Simple Interest Calculator

Calculate simple interest on your principal amount.

Initial amount invested.
Annual interest rate.
%
Duration in years.
Years

Simple vs Compound

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

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 × T) / 100

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