APY vs APR Calculator

Convert nominal APR and compounding frequency into effective APY to see the real gap between simple and compound rates.

Results

Fill in the inputs and click Calculate.

Risk disclaimer

This calculator provides estimates for informational purposes only. Advertised rates are not guaranteed; fees and markets affect realized returns.

What is APY vs APR?

APR quotes simple annual interest; APY assumes interest is compounded: APY = (1 + APR ÷ n)ⁿ − 1. More frequent compounding raises the effective rate.

Example: 10% APR compounded monthly → APY ≈ 10.47%; daily → ≈ 10.52%.

How to use

  1. Enter the nominal APR in percent.
  2. Enter compounds per year (monthly = 12, daily = 365).
  3. Click Calculate to see the effective APY and the increase over APR.

Formula

  • APY = (1 + APR ÷ n)ⁿ − 1

Example

12% APR compounded 12×/year → APY ≈ 12.68%, about 0.68 pp above APR.

Compounded daily (365×): APY ≈ 12.75%.

FAQ

Which figure should I compare?

It depends on reinvestment: no reinvest → APR; reinvested → APY.

Are fees included?

No. On-chain and platform fees lower the realized APY.

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