Simple Interest Calculator

Calculate simple interest on your principal amount.

Principal Amount

₹

Initial amount invested.

Interest Rate

Annual interest rate.

Time Period

Years

Duration in years.

Simple vs Compound

Simple interest is calculated only on the principal. Use for short-term loans or deposits.

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Total Amount

₹ 0

After 5 years at 7% simple interest

Principal

Initial Amount

1 L

Interest

Simple Interest

0

Time

Duration

5 Years

Documentation

How Simple Interest Works

Simple interest is calculated on the original principal only. It does not compound, making it straightforward for short-term calculations.

Common Use

"Car loans, personal loans, some savings accounts, and short-duration deposits."

The Formula

SI = P × R × T100

₹ 0 = (₹ 1,00,000 × 7% × 5) / 100

P = Principal, R = Annual Rate (%), T = Time in years. Total Amount = P + SI.

Last Updated: January 2026

Disclaimer: This calculator provides estimates for educational purposes. Actual interest may vary based on specific terms and conditions.