Georgia Post Judgment Interest Calculator

This calculator works out the post-judgment interest owed on a Georgia civil court judgment. You enter the judgment amount, the annual interest rate, the date judgment was entered, and the payment date, and it returns the total interest due and the total amount owed. The result is based on the standard Georgia post-judgment interest rate and the simple-interest formula used by Georgia courts.

Formula

The formula for post-judgment interest in Georgia is simple interest:

Interest = Principal × Rate × Time

• Principal – the judgment amount (the total money awarded by the court), in dollars.
• Rate – the annual post-judgment interest rate, expressed as a decimal (e.g., 7% = 0.07).
• Time – the number of days between the judgment date and the payment date, divided by 365 to convert to years.

The calculator uses a 365-day year, which is the common convention in Georgia for computing interest on judgments. The total owed is simply the principal plus the interest.

Worked Example

Using the default values from the calculator:

• Judgment amount: $10,000
• Annual interest rate: 7%
• Judgment date: January 15, 2023
• Payment date: January 15, 2024

First, calculate the time in years: 365 days / 365 = 1 year.

Then, interest = $10,000 × 0.07 × 1 = $700.00.

Total owed = $10,000 + $700 = $10,700.00.

The calculator shows the same result: interest of $700.00 and total of $10,700.00.

How Post-Judgment Interest Works in Georgia

In Georgia, a money judgment earns interest from the date it is entered by the court until it is paid in full. The interest rate is set by state law and is typically tied to the prime rate. As of recent years, the rate has been 7% per year, but it can change. The rate is set annually by the Georgia Department of Banking and Finance and is published in the Official Code of Georgia Annotated (O.C.G.A. § 7-4-12).

Post-judgment interest is simple interest, not compound. That means interest is calculated only on the original judgment amount, not on previously accrued interest. The interest accrues daily, but it is usually paid in a lump sum when the judgment is satisfied.

If the judgment is paid in installments, the interest continues to accrue on the remaining unpaid principal until the balance is zero. Payments are typically applied first to interest and then to principal, unless the court orders otherwise.

How to Use This Calculator

1. Enter the judgment amount exactly as stated in the court order (do not include costs or attorney fees unless they are part of the judgment).
2. Enter the annual interest rate. If you do not know the exact rate, check the Georgia Department of Banking and Finance website or consult the court clerk. The default of 7% is a common rate but may not be current.
3. Enter the judgment date (the date the judgment was entered, not the date of the verdict or the date of the underlying incident).
4. Enter the payment date (the date you expect to receive payment or the date the judgment was actually paid).
5. Click calculate to see the interest owed and the total amount due.

The result is the amount of interest that has accrued as of the payment date. If the payment date is in the future, the result is an estimate of what will be owed on that date, assuming the rate stays the same.

Common Mistakes and Misconceptions

• Using the wrong start date: Interest begins on the date the judgment is entered, not the date of the lawsuit, the verdict, or the date the defendant was served. Check the judgment order for the exact entry date.
• Using a 360-day year: Some financial calculations use a 360-day year, but Georgia courts generally use a 365-day year for post-judgment interest. Using 360 will slightly overstate the interest.
• Compounding interest: Post-judgment interest in Georgia is simple, not compound. Do not calculate interest on interest.
• Ignoring partial payments: If the defendant has made partial payments, the interest calculation becomes more complex. You must recalculate interest on the remaining principal after each payment. This calculator assumes a single lump-sum payment.
• Assuming the rate never changes: The statutory rate can change annually. If the judgment spans multiple years, you may need to calculate interest at different rates for different periods. This calculator uses a single rate for the entire period.

When to Use This Calculator

This calculator is useful for:

• Plaintiffs who have won a money judgment and want to know how much they are owed.
• Defendants who want to estimate the total amount they need to pay to satisfy the judgment.
• Attorneys and paralegals who need to compute interest for settlement negotiations or court filings.
• Anyone trying to understand how post-judgment interest accrues in Georgia.

It is not a substitute for legal advice. If you are involved in a lawsuit or judgment collection, consult an attorney.

Limitations and Additional Considerations

This calculator provides a straightforward estimate based on the information you enter. Real-world situations can be more complex:

• Partial payments: If payments have been made over time, the interest must be recalculated on the decreasing principal balance. This calculator does not handle that.
• Rate changes: If the judgment period spans multiple years and the statutory rate changed, you would need to break the period into segments and apply each rate separately.
• Court costs and fees: Some judgments include court costs or attorney fees. Those amounts may or may not earn interest, depending on the court’s order.
• Pre-judgment interest: This calculator only covers post-judgment interest. Pre-judgment interest (interest that accrues before the judgment is entered) is a separate matter and is not included.
• Bankruptcy or stay: If the defendant files for bankruptcy, the automatic stay may stop interest from accruing. This calculator does not account for such events.

Always verify the exact interest rate and the applicable rules with the court or a qualified attorney before relying on a calculation.

Frequently Asked Questions

What is the current post-judgment interest rate in Georgia?

The rate is set annually by the Georgia Department of Banking and Finance. In recent years, it has been 7% per year, but it can change. Check the department’s website or consult the court clerk to confirm the rate for the relevant year.

Does post-judgment interest compound in Georgia?

No. Georgia law provides for simple interest on judgments. Interest is calculated only on the original judgment amount, not on previously accrued interest.

Can I use this calculator for pre-judgment interest?

No. Pre-judgment interest is a different concept, often based on different rules and rates. This calculator is specifically for post-judgment interest, which begins after the judgment is entered.

What if the defendant makes partial payments?

You need to recalculate interest on the remaining principal after each payment. This calculator assumes a single lump-sum payment. For partial payments, you would need to track the balance and compute interest for each period separately.

Does the interest rate change over time?

Yes, the statutory rate can change annually. If your judgment spans multiple years, you may need to apply different rates to different periods. This calculator uses one rate for the entire period, so it is most accurate for judgments that are paid within a single year.

Is this calculator legally binding?

No. This calculator is for estimation purposes only. The actual amount of interest owed is determined by the court and the law. Always verify your calculation with a qualified attorney or the court clerk.

Related

• Railroad Quiet Zone Calculator: How It Works
• Quikrete Post Calculator: How Much Concrete
• Quikrete Calculator for Post Holes

in amount | Judgment amount | $ | 10000 | 0 | 100000000
in rate | Annual interest rate | % | 7 | 0 | 100
in start | Judgment date | - | 2023-01-15 | 2020-01-01 | 2030-12-31
in end | Payment date | - | 2024-01-15 | 2020-01-01 | 2030-12-31
out interest | Interest owed | $ | amount * (rate/100) * (end - start) / 365 | 2
out total | Total owed | $ | amount + amount * (rate/100) * (end - start) / 365 | 2