Post-Judgment Interest — Smart Financial Analysis
Calculate interest accrued on court judgments from entry date until payment. Supports federal and state rates, partial payments, and simple or compound interest.
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Interest that accrues on a court judgment from the date it's entered until it's paid. Set weekly by the Treasury based on the 1-year T-bill auction rate. Simple interest: Principal × Rate × (Days/365). The rate itself is set by law, but settlement negotiations often include reducing the total (principal + interest).
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Why: Interest that accrues on a court judgment from the date it's entered until it's paid. Federal courts use the T-bill rate. State rates vary from 2% to 12% depending on ...
How: Enter Judgment Amount ($), Annual Interest Rate (%), Days Since Judgment to get instant results. Try the preset examples to see how different scenarios affect the outcome, then adjust to match your situation.
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📋 Quick Examples — Click to Load
📈 Interest Accumulation Over Time
Interest accrues from judgment date
📊 Original Judgment vs Interest vs Payments
Breakdown of amounts
🍩 Principal, Interest & Amount Paid
Composition breakdown
📊 Interest Rates by State
CA, NY, TX, FL, Federal comparison
For educational purposes only — not financial advice. Consult a qualified advisor before making decisions.
💡 Money Facts
Post-Judgment Interest analysis is used by millions of people worldwide to make better financial decisions.
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— NBER Research
The average American makes 35,000 financial decisions per year—many can be optimized with calculators.
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Post-judgment interest ensures that successful litigants are compensated for the time value of money while awaiting payment. Federal post-judgment interest is governed by 28 U.S.C. § 1961 and is based on the weekly T-bill auction rate. State rates vary dramatically — from California's fixed 10% to states that track federal rates. Understanding these calculations is critical for both plaintiffs and defendants in settlement negotiations.
Sources: U.S. Treasury, Federal Reserve, American Bar Association, National Center for State Courts.
Key Takeaways
- • Federal courts use the weekly T-bill rate (28 U.S.C. § 1961); state rates vary from 2% to 12%.
- • Interest accrues from judgment entry date until full satisfaction — not from incident or filing date.
- • Simple interest formula: Principal × (Annual Rate / 365) × Days. Most jurisdictions use simple interest.
- • Partial payments reduce the total owed; the rate itself cannot be negotiated, but settlement amounts can.
Did You Know?
How Does Post-Judgment Interest Work?
Simple Interest (Federal Standard)
Interest = Judgment Amount × (Annual Rate / 365) × Days Since Judgment. Federal courts apply this formula from the date of entry until payment.
Compound Interest (Some States)
Some jurisdictions allow daily compounding: Interest = Principal × ((1 + r/365)^days − 1). This yields higher totals over long periods.
Partial Payments
Payments reduce the total amount due. Interest is typically calculated on the full principal until payment; the payment is credited against principal + interest.
Expert Tips
State Post-Judgment Interest Rates
| State | Rate | Type |
|---|---|---|
| Federal | T-bill (weekly) | Variable |
| California | 10% | Fixed |
| New York | 9% | Fixed |
| Texas | T-bill + 5% | Variable |
| Florida | Prime + 1-5% | Variable |
Frequently Asked Questions
What is post-judgment interest?
Interest that accrues on a court judgment from the date it's entered until it's paid. Federal courts use the T-bill rate. State rates vary from 2% to 12% depending on jurisdiction.
What is the federal post-judgment interest rate?
Set weekly by the Treasury based on the 1-year T-bill auction rate. It applies to all federal civil judgments under 28 U.S.C. § 1961. The rate has ranged from 0.1% to 5%+ in recent years.
How is post-judgment interest calculated?
Simple interest: Principal × Rate × (Days/365). Some states allow compound interest. Federal courts use simple interest on the judgment amount from the date of entry.
Does post-judgment interest vary by state?
Yes, significantly. California: 10%. New York: 9%. Texas: 5% above T-bill rate. Florida: prime + 1-5%. Some states use fixed rates, others variable.
Can post-judgment interest be negotiated?
The rate itself is set by law, but settlement negotiations often include reducing the total (principal + interest). Debtors may offer lump-sum payments at a discount.
When does post-judgment interest start accruing?
From the date judgment is entered by the court, NOT the date of the incident or filing. It continues until the judgment is fully satisfied or paid.
Key Statistics
Official Data Sources
⚠️ Disclaimer: This calculator is for educational purposes only. Post-judgment interest rates and rules vary by jurisdiction and change over time. Consult a licensed attorney for legal advice on specific judgments. Not financial or legal advice.
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