earned interest. Factor this into your liquidity planning.
  4. 4
    Consider a CD ladder. Split your deposit across multiple maturity dates (3mo, 6mo, 1yr, 2yr). This gives you regular access to cash while keeping most in higher-yielding longer terms.

CD Returns by Term and Deposit — 2026 Rates

TermAvg. APY$10K earns$50K earns
3 months4.80%$118$590
6 months4.95%$245$1,224
1 year4.85%$485$2,425
2 years4.40%$899$4,494
3 years4.20%$1,313$6,566
5 years4.00%$2,167$10,833

Representative best available rates from online banks/credit unions. FDIC insured up to $250,000 per depositor per institution.

Frequently Asked Questions