CD Ladder Calculator
Optimize your CD investments with staggered maturity dates
CD Ladder Breakdown
Total Investment: $0
Average Annual Yield: 0%
Estimated Annual Interest: $0
| CD Term | Amount | Interest Rate | Maturity Value |
|---|
Note: Interest is compounded annually. Penalties may apply for early withdrawal.
How to Use This CD Ladder Calculator
- Enter Total Investment (e.g., $10,000)
- Select Number of CD Terms (e.g., 5 for a 5-year ladder)
- Input Average Interest Rate (e.g., 3.5%)
- Click “Calculate CD Ladder”
Results Include:
- Total Investment & Annual Interest
- Breakdown of Each CD (Term, Amount, Interest Rate, Maturity Value)
- Estimated Earnings (Compounded annually)
Example: 5-Year CD Ladder ($10,000 at 3.5%)
| CD Term | Amount | Interest Rate | Maturity Value |
|---|---|---|---|
| 1 Year | $2,000 | 3.5% | $2,070.00 |
| 2 Years | $2,000 | 3.5% | $2,142.45 |
| 3 Years | $2,000 | 3.5% | $2,217.44 |
| 4 Years | $2,000 | 3.5% | $2,295.05 |
| 5 Years | $2,000 | 3.5% | $2,375.38 |
Total Maturity Value after 5 years: ≈$11,100.32
*(Compared to $10,700 if all in a 1-year CD)*
Key Benefits of a CD Ladder
✅ Higher Returns (Mix of short & long-term rates)
✅ Liquidity (One CD matures each year)
✅ Lower Risk (No market volatility like stocks)
✅ Predictable Income (Guaranteed interest)
CD Ladder Strategies
| Strategy | Terms | Best For |
|---|---|---|
| Short-Term | 1-3 years | Rising interest rate environments |
| Classic | 1-5 years | Balanced liquidity & returns |
| Extended | 1-10 years | Maximizing long-term yields |