CD Calculator
See what a certificate of deposit grows to. Enter your deposit, the APY, and the term, and the calculator returns the value at maturity and the interest you'll earn. All in your browser.
Month-by-month accumulation
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What if I withdraw early?
Penalty eats into your principal
As of June 2026, the national average 1-year CD pays ≈ 2% APY while the best online banks pay ≈ 4.1% — shopping around matters more than term length. CDs lock your money up: withdraw early and most banks charge a penalty of a few months' interest (model it above). Interest is taxable in the year it's credited.
A CD is a fixed rate for a fixed time
The appeal of a CD is certainty: the bank guarantees the APY for the whole term, so the maturity value is known the day you deposit. There's no market risk and no rate surprises. The cost of that certainty is liquidity — the money is committed until maturity, and pulling it out early triggers a penalty.
Price the exit before you enter
The early-withdrawal penalty is the fine print that decides whether a CD was a good idea. A typical penalty of 3–12 months of simple interest sounds small, but withdraw in the first months of the term and it can exceed everything you've earned — leaving you with less than your deposit. The withdrawal panel above shows the penalty, what you'd actually walk away with, and the effective annual yield you really earned. If there's a real chance you'll need the money early, a slightly lower-paying savings account often nets you more.
When a CD fits — and when it doesn't
A CD suits money with a known timeline and no tolerance for loss: a down payment in 18 months, cash you're parking while rates are high. It's a poor fit for an emergency fund (you need that liquid) or for long-term growth (stocks have historically far outpaced CDs over decades). Match the tool to the job: certainty for near-term money, growth for long-term money.
Related
- Personal finance hub — all our money calculators and guides
- APY calculator — effective yield and compounding
- Compound interest calculator — growth with contributions
- Savings goal calculator — plan toward a target
FAQ
Is anything I enter sent to a server?
No. The calculator runs entirely in your browser — open DevTools → Network and confirm. Nothing you type is uploaded.
How is a CD's maturity value calculated?
A CD pays a fixed APY for a fixed term, so the maturity value is simple compound growth: deposit × (1 + APY)^(months ÷ 12). Because APY (annual percentage yield) already includes the effect of compounding, you don't need to specify how often interest is added — it's baked in.
What happens if I withdraw early?
Most CDs charge an early-withdrawal penalty, usually quoted as months of simple interest — commonly 3 months on terms up to a year, 6 on terms to 3 years, and 12 beyond that. The "What if I withdraw early?" section models it: penalty = deposit × APY × (penalty months ÷ 12), subtracted from your balance at the withdrawal month. Withdraw early enough and the penalty exceeds the interest you've earned — you get back less than you deposited (the calculator flags this). Always check your bank's actual penalty terms before opening a CD.
Is a CD better than a high-yield savings account?
It depends on rates and flexibility. A CD locks in a rate, which is great when rates are falling but a drawback when they're rising (your money is stuck at the old rate). A high-yield savings account stays liquid but its rate can change any time. As of June 2026 the best 1-year CDs (~4.1% APY) and the best HYSAs (~4%) pay about the same — while the average 1-year CD pays only ~2%, so where you shop matters more than which product you pick. For an emergency fund, stay liquid; for money with a known timeline, a CD locks the rate in.
Is CD interest taxable?
Yes. CD interest is generally taxed as ordinary income in the year it's credited, even if you don't withdraw it, and the bank reports it. Enter your marginal tax bracket (the chips cover the common federal ones) to see the after-tax interest; leave it at 0 to see gross interest only.