Interest Calculator

Calculate Interest

Use this calculator to determine the future value and interest earned for an investment or loan using simple or compound interest.

Interest Calculator

Calculate the future value and interest earned for an investment or loan using simple interest or compound interest. This calculator helps you determine how your money will grow over time based on different interest rates and compounding frequencies.

Simple Interest

Simple interest is calculated only on the principal amount and does not take into account the accumulated interest over time. It's commonly used for short-term loans or investments.

Simple Interest Formula

The formula for simple interest is:

$$I = P \times r \times t$$

Where:

  • I = Interest
  • P = Principal amount
  • r = Annual interest rate (as a decimal)
  • t = Time period (in years)

Compound Interest

Compound interest is calculated on the initial principal and also on the accumulated interest of previous periods. It's often used for long-term investments and savings accounts.

Compound Interest Formula

The formula for compound interest is:

$$A = P(1 + \frac{r}{n})^{nt}$$

Where:

  • A = Final amount
  • P = Principal amount
  • r = Annual interest rate (as a decimal)
  • n = Number of times interest is compounded per year
  • t = Number of years

Use our calculator above to easily compute simple or compound interest for your financial planning needs. Input your principal amount, interest rate, time period, and compounding frequency (for compound interest) to see how your investment or loan will grow over time.