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Interest Calculator

Calculate simple and compound interest on a deposit or investment. See how your money grows over time with different interest rates.

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๐Ÿ‡ฉ๐Ÿ‡ฐ All calculations are based on Danish rules, rates, and currency (DKK). This calculator is translated for convenience but applies exclusively to Denmark.

Interest Calculator โ€” Simple and Compound

This calculator shows the difference between simple interest and compound interest on your savings or investment. Simple interest is calculated only on the original amount, while compound interest is calculated on the original amount plus previously earned interest.

Simple vs Compound Interest

With simple interest, a 100,000 kr deposit at 5% earns 5,000 kr every year. With compound interest, after 10 years at 5%, simple interest gives 150,000 kr while compound gives approximately 162,889 kr.

Interest Rates in Denmark

Danish savings rates have risen in recent years. Compare the effective annual rate and consider taxes on interest income. In Denmark, interest income is subject to capital income tax.

Frequently Asked Questions

What is the difference between simple and compound interest?

Simple interest is calculated only on the original principal. Compound interest is calculated on the principal plus all previously earned interest. Over time, compound interest generates significantly more growth.

How is interest income taxed in Denmark?

In Denmark, interest income is classified as capital income and taxed at approximately 37-42% depending on your total income and municipality.

What interest rates do Danish banks currently offer on savings?

Danish savings rates vary but have risen following Nationalbanken's rate increases. Rates typically range from 0.5% to 4% depending on account type and binding period.

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