APR Calculator
Convert an APR (Annual Percentage Rate) into its equivalent APY.
Calculate
Enter your values below.
Result
Equivalent APY
0
Formula used
APY = (1 + APR/n)ⁿ − 1
Example: 18% APR compounded monthly → APY ≈ 19.56%.
How to use this calculator
- Enter APR (%), Compounding periods per year.
- Press Calculate to see your result instantly.
FAQ
Frequently asked questions
What is APR?
The Annual Percentage Rate — a nominal yearly interest rate that doesn't account for compounding within the year.
Why does APY come out higher?
Because APY reflects the effect of compounding, which APR alone doesn't capture.
Where is APR commonly quoted?
Credit cards and many loans state their rate as an APR.
How is this different from the Effective Interest Rate Calculator?
It's the same underlying math, framed specifically around the APR/APY terminology used for credit products.