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Certificate of Deposit (CD) is one of the most popular methods of saving money. When you purchase a CD at a certain rate, you are guaranteed with that percentage rate within the covered period of the certificate, that is why regardless of the rising and dropping of the market, you are still locked with the original percent. Nonetheless, to be able to calculate how much money you can get from your CD, just follow the steps here. You don’t really need to have a certificate of deposit calculator to be able to do this; just a typical scientific calculator will be enough.

First thing to do is convert the interest rate of your certificate of deposit into a decimal point. This is done by moving the decimal point, 2 places to the left and take away the percent sign (%).  For instance, a 2% CD would be 0.02 in decimal.

Next, divide the decimal point percentage by 365. By doing this, you will be able to determine how much interest rate you’ll earn in a daily basis. We use 365 since this is the total number of days in a year. This would give us .00005 from the example.

Afterwards, we place 1 in front of the daily percentage rate. From the previous data, we will have 1.00005. The 1 represents the original deposit amount. Then we raise this to 365^th power. The total value would represent the compounded interest in a daily basis.

That’s how simple it is to calculate your CD without a certificate of deposit calculator. However, you can change this steps if the certificate of deposit duration or covered period is longer than a year, all you need to do is change the 365 value and put in the number of CD days.

If you don’t have a scientific calculator to use but have other means to go online, you can always resort to using online certificate of deposit calculator.