If you are looking to open a high interest savings investment account in Australia or a fixed term investment, it is important that you are able to calculate your savings potential so that you know exactly how much interest you will accumulate and what you will receive in return for your investment.
What key information do I need to know?
- Deposit Amount – how much money you are wanting to deposit
- Interest Rate – the interest rate of the account you are looking to deposit with
The formula of Deposit Amount x Interest Rate will give you your savings amount over 1 year.
For example, if you want to invest $10K over a 12-month term with APS Savings, you would calculate Deposit Amount ($10,000) multiplied by Interest rate (0.04) which leaves you with $400 in earnings over the 12-month period.
The tables below compare a 4% interest rate with APS Savings for a $10K investment and an $80K investment. This is also compared to a standard 1.2% interest rate offered by an alternative provider.
As you can see, higher interest rates allow you to significantly save more. And, you can earn even more if you choose to capitalise your monthly interest payments! Get in touch with the team at APS Savings to learn more about the best investment option for you.