What is the periodic rate?

Periodic rate = Annual rate / Periods per year. E.g. 12% per year with monthly compounding = 1% per month.

Is this simple or compound?

This is the simple division (nominal annual / n). For equivalent periodic rate under compounding, use (1 + annual)^(1/n) - 1 if annual is effective.

Convert annual interest rate to periodic rate: annual rate and periods per year.

Annual rate (%)

Periods per year

What is the periodic rate?: Periodic rate = Annual rate / Periods per year. E.g. 12% per year with monthly compounding = 1% per month.
Is this simple or compound?: This is the simple division (nominal annual / n). For equivalent periodic rate under compounding, use (1 + annual)^(1/n) - 1 if annual is effective.

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