12-Month CD Calculator \

What a 12-Month CD Earns You

The maturity value of a 12-month CD follows the formula FV = P(1 + r/n)^nt, where t equals one year. At an illustrative 5.00% APY on a $10,000 deposit compounded daily, the maturity value is approximately $10,512. Monthly interest starts around $41 in the first month and increases slightly each subsequent month as the base grows — though on a one-year horizon the monthly variation is small.

The calculator breaks this out month by month so you can see exactly when each dollar of interest is credited. Understanding the accrual schedule is especially useful if you plan to build a CD ladder and need maturity dates to align with other financial commitments or with the maturity of a second rung. The entire $10,000 deposit plus interest remains well within the $250,000 FDIC insurance limit, so a single institution covers it fully.

Using a 12-Month CD as a Ladder Rung

A CD ladder staggers maturity dates — for example, placing equal amounts in 12-, 24-, 36-, 48-, and 60-month CDs. Each year the shortest rung matures and you reinvest it at the longest available term, maintaining partial liquidity while capturing longer-term rates. The 12-month rung is the first to mature and sets the reinvestment rhythm for the entire ladder.

Savers on personal-finance forums frequently recommend starting a ladder with a single 12-month CD to test the process before committing larger sums across multiple terms. Enter your planned deposit in the calculator to see the first rung's maturity value, then use the 18-month CD calculator to model the next step up in term length. If you are comparing the 12-month rate against a liquid high-yield savings account, the CD vs HYSA calculator shows the trade-off between the locked rate and the flexibility of keeping your money accessible.

The rate you enter is held fixed for the full 12 months. Your bank's actual offer and compounding method may differ.