Amortization Calculator
Amortization calculator: see your monthly payment, total interest and payoff date, and how extra payments shorten the loan.
Editorial review: Farrow (pseudonym; identity and professional credentials are not disclosed). This page is for educational purposes, not professional advice.
Updated
Your inputs
Results update as you type. Nothing you enter leaves your device.
Results
- Total interest
- $382,633.47
- Payoff time with extra payments
- 23 yr 1 mo
- Interest saved by extra payments
- $103,448.79
- Months saved
- 83
Example with the starting values
These results use the calculator's initial inputs. Change the values above to calculate your own estimate.
Inputs
- Loan amount
- 300000 $
- Interest rate (APR)
- 6.5 %
- Loan term
- 30 years
- Extra monthly payment
- 200 $
Results
- Monthly payment
- $1,896.20
- Total interest
- $382,633.47
- Payoff time with extra payments
- 23 yr 1 mo
- Interest saved by extra payments
- $103,448.79
- Months saved
- 83
How does the Amortization Calculator work?
The monthly payment is P × r ÷ (1 − (1 + r)^−n), where P is the loan, r is the monthly rate (APR ÷ 12) and n is the number of months. Each month, interest is the balance × r and the rest of the payment reduces principal.
An extra monthly payment goes entirely to principal, so the balance falls faster, less interest accrues, and the loan ends early. This calculator replays every month to find the exact payoff.
Frequently asked questions
What is an amortization schedule?
A month-by-month table showing how each payment splits between interest and principal as the balance declines to zero.
Why is most of my early payment interest?
Interest is charged on the full balance, which is highest at the start. As the balance drops, more of each payment goes to principal.
Do extra payments really save money?
Yes. Every extra dollar cuts principal immediately, so you skip the future interest that dollar would have generated.
Does a shorter term cost less?
Usually yes. A 15-year loan has a higher payment than a 30-year loan but far less total interest at the same rate.