Payment Calculator
Find a loan's monthly payment from amount, rate and term, or work backward to the term a chosen payment buys you.
Example
A $300,000 loan at 6.5% annual interest over 30 years (360 months): with r = 6.5/100/12 = 0.0054167, the payment M = 300000 x 0.0054167 / (1 - 1.0054167^-360) = $1,896.20 per month. Over 360 months you pay $682,633.47, of which $382,633.47 is interest. Switch to Solve term and enter a $2,500 target payment on the same loan and it is cleared in about 194 months (16 yr 2 mo).
How it works
Enter the loan amount and annual interest rate, then pick a mode: solve for the monthly payment over a fixed term, or solve for the term required to clear a target payment. Results update live with total interest and total paid.
Good to know
This Payment Calculator solves the two questions borrowers ask most about a fixed-rate loan. In "Solve payment" mode you enter the loan amount, annual interest rate and term in years, and it returns the level monthly principal-and-interest payment using the standard amortization formula. In "Solve term" mode you flip the problem around: enter a monthly amount you can afford and it tells you how many months and years it would take to clear the same balance. It is built for anyone comparing a mortgage, auto loan, student loan or personal loan, or anyone testing how a bigger payment shortens the payoff.
Reach for it when you are sizing up affordability before applying, deciding between a 15- and 30-year term, or checking whether rounding your payment up each month is worth it. Because the math is just amount, rate and time, the same tool works for almost any installment loan quoted with a fixed annual rate and monthly compounding.
Read the headline number as your base principal-and-interest figure, then use the three stats below it. "Total paid" is every payment added up over the life of the loan, "Total interest" is how much of that is the lender's charge rather than your borrowed money, and the principal-versus-interest bars show the split visually. In "Solve term" mode the big number switches to a month count, and the equivalent term restates it in years and months so a result like 194 months reads as roughly 16 years 2 months.
One caveat worth internalizing: the figure shown is principal and interest only. For a mortgage your actual monthly bill will be higher once property tax, homeowners insurance, PMI and any HOA dues are layered on, so treat this as the loan-cost core rather than the full housing payment. A practical tip in "Solve term" mode is that your payment must exceed the first month's interest charge (balance times the monthly rate) or the balance never falls and no finite term exists.
Frequently asked questions
Why does Solve term sometimes show no result?
If your target payment is less than or equal to the loan's monthly interest charge (balance x monthly rate), the balance never shrinks, so the loan would never be repaid. Raise the payment above that interest-only threshold and a finite term appears.
Does this include taxes, insurance, PMI or fees?
No. It computes only principal and interest from the amortization formula. For a mortgage, add property tax, homeowners insurance and any PMI or HOA dues on top of the figure shown to estimate your full housing payment.
Is my data uploaded anywhere?
No — this calculator runs entirely in your browser; nothing is uploaded.
Is this financial advice?
No. These are educational estimates — consult a qualified financial professional before making decisions.
People also ask
How is a monthly loan payment calculated?
The amortization formula is M = P x r / (1 - (1 + r)^-n), where P is the loan amount, r is the annual rate divided by 12, and n is the number of monthly payments. This produces a level payment that fully pays off principal and interest by the final month.
Is a payment calculator the same as a mortgage calculator?
The core principal-and-interest math is identical, but a dedicated mortgage calculator usually also adds property tax, homeowners insurance, PMI and HOA dues. A general payment calculator like this one shows only principal and interest, which applies to auto, personal and student loans too.
Does paying more than the required monthly payment shorten the loan?
Yes. Paying above the scheduled amount applies the extra to principal, which reduces the balance faster and cuts total interest. Using Solve term mode, a higher target payment returns a shorter payoff period than the original schedule.
What is the difference between the loan term and the payoff term?
The loan term is the contracted length you choose, such as 30 years. The payoff term is how long it actually takes to clear the balance at a given payment, which can be shorter if you pay more than the scheduled amount.
Why is total interest sometimes higher than the amount borrowed?
On long terms at higher rates, accumulated interest can exceed the original principal because interest is charged on the remaining balance every month for many years. Shortening the term or raising the payment lowers the total interest paid.
Does a lower interest rate or a shorter term save more money?
Both reduce total interest, but in different ways: a lower rate cuts the cost of borrowing at any term, while a shorter term reduces the number of months interest accrues, usually at the cost of a higher monthly payment. The relative savings depend on the specific amount, rate and term.
Can this calculator handle loans other than mortgages?
Yes. Any fixed-rate installment loan with monthly compounding, such as auto loans, personal loans or student loans, uses the same formula. You simply enter that loan's amount, annual rate and term.
What does monthly compounding mean for the result?
It means interest is calculated on the outstanding balance once per month using one-twelfth of the annual rate. The calculator assumes this standard convention, so results may differ slightly from loans that use daily or other compounding methods.
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