Calculate simple interest and total amount
Built & maintained by Pappu Venkata Subbi Reddy, founder of Clacify · Formulas verified against official Indian government sources
Clacify's Simple Interest Calculator applies the formula SI = (P × R × T) ÷ 100, where P is the principal, R is the annual interest rate (%), and T is the time in years. Enter your values to instantly see the simple interest earned and total amount (Principal + Interest). Simple interest is used for short-term loans, certain savings schemes, and moneylender transactions. It differs from compound interest in that interest accrues only on the original principal.
SI = (P × R × T) ÷ 100, where P is the principal, R is the annual rate %, and T is the time in years. Total amount = P + SI. Example: ₹10,000 at 8% for 3 years → SI = (10000 × 8 × 3) ÷ 100 = ₹2,400. Total = ₹12,400.
Simple interest is calculated only on the original principal throughout the entire period. Compound interest is calculated on the principal plus accumulated interest each period — you earn interest on interest. For the same P, R, and T, compound interest always produces a higher total than simple interest.