How to use this calculator
- Enter pretax debt cost (%), assumed deductible tax rate (%).
- Choose a display currency, then select Calculate. Results also update after a brief pause while you edit.
- Read the result with the assumptions below. Export details or save a second scenario to compare your choices.
Formula and method
Assumptions and limitations
Actual interest deduction limits, taxable losses and local rules are excluded; this is not a jurisdictional tax calculator.
Worked example
With pretax debt cost (%) = 6, assumed deductible tax rate (%) = 25, after-tax debt cost is approximately 4.5%.
What the result means
This simplified financing model assumes the full interest tax shield can be used.
Common questions
How should I interpret after-tax debt cost?
This simplified financing model assumes the full interest tax shield can be used.
What should I check before using this result?
Actual interest deduction limits, taxable losses and local rules are excluded; this is not a jurisdictional tax calculator.
Methodology and transparency
Calculation specification reviewed on 2026-10-14. Mathematical implementation is tested against independent reference fixtures. This does not imply review by a licensed financial professional. Read the testing and precision policy.