Amortization calculator
A full payment schedule showing interest, principal and balance.
About this calculator
This amortization calculator shows how any fixed-rate loan or mortgage is paid off. Enter the amount, term and rate to get the monthly payment and a schedule that splits every payment into interest and principal.
Switch the schedule between yearly and monthly views, and add an extra monthly payment to see how much sooner the loan ends and how much interest you save.
How it works
Each month, interest is charged on the balance and the rest of the payment reduces it. The payment stays the same, so the interest share shrinks and the principal share grows over time.
Last reviewed:
Worked example
- Loan amount: $250,000
- Term: 30 years
- Interest rate: 6.5% a year
- Schedule: Yearly
Monthly payment: $1,580.17 (for 30 yr)
Common questions
What does amortization mean?
Amortization is paying off a debt with regular, equal payments. Each one covers that month's interest and repays part of the balance, so the loan reaches zero by the end of the term.
Why is so much of my early payment interest?
Interest is charged on the balance, and the balance is largest at the start. As you repay it, less of each payment goes to interest and more goes to the principal.
Do extra payments really save money?
Yes. Extra money goes straight to the balance, so every later month is charged less interest. Check with your lender that there is no penalty for paying early.
Sources and further reading
The story behind it
Where the idea came from: The word comes from the Old French amortir, to deaden: each payment kills off part of the debt.
Before calculators, lenders and borrowers looked up payments in printed books of amortization tables, page after page of figures for every rate and term. Working out a full schedule by hand took hours. This calculator does the same sums in a moment and lets you see every payment on the way to zero.
Why you can trust this calculator
- It runs in your browser. Nothing you type into it is sent anywhere.
- The method is explained on this page, so you can check it yourself.
- Free to use, with no sign-up.
- Results are estimates, not financial advice.
- Spotted a mistake? Tell us and we'll look into it.
After 15 years as a mathematics educator, I built CalculStore to give students, teachers, professionals and anyone working with numbers simple, reliable tools.
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