Simple Interest Calculator
Calculate interest on the principal amount only.
$
$100$1,000,000
% p.a.
0.1%30%
years
1 yr30 yrs
Results
Principal
$10,000.00
Interest
$500.00
Total
$10,500.00
I = P × r × t = $10,000.00 × 5% × 1 = $500.00
What is Simple Interest?
Simple interest is calculated only on the principal amount. It is commonly used for short-term loans.
The formula: I = P × r × t where P = principal, r = rate, t = time in years.
Simple interest benefits borrowers because they pay less compared to compound interest.