# Where to find Excel template to calculate interest compounded monthly?

Cannot seem to find this anywhere, and do not have time to create an Excel macro. Thanks in advance.

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## 7 Answers

do you have a fixed monthly interst rate? . . . are there any principal additions or subtractions involve?

Fixed monthly interest rate of 1.0%.

I could probably use one of the many calculators/templates available online, but I cannot for the life of me figure out how to convert 1.0% monthly interest to an annual interest rate…

Microsoft has this solution. Otherwise, go here and click on the sentence that says *“If algebra isnâ€™t your cup of tea, use our template here. Fill in the yellow cells to see the final amount.”* There’s a link to an Excel spreadsheet with the formula.

XL: How to Calculate Compound Interest

Suppose you have $1,000.00 in an investment account. The account pays 8 percent interest and this interest is compounded annually. How much will the investment be worth at the end of three years? There are two ways to find the amount:

PV*(1+R)^N

where PV is present value, R is the interest rate, and N is the number of investment periods.

**Use a Fixed Formula**

The following formula typed into a cell on a worksheet, returns the correct value of $1,259.71:

=1000*(1+.08)^3

However, all of the information is ‘hard-coded’ into the formula and you must manually change the formula any time the figures change.

**Create a Function Macro to Determine Compound Interest**

Function Yearly_Rate(PV As Double, R As Double, N As Double) As Double

Yearly_Rate = PV*(1+R)^N ‘Performs computation

End Function

12 months in a year… so multiply your monthly rate by 12 to get annual rate. On the flip, if you have an annual rate and want to get monthly rate, divided the rate by 12.

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