This guide will teach you how to accurately predict bond growth using an online calculator.
Step # 1 – Using a Bond Calculator
Go to “http://www.treasurydirect.gov/BC/SBCGrw”. Look under the section which says “Growth Calculator.” This is where you will input information.
Step # 2 –Entering the Details for a Bond
You will see a blue and white box which is divided into six sections. These sections are “Initial Investment Amount,” “Expected Interest Rate,” “Periodic Investment,” “How Often,” “Years Invested” and “Your Federal Tax Rate.” Fill out this section.
Step # 3 –Calculating the Growth for a Bond
After you’ve entered your information into the six sections, you will want to click the blue and white button which says “Calculate” at the bottom of the box.
Step # 4 – Viewing the Results
You will now be taken to a page which says “Growth Calculator Results” at the top. Beneath this is a review of the information you entered, as well as the expected rate of growth at the bottom. By using this tool, you can now calculate bond growth for any bonds you purchase.