Simple Interest Calculator

Work out simple interest and total amount on a principal

Your details

Total Amount

₹0

Principal:₹1,00,000
Simple Interest:₹0
Total Amount:₹0

Calculation Summary

Principal Amount₹1,00,000
Interest Rate10% per annum
Time Period3 Years
Simple Interest₹0
Interest Rate0.00%
Total Amount₹0

Amount Breakdown

Principal Amount0%
Interest Earned0%
0%

Principal

0%

Interest

Interest Details

Monthly Interest₹0
Annual Interest₹0
Daily Interest₹0

Year-by-Year Breakdown

YearAccumulated InterestTotal Amount
1₹10,000₹1,10,000
2₹20,000₹1,20,000
3₹30,000₹1,30,000

About simple interest

What this calculator does

Computes interest on the original principal only — it does not add prior interest back into the base. Total amount = principal + simple interest. Time can be entered in years or months (months are converted to years internally).

How it works

SI = P × R × T, with R as the annual rate in decimal and T in years. Equivalently SI = (P × R% × T) / 100 when R is a percentage.

SI = (P × R × T) / 100

Example: ₹1 lakh at 10% for 3 years → interest ₹30,000, total ₹1,30,000. Each year earns ₹10,000 interest on the same principal.

Where you see it

Some short-term loans, gold loans, and textbook problems use simple interest. Most bank FDs and mutual funds use compound interest instead — check the product terms before comparing numbers from this tool.

Simple vs compound

With simple interest, the interest charge each period stays flat because the base never grows. Compound interest reinvests earnings, so the balance curves upward over long tenures. Use our compound interest calculator for that case.

What is not included

Processing fees, GST, TDS on interest, and prepayment penalties are not in the figure. The rate is assumed fixed for the full period. Reducing-balance loan methods (used on most home and car EMIs) are different from simple interest on the full principal.

Before you rely on this figure

Confirm whether your lender or deposit quotes simple or compound interest and whether the rate is per annum with daily, monthly, or yearly accrual. The year-by-year and month-by-month tables here show linear accumulation only.

Disclaimer: Figures are estimates. Actual interest depends on the product, day-count convention, and whether the rate stays constant.

Questions & answers

Simple interest formula
SI = P × R × T / 100, with R as annual % and T in years (or convert months to years). Total = P + SI. ₹1 lakh at 10% for 3 years → ₹30,000 interest, ₹1.3 lakh total.
Where is simple interest still used?
Some gold loans, short-term private loans, and school math problems. Bank FDs and mutual funds use compound interest — do not compare their rates directly to a simple-interest result.
Years vs months input
You can enter tenure in either unit. The tool converts to a single time period in the formula. Partial years (e.g. 18 months) should be entered as 1.5 years if using the years field.

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