Effective Annual Rate (EAR) Calculator
Find the effective annual rate of a nominal rate for any compounding frequency, including continuous.
Change the values and press Calculate to work out your own figures.
Enter the nominal rate and compounding.
Show the working
- APY = (1 + r ÷ n)^n − 1
How to use it
Enter the nominal rate and compounding.
Enter amounts without commas or with them; rates are percentages (5 for 5%). Negative amounts are allowed where a sign means money paid out.
Key facts
EAR = (1 + r ÷ n)^n − 1; continuous: e^r − 1
Questions
What is the EAR of 7% compounded continuously?
7.2508%.
Formulas
EAR = (1 + r ÷ n)^n − 1; continuous: e^r − 1
Sources
Limitations
- Results are estimates for planning, not offers or financial advice; lenders and banks may round, count days or time payments differently.
- Rates are nominal annual rates compounded as you choose; payments at a different frequency use the equivalent periodic rate.