How are staking rewards calculated?
Start from the quoted APR, take off the commission, then grow the tokens: net APR = APR x (1 - commission), and with rewards restaked m times a year, tokens at the end = tokens x (1 + net APR / m)^(m x years). The rewards are the tokens at the end minus the tokens you started with. If rewards are paid out instead of restaked, they grow in a straight line: tokens x net APR x years.
With the default inputs, 10 tokens at a 4% APR and 10% commission earn a net 3.6% a year. Restaked daily for 12 months, they grow to 10.366540 tokens, so the rewards are 0.366540 tokens. At a token price of $2,000 those rewards are worth $733.08, on tokens worth $20,000 when staked.
Rewards are counted in tokens first because that is what a staking system pays. Their value in money depends entirely on the token price, which is why the calculator asks you for one rather than assuming it.
What is the difference between staking APR and APY?
APR is the simple yearly rate. APY is what that rate becomes once rewards are restaked and start earning rewards of their own: APY = (1 + APR / m)^m - 1, where m is the number of times a year rewards are added back. A 4% APR restaked daily is an APY of 4.081%; after 10% commission, the 3.6% net APR becomes an APY of 3.665%.
The gap widens as the rate rises. With no commission and daily restaking:
| Quoted APR | APY, restaked daily |
|---|---|
| 3% | 3.0453% |
| 5% | 5.1267% |
| 8% | 8.3278% |
| 12% | 12.7475% |
| 20% | 22.1336% |
Check which figure a platform is quoting before you enter it. If the number shown is already an APY, entering it as an APR and compounding it again overstates the rewards. In that case choose Restaked yearly, which leaves the rate as it is.
How often are staking rewards compounded, and does it matter?
Some networks and services restake rewards automatically, some pay them out to your wallet, and some leave it to you. Here is the default case, 10 tokens at a 3.6% net APR for 12 months, at each setting:
| Rewards | APY | Rewards after 12 months |
|---|---|---|
| Paid out, not restaked | 3.6000% | 0.360000 tokens |
| Restaked yearly | 3.6000% | 0.360000 tokens |
| Restaked quarterly | 3.6489% | 0.364889 tokens |
| Restaked monthly | 3.6600% | 0.366000 tokens |
| Restaked weekly | 3.6643% | 0.366429 tokens |
| Restaked daily | 3.6654% | 0.366540 tokens |
At rates like these, going from no restaking to daily restaking adds about 0.0065 tokens on 10 over a year. Frequency matters more over long periods and at high rates, and restaking by hand can cost a network fee each time, which this calculator does not include.
How does validator or pool commission change the rewards?
Whoever runs the validator or the pool usually keeps a share of the rewards. Commission is a percentage of the rewards, not of your tokens, so it scales the rate down in proportion. On a 4% APR:
| Commission | Net APR |
|---|---|
| 0% | 4.00% |
| 5% | 3.80% |
| 10% | 3.60% |
| 25% | 3.00% |
The results show the commission in tokens. On the default inputs, the operator's 10% costs 0.041545 tokens over the year: the difference between 0.408085 tokens at the full 4% and 0.366540 at 3.6%, compounding included. If the rate you were quoted already has commission taken off, set commission to 0 so it is not deducted twice.
Can a price move outweigh staking rewards?
Easily. Rewards add a few percent to the number of tokens you hold, while the price of a token can move by far more than that in a year. The calculator shows the price fall that would cancel the rewards exactly: 1 - tokens at the start / tokens at the end. On the default inputs it is 3.54%, so if the price ends below $1,929.28, the staked tokens are worth less than the $20,000 they were worth when staked, rewards included.
Open A second token price and enter $1,500 for the end of the year. The 10.366540 tokens are then worth $15,549.81, which is $4,450.19 less than at the start, despite $733.08 of rewards at the starting price. The second chart repeats the test at five prices: at 20% below the starting price, the tokens are worth $16,586.46.
The reverse also holds: a higher price raises the value of both the original tokens and the rewards. The calculator shows the arithmetic both ways; it says nothing about which way a price will go.
Worked examples in pounds and euros
Token prices are entered in whichever of the 24 currencies you choose; nothing is converted.
| Example | Inputs | APY | Rewards | Value |
|---|---|---|---|---|
| Pounds | 500 tokens at £1.20, 6% APR, 5% commission, restaked weekly, 24 months | 5.862% | 60.341076 tokens | £72.41 of rewards; £672.41 in all |
| Euros | 40 tokens at €25, 3.5% APR, 8% commission, restaked monthly, 36 months, €20 at the end | 3.268% | 4.051089 tokens | €881.02 in all at €20 |
In the pound example, the 5% commission brings 6% down to a 5.7% net APR, and two years of weekly restaking turn 500 tokens into 560.341076. The euro example earns rewards worth €101.28 at the starting price of €25, but the price falls to €20, so the 44.051089 tokens at the end are worth €881.02 against €1,000 when staked.
