Simple Interest Calculator

Calculate simple interest and the maturity amount for a principal.

%
Total amount
₹14,000.00
Principal amount₹10,000.00
Interest earned₹4,000.00
Total amount₹14,000.00

Frequently Asked Questions

How is simple interest calculated?+

Simple interest uses the formula I = P × R × T ÷ 100, where P is the principal, R is the annual interest rate and T is the time in years. For example, ₹1,000 at 10% for 2 years earns ₹200 interest.

What is the difference between simple and compound interest?+

Simple interest is calculated only on the original principal, so it stays the same each period. Compound interest is calculated on the principal plus previously earned interest, so it grows faster over time.

What is the maturity (total) amount?+

The maturity amount is the principal plus the interest earned: A = P + I. It represents the total you receive at the end of the term.