From 1 July 2010, the basis for the calculation of post-judgment interest changed whereby interest is calculated by reference to the Reserve Bank of Australia Cash Rate plus 6%.
This new method of calculating post-judgment interest is intended to apply throughout Australia with amendments having already being made to the NSW Courts Reference
We have developed a Post-Judgment Interest Calculator to make these detailed calculations easy for you to work out in a matter of seconds by completing the 3 key inputs :
Dolman Post jugment interest calculator
Help with the 3 key inputs
Interest is calculated using the following methodology contained in the NSW Courts Practice Notes being:
- in respect of the period from 1 January to 30 June in any year – the rate that is 6% above the cash rate last published by the Reserve Bank of Australia before that period commenced, and
- in respect of the period from 1 July to 31 December in any year – the rate that is 6% above the cash rate last published by the Reserve Bank of Australia before that period commenced
Post-judgment interest is calculated by reference to the Reserve Bank of Australia Cash Rate plus 6% calculated in six month periods. Interest is calculated on a simple basis (not compounding).
The Post-Judgment Interest Calculator has been updated to include the RBA Cash Rate up to 31 December 2014. Next Update: 1 January 2015
Our Post Judgment Interest Calculator calculates interest on the basis of the RBA Cash Rate plus 6%. It does not, at present, include the old Schedule 5 rates prior to 1 July 2010. Calculations will be made prior to 1 July 2010 but it will apply the RBA Cash Rate plus 6% not the NSW Schedule 5 rates.
The change to post-judgment interest does not have retrospective effect – s. 30 Interpretation Act 1987 (NSW). Interest for post-judgment periods up to and including 30 June 2010 should be calculated with reference to the rates in Schedule 5. Practitioners are reminded that they may access historic versions of the UCPR via the NSW Government’s legislation website to review Schedule 5 rates.