The Simple Interest Calculator is a quick and easy tool to determine the interest earned or paid on a loan or investment without compounding. It uses the formula I = P × R × T, where I is interest, P is principal, R is rate, and T is time in years. This calculator is ideal for short-term loans or basic savings accounts.
Users can enter the principal amount, interest rate, and time period to get instant results. It’s especially useful for students, small business owners, and anyone who needs to understand how much interest they’ll pay or earn on a fixed amount over time.
Unlike compound interest, simple interest remains constant because it doesn’t accumulate on previously earned interest. This makes it easier to predict outcomes and understand the cost or return of borrowing or investing.