Simple Interest Calculator
Simple interest is calculated once on the original principal, unlike compound interest. See the formula and how much that difference actually matters.
Your numbers
₹
%/yr
years
Result — with the workings shown
Simple interest
₹24,000
Total amount
₹1,24,000
How this is worked out
Simple interest is calculated only on the original principal, every year, with no compounding: ₹1,00,000 × 8.0% × 3 yrs ÷ 100 = ₹24,000 interest, for a total of ₹1,24,000.
81%
19%
Principal · ₹1,00,000Interest · ₹24,000
The same ₹1,00,000 at 8.0%/yr compounding annually over 3 years would instead reach ₹1,27,024 — ₹3,024 more — because compound interest earns interest on the interest already added. Try the Compound Interest & SIP calculator to see that difference worked out in full.