Simple Interest Calculator
A straightforward tool to determine the exact interest accumulated on an initial principal without compounding.
The Math Behind It
I = P * r * tSimple interest is calculated uniquely on the original principal. The interest does not compound or grow over time.
Example
If you invest $1,000 at a 5% simple annual rate for 2 years, you'll earn exactly $100 in interest ($50 each year).
Frequently Asked Questions
Simple interest is calculated only on the initial principal. Compound interest is calculated on both the principal and the accumulated interest.