Simple Interest Calculator

The Simple Interest Calculator allows you to calculate the interest earned or paid on a principal amount over a specified time period at a fixed interest rate. By entering the principal amount, rate of interest, and time duration (in years), the tool computes the total simple interest. It also provides the final amount, including both the principal and the interest. This calculator is ideal for quick calculations of loans, investments, or savings that use simple interest, giving you a clear understanding of how interest accumulates over time.

What do you want to calculate?

Principal ($):

Term (Years):

Interest Rate (%):

Balance ($):

What is Simple Interest?

Simple interest is a method of calculating the interest charged or earned on a principal amount over time. It is commonly used for loans, savings accounts, and investments.

Factors Affecting Simple Interest

The following factors influence the amount of simple interest:

Principal — The amount of money that is either invested or loaned out initially.
Interest Rate — The percentage charged or earned on the principal amount. Higher interest rates result in more interest.
Term — The time period for which the money is invested or borrowed. The longer the term, the more interest is earned or charged.

How to Calculate Simple Interest?

The formula to calculate Simple Interest is:

SI = P × R × T / 100

Where:

P — Principal Amount (initial investment or loan amount)
R — Interest Rate (annual rate, expressed as a percentage)
T — Time (in years)

How to Use the Simple Interest Calculator?

Simply select what you want to calculate (Principal, Term, Interest Rate, or Balance), then enter the known values in the provided fields. Click on "Calculate" to find the result. The calculator will compute the missing value based on the simple interest formula.

Why Use a Simple Interest Calculator?