How to calculate staking rewards in Excel or Google Sheets
With tokens in A1, the APR as a decimal in B1, commission as a decimal in C1 and the years in D1, the rewards restaked daily are =A1*(1+B1*(1-C1)/365)^(365*D1)-A1. For the default inputs, 10, 0.04, 0.1 and 1, it returns 0.366540. Replace 365 with 52, 12, 4 or 1 for other restaking frequencies.
Both Excel and Google Sheets also have =EFFECT(nominal rate, periods per year), which turns an APR into an APY: =EFFECT(0.036,365) returns 0.036654, the 3.665% above. If rewards are paid out rather than restaked, use =A1*B1*(1-C1)*D1 instead.
What this calculator does not model
It holds the rate fixed for the whole period, and real staking rates move with network conditions and the number of tokens staked. It also leaves out several risks that can matter more than the rate:
- Lockups and unbonding. Many networks hold staked tokens, or make you wait for an unbonding period before you can sell, so you may not be able to act on a price move when you want to.
- Slashing. Some networks penalize a validator that misbehaves or goes offline by destroying part of the stake, and delegated tokens can share that penalty.
- Operator and platform risk. Staking through a service adds the risk of that service failing.
- New token issuance. Where rewards come from newly created tokens, the supply grows, and rewards partly keep pace with that growth rather than adding to your share.
Network fees for claiming or restaking are excluded, and so is tax. Crypto rules differ from country to country, and the timing and treatment of staking rewards vary with them; for the tax on a gain when tokens are sold, see the capital gains tax calculator.
Common staking calculation mistakes
- Compounding an APY again. If the quoted figure already includes compounding, choose yearly restaking.
- Taking commission off twice. Many dashboards show a rate after commission; set commission to 0 for those.
- Valuing rewards at today's price only. The tokens you started with change value too, and usually by more.
- Assuming rewards are restaked. If they land in your wallet and sit there, use Paid out, not restaked.
- Ignoring the time you cannot sell. An unbonding wait is part of the cost of staking, even though no calculator can price it.
Glossary
Staking: committing tokens to help secure a proof-of-stake network in return for rewards. APR: the simple yearly reward rate. APY: the yearly rate once restaked rewards compound. Validator: a node that proposes and checks blocks on a proof-of-stake network. Commission: the share of rewards a validator or pool keeps. Restaking: adding rewards back to the stake so they earn rewards too. Unbonding period: the wait between asking to unstake and being able to move the tokens. Slashing: a penalty that destroys part of a stake.
Frequently asked questions
How do I calculate staking rewards?
Take the APR, reduce it by the commission, then grow your tokens at that rate for the period, compounding if rewards are restaked. Ten tokens at 4% APR with 10% commission, restaked daily for a year, earn 0.366540 tokens.
How do I convert staking APR to APY?
Use APY = (1 + APR / n)^n - 1, where n is how many times a year rewards are restaked. A 4% APR restaked daily is a 4.081% APY; in a spreadsheet, =EFFECT(0.04,365) gives the same.
What is validator commission?
It is the share of staking rewards that the validator or pool operator keeps for running the service. A 10% commission on a 4% APR leaves you a net 3.6%. It is taken from rewards, not from the tokens you staked.
How much will 10 tokens earn staked for a year?
At a 4% APR with 10% commission and daily restaking, 0.366540 tokens. At a token price of $2,000 that is $733.08, but the money value moves with the price of all 10.37 tokens you then hold.
Does restaking daily make a big difference?
At typical single-digit rates, not much. On 10 tokens at a 3.6% net APR, daily restaking earns 0.366540 tokens in a year against 0.360000 with no restaking. The difference grows with higher rates and longer periods.
Can I lose money staking crypto?
Yes. Rewards are paid in tokens, and if the token price falls by more than the rewards add, the holding is worth less than when it was staked. On the default inputs a fall of 3.54% cancels a year of rewards. Slashing, lockups and platform failure are further risks.
Does the calculator include lockups or slashing?
No. It shows rewards at a fixed rate and the value at prices you enter. Lockups, unbonding periods, slashing penalties, rate changes and network fees are all outside the figure.
Does the calculator use live token prices or rates?
No. You enter the APR, the commission and any token prices yourself. Nothing is fetched, so the result holds for whatever figures you test.
Are staking rewards taxed?
That depends on where you live, because crypto rules differ from country to country. This calculator applies no tax rules; for the tax on a gain when you sell tokens, use the capital gains tax calculator for your country.
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Last reviewed 13 November 2026 by the NIFM Academy editorial team. Next review by 13 May 2027.
- Staking reward arithmetic, net APR = APR x (1 - commission); tokens x (1 + net / m)^(m x years) when restaked, tokens x (1 + net x years) when paid out; APY = (1 + net / m)^m - 1, shown in the working under every result. Checked 13 November 2026.
- Spreadsheet EFFECT function, Microsoft Excel and Google Sheets EFFECT(nominal_rate, npery) syntax. Checked 13 November 2026.