Google Sheets RATE function

This post will guide you how to use Google Sheets RATE function with syntax and examples in google spreadsheet .


The Google Sheets RATE function returns the interest rate per payment period of an annuity.

The RATE function is a build-in function in Google Sheets and it is categorized as a Financial Function.


The syntax of the RATE function is as below:

= RATE(number_of_periods, payment_per_period, present_value, [future_value, end_or_beginning, rate_guess])

Where the RATE function arguments are:

  • number_of_periods -This is a required argument. The total number of payments periods in an annuity.
  • payment_per_period – This is a required argument. The amount of the payment made each period.
  • present_value – This is a required argument. The present value of the payments.
  • future_value – This is an optional argument. The future value or a cash balance you want to attain after the last payment is made. If fv is omitted, it is assumed to be 0 (zero), that is, the future value of a loan is 0.
  • end_or_beginning – This is an optional argument. The number 0 (zero) or 1 and indicates when payments are due.
Set type equal to If payments are due
0 or omitted At the end of the period
1 At the beginning of the period
  • Guess – This is an optional argument. An initial guess at the internal rate of return. if it is omitted, and it will be set as 0.1 or 10%.


  • Make sure that you are consistent about the units you use for specifying rate and nper. If you make monthly payments on a four-year loan at an annual interest rate of 12 percent, use 12%/12 for rate and 4*12 for number_of_periods. If you make annual payments on the same loan, use 12 percent for rate and 4 for number_of_periods.

Google Sheets RATE Function Examples

The below examples will show you how to use Google Sheets RATE Function to calculate the interest rate per period of an annuity.

#1 to get the monthly rate of the loan, using the following formula:


google sheets rate function1

See Also: Calculate Interest Rate in Google Sheets

Related Posts

Rank Numbers without Repetitive Ranks in google sheets

This article will guide you how to rank numbers in a range with unique ranking in google sheets. How to use the Rank function in google sheets to get a unique ranking for ranges with duplicate values. Ranking without Repetitive ...

Rank Numeric Values with Duplicate in Google Sheets

Suppose you have an urgent task of ranking a list with duplicate values, what would be the first approach you would think of? Is there a quick and easy way to do this task in Google Sheets? This article will ...

Google Sheets COUNTIF Function

This article will introduce you how to use the COUNTIF function in google sheets, and will show you a good example to better understand the usage of the COUNTIF function. Google Sheets COUNTIF Function Description The google sheets COUNTIF function ...

Google Sheets Rank Function

This article will introduce you how to use the RANK function in google sheets, and will show you a good example to better understand the usage of the RANK function. Google Sheets Rank Function Description The Google Sheets Rank function ...

Calculate Number of Hours between Two Times

Calculating the difference between two times might be a valuable statistic for subsequent computations or averages, whether you're producing a time sheet for staff or recording personal exercises. While Excel has a plethora of complex functions, including date and time ...

Calculate Loan Interest in Given Year

When you borrow money, you are supposed to repay it gradually. Lenders, on the other hand, want to be compensated for their services and the risk they incur by lending you money. That is, you will not just repay the ...

Calculate Interest Rate for Loan

The interest rate is the fee charged by a lender to a borrower and is expressed as a percentage of the principal—the lent amount. The interest rate on a loan is often expressed as an annual percentage rate, abbreviated as ...

Calculate Interest for Given Period

Using the IPMT function in Excel, we can compute the interest payment on any loan. This step-by-step tutorial will guide Excel users of all skill levels through the process to calculate interest for given period. Finally, the formula: =IPMT(B3/12,1,B5,-B2) The ...

How To Use Excel GCD Function

This post will guide you how to use Excel GCD function with syntax and examples in Microsoft excel. Description The Excel GCD function Returns the greatest common divisor of two or more integers. So you can use the GCD function ...

Calculate A Ratio From Two Numbers In Excel

In elementary mathematics, a ratio is a connection or comparison between two or more integers. For example, ratios are often expressed as ":" to demonstrate the relationship between two numbers. You would think that manually calculating a ratio from two ...