APR to APY Calculator – What Will it Cost a Year?

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On this page is an annual percentage rate to annual percentage yield or apr to apy calculator.

The bank will only quote an APR for many financial products, not the actual yield you'll pay if you go through with the loan or mortgage – the annual percentage yield (APY). This tool will let you convert an APR to an APY to compare to other yields or, alternatively, investment returns, fairly.

APR to APY Calculator

Using the APR to APY Calculator

You'll only need a couple of pieces of information to convert an APR to an APY, namely the APR you are quotes and the frequency. Here's what the tool needs:

  • Interest Rate/APR (%) - The APR you are quoted for the loan, mortgage, or other bank product.
  • Compounding Frequency - Choose how often the bank compounds interest on the product you are considering.

APR to APY Output

When you're happy, hit the "Compute APY" button to do the math. Here's what it outputs:

  • Annual Percentage Yield (APY) (%) - The equivalent annual percentage yield, or APY, using the assumptions you entered into the tool.

Comparing Like Quantities

APR and APY can be tricky, and the relationship between the two isn't easy to rectify in your head. Hopefully, this quick tool helped you out!

Here is a tool dedicated to the other direction and other tricky fixed income concepts in finance:



PK started DQYDJ in 2009 to research and discuss finance and investing and help answer financial questions. He's expanded DQYDJ to build visualizations, calculators, and interactive tools.

PK lives in New Hampshire with his wife, kids, and dog.

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