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EVERYDAY ANSWERS, MADE SIMPLE

Simple Interest Calculator

Calculate interest that is proportional to principal and time without compounding earlier interest.

  • ✓ 100% Free
  • ◎ Accurate Results
  • ϟ Easy to Use
  • ▣ Works on All Devices
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Simple Interest Calculator

Calculate simple interest and total amount from principal, annual interest rate, and time in years.

Enter principal, rate, and time to calculate simple interest.

About the Simple Interest Calculator

This calculator finds interest earned or charged using principal, annual rate, and time in years.

How to use it

Enter the principal amount, annual interest rate, and time period in years.

Formula

Simple interest = Principal x Rate x Time / 100. Total amount = Principal + Interest.

Example

For Rs. 1,000 at 10 percent for 2 years, interest is Rs. 200 and total amount is Rs. 1,200.

What is simple interest?

Simple interest is calculated only on the original principal amount.

Is this compound interest?

No. Compound interest adds interest to the balance over time.

Can I enter decimal years?

Yes. You can use values such as 1.5 years for one year and six months.

How to Use

Enter the principal, annual interest rate, and duration in years. For six months, enter 0.5 years.

Formula and interpretation

Interest = P × r × t, where r is the annual rate divided by 100 and t is time in years. Total amount = principal + interest.

Example

1,000 at 5% for two years earns 100 interest and totals 1,100. Compound Interest Calculator is appropriate when interest itself earns interest.