Late Fee & Interest Calculator
Calculate late payment fees and simple interest charges on overdue invoices. Free late fee calculator for service businesses.
Results
⚠️ Check your country's late payment laws before applying interest charges. EU Late Payment Directive allows up to ECB rate + 8%.
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Automate late payment reminders and track invoices in Tregovia
14-day free trial · No credit card required · All modules included
Frequently asked questions
How do I calculate simple interest on a late invoice?
Interest = Principal × Rate × Time. For example: €1,000 at 8% annual rate for 30 days: €1,000 × 0.08 × (30/365) = €6.58.
What late fee rate is standard?
Common rates are 1.5–2% per month or 8–10% annually. The EU Late Payment Directive allows up to 8% above the ECB reference rate for B2B invoices.
Should I always charge late fees?
Have a clear late payment policy in your terms. For long-term clients, a warning first is often better for the relationship. Automated reminders prevent most late payments.
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