How Much Interest Will I Earn Per Month On 1 Million Dollars?

Most individuals with lump sum savings choose to invest them to earn through interest earnings. The aim of this article is to learn how much interest one can earn per month if they have 1 million dollars. We will also explore how the rate of interest can be calculated and review the simple interest formula.

How Much Interest Will I Earn Per Month On 1 Million Dollars?

According to certain financial advisors, you can earn up to $5,000 (sometimes a little more) per month if you keep 1 million dollars in a savings account at the bank. However, the higher the interest rate and the longer the time period that you keep your deposit with the bank; the higher will be your interest earnings.

Depending on your choice of investment, you can also earn through interest on 1 million dollars in the following ways:

  • $10,000 in a 1% high-yield account or government bond
  • $96, 352 in the stock market
  • $47, 804 in a mutual fund

How Do I Calculate Interest On 1 Million Dollars?

If someone has a million dollars saved in the bank, they can conveniently earn an estimated amount of $50,000 per year; at a 5% interest rate.

For a more accurate estimate of the amount that you can earn through interest on $1 million; based on the number of years that you are investing the sum of money, you use an online calculator.

What Is The Simple Interest Formula?

According to the simple interest rate formula, the principal amount is multiplied by the rate of interest and time period. It can be expressed as follows:

SI = P x R x T

Where SI is Simple Interest, P is Principal Amount, R is Rate of Interest and T is Time Period.

As per the simple interest formula, the principal amount will remain constant when the SI is calculated over a period of time for different years.


The discussion in this article highlights how one can earn varying degrees of interest incomes based on their choice of mode of investment. As a general rule, low risk investments give lower returns while high risk investments generate higher returns.


How Much Interest Does $1 Million Earn?

If I invest a million dollars in the bank what would be the interest on it every month? – Quora