LandlordKit

Security Deposit Interest Calculator

Find out exactly how much interest you owe a tenant on their security deposit. Pick your state for its specific rule, rate, and statute — then download a PDF interest statement. Free, no signup.

This rate is set by statute. You can lower it if your bank paid less.

Interest owed to tenant

$202.87

Time held
2.03 yrs
Total to return
$2,202.87

Massachusetts rule

Landlords must pay 5% per year (or the actual rate received from the bank, if lower) on deposits held for at least one year.

When paid: At the end of each year of tenancy, and within 30 days of move-out.

Last verified June 1, 2026.

Not legal advice. LandlordKit provides general informational tools, not legal advice. Landlord-tenant laws change and vary by city and county. Verify the cited statute and consult a licensed attorney before acting on any result.

Security deposit interest rules by state

Rules vary widely. Select your state in the calculator, or open a state page below for the exact rate, holding period, statute, and a worked example.

StateInterest required?Typical rate
Massachusettsyes5%
Ohioyes5%
Minnesotayes1%
Connecticutyes0.49%
Illinoisyes0.01%
Marylandyes1.5%
New Jerseyyes0.1%
New Yorkyes0.1%
Pennsylvaniayes0.1%
New Mexicoyes0.1%
New Hampshireyes0.1%
District of Columbiayes1.5%
Floridayes5%
Iowayes0.1%
North Dakotayes0.5%

Every state

Open your state for its interest rule (or confirmation that none applies) plus its security deposit return deadline and rules.

Frequently asked questions

Which states require landlords to pay interest on security deposits?+

About a dozen states plus several cities require it — including Massachusetts, Ohio, Minnesota, Connecticut, Illinois, Maryland, New Jersey, New York, Pennsylvania, New Mexico, New Hampshire, District of Columbia, Florida, Iowa, North Dakota. Most other states have no statewide requirement.

Is security deposit interest simple or compound?+

Every US state that requires deposit interest uses simple (non-compounded) interest. This calculator uses simple interest.

Do I need an account to use this calculator?+

No. It's free, runs entirely in your browser, and you can download a PDF interest statement instantly.