Enter the total investment returns, interest paid, and average assets. The calculator will evaluate and display the net interest margin.

- Interest Coverage Ratio Calculator
- Real Interest Rate Calculator
- Loan Calculator with Interest
- Operating Margin Calculator

## Net Interest Margin Formula

The following formula can be used to calculate the net interest margin.

NIM = (IR – IP) / AA

- Where NIM is the net interest margin
- IR is the investment return
- IP is the interest paid
- AA is the average assets

## Net Interest Margin Definition

A net interest margin is a ratio of the return of an investment (minus interest) to the total average assets of the investment. The greater the ratio the smaller the assets or larger the return.

## Net Interest Margin Example

How to calculate net interest margin?

**First, determine the investment return.**Calculate the total return on the investment.

**Next, determine the interest paid.**Calculate the total interest paid.

**Next, determine the average assets.**Calculate the total average asset value.

**Finally, calculate the net interest margin.**Calculate the net interest margin using the formula above.

## FAQ

**What is a net interest margin?**

Net interest margin is a ratio of the real return on an investment to the to average assets of the investment.

## Related Terms

net interest margin calculator |

net interest margin formula |

how to calculate net interest margin |

net interest margin |

net interest |

interest margin |

nim bank |

net interest margin for banks |

nim net interest margin |

net interest margin ratio |

net interest margin definition |

net interest margin meaning |

net interest income margin |

nim full form in banking |

factors affecting net interest margin |

net interest margin formula rbi |

net interest margin formula for banks |

net interest margin ratio formula |

nim banking term |

net interest margin interpretation |

interest margin formula |

define net interest margin |

interest margin meaning |

interest margin ratio |

difference between net interest income and net interest margin |

net non interest margin formula |

how to calculate net interest margin for banks |

formula of net interest margin |

net non interest margin formula for banks |

interest margin definition |

interest rate margin definition |

net interest rate margin |

net interest margin european banks |

how do you calculate net interest margin |

net interest margin of indian banks |

bank interest margin |

net interest margin equation |

net interest margin of indian banks 2018 |

net interest margin australian banks |

net interest margin example |

nims banking |

interest rate margin formula |

interest margin calculation |

meaning of net interest margin |

net interest margin calculation for banks |

how to find net interest margin |

net interest margin and net interest income |

how to calculate net interest margin from bank financial statement |