Simple Interest Formula

Expression: SI = P × R × T / 100

Simple interest applies only to the original principal — no interest-on-interest. P=principal, R=annual rate (%), T=time in years. Total = P + SI.

Example: ₹20,000 at 6% for 2 years

P=20,000, R=6, T=2

SI = 20,000 × 6 × 2 / 100 = ₹2,400

Result: Total = ₹22,400

Related Calculators