How much will $1,000 be worth in 5 years?
$1,000 invested for 5 years, with nothing added, would grow to $1,403 at a hypothetical 7% annual return: the original $1,000 plus $403 of investment growth. At 4% the balance would be $1,217 ($217 of growth), and at 10% it would be $1,611 ($611 of growth).
At 4% a year
$1,217
$217 of that is growth
At 7% a year
$1,403
$403 of that is growth
At 10% a year
$1,611
$611 of that is growth
4%, 7% and 10% are example rates, not forecasts. Real returns change from year to year and are never guaranteed, and these figures leave out fees, taxes and inflation.
$1,000 after 5 years at different rates of return
| Annual return | Final balance | Amount invested | Interest earned |
|---|---|---|---|
| 1% | $1,051 | $1,000 | $51 |
| 2% | $1,104 | $1,000 | $104 |
| 3% | $1,159 | $1,000 | $159 |
| 4% | $1,217 | $1,000 | $217 |
| 5% | $1,276 | $1,000 | $276 |
| 6% | $1,338 | $1,000 | $338 |
| 7% | $1,403 | $1,000 | $403 |
| 8% | $1,469 | $1,000 | $469 |
| 9% | $1,539 | $1,000 | $539 |
| 10% | $1,611 | $1,000 | $611 |
| 11% | $1,685 | $1,000 | $685 |
| 12% | $1,762 | $1,000 | $762 |
Assumes a single investment with nothing added or withdrawn, and a constant rate compounded once a year (an effective annual rate). The final balance ranges from $1,051 at 1% to $1,762 at 12%.
Try your own numbers
The calculator starts with this example at 7%. Change the amount, rate or time period, add a monthly contribution, or switch the compounding, and the result updates as you type.
Balance after 5 years
$1,403
28.7% of that is interest. Your balance is 1.40 times what you put in.
Total contributions
$1,000
Interest earned
$403
Growth by year
- Contributions
- Interest
Interest
Contributions
Year-by-year breakdown
| Year | Contributions | Interest | Balance |
|---|---|---|---|
| 1 | $1,000 | $70 | $1,070 |
| 2 | $1,000 | $145 | $1,145 |
| 3 | $1,000 | $225 | $1,225 |
| 4 | $1,000 | $311 | $1,311 |
| 5 | $1,000 | $403 | $1,403 |
How quickly $1,000 grows
At 7%, 5 years is not long enough to double $1,000: the balance ends at 1.40 times the original amount. Left alone, it would pass $2,000 during year 11. A different rate moves that point, but not into these 5 years: it would come in year 8 at 10% and in year 18 at 4%.
Growth also speeds up over time. In year 1 the investment earns $70 at 7%. In year 5 it earns $92, because each year's return is calculated on a larger balance.
What if you change the plan?
Each row changes one thing and keeps everything else the same, at the 7% example rate. The comparison is with $1,000 invested for 5 years, which ends at $1,403.
| Change | Final balance | Difference |
|---|---|---|
| Leave it invested for 5 more years (10 years in total) | $1,967 | +$565 |
| Also add $100 a month | $8,522 | +$7,120 |
| Treat 7% as a nominal rate compounded monthly | $1,418 | +$15 |
| Earn 6% a year instead of 7% | $1,338 | −$64 |
Another 5 years adds $565 without any new money going in, more than the $403 earned in the first 5 years. A return that is one point lower leaves you with $64 less after 5 years, which is roughly what a 1% annual fee would cost.
Working backwards: to have $2,500 in 5 years at 7% without adding anything, you would need to invest about $1,782 today.
When would the balance reach $2,500?
The table shows the year in which the balance first reaches each amount, assuming nothing is added or withdrawn. Years in bold fall within this page's 5-year period.
| Balance reaches | At 4% | At 7% | At 10% |
|---|---|---|---|
| $2,500 | Year 24 | Year 14 | Year 10 |
How this is calculated
For a single investment with nothing added, the rate is applied once a year to the whole balance:
Balance = Principal × (1 + annual rate)years
With this page's numbers at 7%:
Balance = 1,000 × 1.075 ≈ 1,000 × 1.4026 ≈ $1,403
Growth is the balance minus the original $1,000: $403. Every other row in the rate table uses the same formula with a different annual rate. The compound interest calculator page explains the formulas in more detail, including monthly contributions.
Frequently asked questions
How much interest will $1,000 earn in 5 years?
It depends on the rate of return. At a constant 7% a year with nothing added, $1,000 earns $403 over 5 years, for a balance of $1,403. At 4% the growth is $217, and at 10% it is $611. These rates are examples, not predictions.
How long does it take $1,000 to grow to $2,500?
With a constant 7% annual return and nothing added, $1,000 passes $2,500 during year 14. For comparison, at 10% it takes until year 10, and at 4% it takes until year 24.
How much do I need to invest today to have $2,500 in 5 years?
At a constant 7% annual return, a single investment of about $1,782 would grow to $2,500 in 5 years. At 4% you would need about $2,055, and at 10% about $1,552.
Related examples
$1,000 over other periods
- $1,000 invested for 10 years
- $1,000 invested for 15 years
- $1,000 invested for 20 years
- $1,000 invested for 25 years
- $1,000 invested for 30 years
- $1,000 invested for 40 years
Other amounts for 5 years
- $5,000 invested for 5 years
- $10,000 invested for 5 years
- $20,000 invested for 5 years
- $25,000 invested for 5 years
- $50,000 invested for 5 years
- $100,000 invested for 5 years
Monthly investing for 5 years
See all compound interest examples in one table, or start from scratch with the compound interest calculator.