Simple interest
1,500.00
Total amount
11,500.00
Principal 10,000.00 + Interest 1,500.00 = 11,500.00
Simple interest is calculated only on the principal. It does not compound. Formula: I = P × R × T, where P = principal, R = annual rate (as decimal), T = time in years. Here we use rate as a percentage, so interest = P × (rate/100) × T. This calculator is for estimation only; actual terms may vary.
Simple interest = Principal × (Annual rate ÷ 100) × Time in years. The total amount you receive or owe is Principal + Simple interest. Unlike compound interest, simple interest does not add interest on previously earned interest.