Your savings account would have $5,600 after 3 years. This means that after 3 years, without taking any interest payments out, the balance in the savings account would be: So, the simple interest earned on a $5,000 deposit at an annual interest rate of 4% over 3 years is $600. The annual interest rate r is 4%, which is 0.04 as a decimal.r is the annual interest rate (as a decimal).To calculate the simple interest, you would use the formula: You want to know how much interest you will earn after 3 years. Suppose you have deposited $5,000 into a savings account that earns simple interest at an annual rate of 4%. While you could use an interest calculator, the math involved is not complex. So you can think of a loan as an annuity you pay to a lending institution.Tip: When it comes to mastering your finances, it’s important to understand simple interest.

When you take out a loan, you must pay back the loan plus interest by making regular payments to the bank. For additional compounding options use our Compounding This calculator assumes interest compounding occurs monthly as with payments. Monthly Payment The amount to be paid toward the loan at each monthly payment due date. Number of Months The number of payments required to repay the loan. Interest Rate The annual nominal interest rate, or stated rate of the loan. Loan Amount The original principal on a new loan or principal remaining on an existing loan. You can also create and print a loan amortization schedule to see how your monthly payment will pay-off the loan principal plus interest over the course of the loan. Find your ideal payment by changing loan amount, interest rate and term and seeing the effect on payment amount. Use this loan calculator to determine your monthly payment, interest rate, number of months or principal amount on a loan.

Daily interest on a million dollars