Pennsylvania Late Fee Calculator
Calculate late fees and interest on overdue invoices in Pennsylvania — pre-set to the state's 6% statutory default rate.
Late fee rules in Pennsylvania
Statutory interest rate
6% per annum — the legal rate; judgments also bear 6% absent a pleaded contract rate.
41 P.S. § 202 (legal rate); 42 Pa. C.S. § 8101 (judgments)
Can you charge more? (contract & caps)
For B2B invoices the contract controls, subject to liquidated-damages reasonableness — the 6% usury cap reaches only loans of $50,000 or less and exempts business-purpose loans, so it does not cap late fees on commercial trade credit.
Prompt payment rules
CASPA (73 P.S. §§ 501–516) gives contractors and subs on private construction 1% per month interest on late payments, plus a 1% per month penalty and attorney fees where amounts are wrongfully withheld.
Worth knowing
Unless the contract sets (and the creditor pleads) a higher rate, Pennsylvania judgments accrue only 6% simple interest — among the lowest post-judgment rates in the US — while a CASPA construction claim can effectively run 12–24% per year plus fees.
This page is general information, not legal advice. Statutory rates change — some reset annually or quarterly — and how they apply depends on your contract and situation. Verify current rates against the cited statutes or consult a lawyer before charging interest.
Free Download
Late Payment Policy Template
Complete policy document with grace periods, fee schedules, escalation timelines, and payment plan options.
Download free