Daily, simple interest
Amount × yearly rate ÷ 365 = interest per day. Multiply by the days since the due date. No compounding.
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Late payment interest calculator
A late business invoice can legally earn interest plus a fixed fee. For July–December 2026 the EU minimum is 10.4% a year + €40, and in the UK it's 11.75% a year + £40 to £100. Enter your invoice to see the exact amount and a polite line to add to your final reminder.
Where are you (the seller) based?
10.4% a year for July–December 2026: ECB main refinancing rate on 1 July 2026 (2.40%) + 8 percentage points. Source: EU Late Payment Directive (2011/7/EU).
You can add
€61.37Days late
30
Interest
€21.37
€0.71 a day
Fixed fee
€40.00
A line for your final reminder
Invoice #1042 is now 30 days overdue. Under the EU Late Payment Directive (2011/7/EU), late-payment interest of €21.37 (10.4% a year) and a fixed recovery fee of €40.00 can now be added. I’m happy to waive this if the invoice is paid this week.Business-to-business invoices only. A rate agreed in your contract replaces these. General information, not legal advice.
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How late payment interest works
Plus a fixed fee
Each late invoice adds €40 in the EU. In the UK it's £40 under £1,000, £70 up to £9,999.99 and £100 above.
Your contract wins
If your terms set a different rate, that rate applies instead. These rules cover business and public-sector clients, not consumers.
Use it kindly
Mentioning it in a final reminder often gets things moving. Offering to waive it for quick payment keeps the relationship warm. Or write the reminder here.
FAQ
Questions, answered.
Can I charge interest on a late invoice?
Yes, for business-to-business invoices in the EU and UK the law lets you add interest and a fixed compensation fee once an invoice is late, unless your contract sets different terms. For July–December 2026 the EU minimum rate is 10.4% a year and the UK rate is 11.75% a year.
What is the late payment interest rate in the EU?
At least the ECB reference rate plus 8 percentage points. For July–December 2026 that is 10.4% a year (ECB main refinancing rate on 1 July 2026 (2.40%) + 8 percentage points). Some countries set a higher rate, so check your country's figure on the EU's Your Europe site.
What is the statutory interest rate for late payment in the UK?
8% plus the Bank of England base rate. For July–December 2026 that is 11.75% a year. You can also claim a fixed £40, £70 or £100 depending on the size of the debt.
How do I calculate late payment interest?
Multiply the invoice amount by the yearly rate, divide by 365 to get the daily interest, then multiply by the number of days since the due date. Add the fixed compensation fee on top.
Does this apply to invoices sent to consumers?
No. These rules cover business-to-business and public-sector invoices. Invoices to private individuals follow consumer rules, which differ by country.
Should I actually charge it?
Often the best use is as a firm, polite line in a final reminder: it shows you know your rights without starting a fight. Many freelancers waive it once the client pays. This is general information, not legal advice.
Never calculate interest again
Babara chases late invoices for you, politely and on schedule, so they rarely get this late.