APY calculator
Calculator
The calculator needs JavaScript. The tables below give the same numbers for common cases.
How it is worked out
- APY = (1 + APR ÷ n)^n − 1 = (1 + 0.05 ÷ 12)^12 − 1 = 0.0511619.
| Inputs | Answer |
|---|---|
| Convert: APR to APY; Rate: 5; Compounded: Monthly | An APR of 5% compounded monthly is an APY of 5.1162%. |
| Convert: APR to APY; Rate: 4.2; Compounded: Daily | An APR of 4.2% compounded daily is an APY of 4.2892%. |
| Convert: APY to APR; Rate: 5.12; Compounded: Monthly | An APY of 5.12% corresponds to an APR of 5.0036% compounded monthly. |
How to use it
APY (annual percentage yield) includes the effect of compounding; APR is the nominal yearly rate. APY = (1 + APR ÷ n)^n − 1, where n is the compounding periods a year. A 5% APR compounded monthly is a 5.1162% APY.
The more often interest compounds, the higher the APY for the same APR. Banks quote APY on savings so rates can be compared.
Frequently asked questions
What is the difference between APR and APY?
APY includes compounding; APR does not.
What is a 5% APR compounded monthly as APY?
About 5.1162%.
How do I convert APY to APR?
APR = n × ((1 + APY)^(1 ÷ n) − 1).
Method: standard arithmetic shown step by step; no outside data is used. Checked 2026-11-12.
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General information only. Results are plain arithmetic on the numbers you enter; check anything important (money, health, school work) against your own records or the official source.