Simple Interest Calculator

Calculate simple interest and total amount in seconds.

1,00,000
Principal
40,000
Simple interest
1,40,000
Total amount

Results are estimates for information only, not financial advice. See how we build and verify our calculators.

Calculate simple interest on a principal over a period of time. Enter the principal, annual rate and number of years to see the interest and the total amount payable.

How to use the Simple Interest Calculator

  1. Enter principal, rate and time in years.
  2. Read the simple interest and total amount.
  3. Adjust any value to compare.

Frequently asked questions

What is the simple interest formula?

Simple Interest = (P × R × T) / 100, where P is principal, R is the annual rate, and T is time in years. The total amount is P + interest.

How is simple interest different from compound?

Simple interest is calculated only on the original principal; compound interest is calculated on the principal plus accumulated interest, so it grows faster.