Converting Interest

alexj2002

Does anyone know of a website or a spreadsheet etc. to convert a Gross interest rate into a Net interest rate?

Thanks,

Alex

lisyloo

I can give you a formula

G = gross rate
T = tax rate
N = net rate

N = G * (1 - T/100)

So if G is 5.5% and T is 20 then G = 4.4%

Tax rate can of course be 0, 10, 20 or 40

alexj2002

Thanks, that should do the trick.

BTW should it read
So if G is 5.5% and T is 20 then N = 4.4% ?

Alex

lisyloo

Yes - that was just a deliberate mistake to see if you were paying attention

alexj2002

Of course it was!