Loan Amortization Calculator

FREEFinance & Business

TOOLLoan Amortization Calculator

Loan Amount

Annual Interest Rate (%)

Loan Term (Years)

Extra Monthly Payment

Start Date

Currency

Monthly EMI

$1,896

Total Interest

$382,633

Total Amount Paid

$682,633

Payoff In

30y 0m

Payment Breakdown

Principal: 44%Interest: 56%

Year-by-Year Summary

Year	Principal	Interest	Balance
1	$3,353	$19,401	$296,647
2	$3,578	$19,177	$293,069
3	$3,817	$18,937	$289,252
4	$4,073	$18,681	$285,179
5	$4,346	$18,409	$280,833

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About Loan Amortization Calculator

Understanding your loan amortization schedule is essential for making informed financial decisions. This calculator generates a complete month-by-month breakdown showing exactly how much of each payment goes to principal versus interest, plus the powerful impact of extra payments on your total cost and payoff timeline.

How It Works

The calculator uses the standard amortization formula: M = P × [r(1+r)^n] / [(1+r)^n - 1], where P is principal, r is monthly interest rate, and n is total payments. Each month, interest is calculated on the remaining balance, with the rest of the payment reducing principal. Extra payments reduce the balance faster, compounding savings over the remaining term.

Who Is This For

A homebuyer with a $400,000 mortgage at 6.5% for 30 years wants to see total interest of $510,000 — and that adding $200/month extra saves $98,000 and 6 years.

A borrower comparing loan offers uses the calculator to see total cost differences: a 15-year at 5.8% vs 30-year at 6.5% on the same principal.

A car buyer with a $35,000 auto loan at 4.9% for 5 years exports the CSV schedule to track payments against their bank statements.

A financial planner showing clients the impact of annual bonus payments — applying one extra payment per year can reduce a 30-year mortgage to 25 years.

Scope note: This calculator assumes a fixed interest rate and equal monthly payments (standard amortization). It does not account for adjustable rates, balloon payments, interest-only periods, or variable payment schedules. Escrow (property tax, insurance) is not included.

Disclaimer: This calculator is for informational and educational purposes only and does not constitute financial, tax, or legal advice. Results are estimates based on publicly available tax slabs and formulas. Consult a qualified Chartered Accountant, tax professional, or financial advisor for guidance specific to your situation. Built and maintained by the WOWHOW Team with 14+ years of software development experience.

How to Use

Enter your loan amount (principal borrowed)

Set the annual interest rate and loan term in years or months

Optionally add a start date to see exact payment dates

Add an extra monthly payment amount to see how much interest you save

View the full amortization table showing each month's principal and interest split

Check the summary for total interest paid and payoff date

Export the schedule as CSV for your records or financial planning

Frequently Asked Questions

An amortization schedule is a table showing each loan payment broken down into principal (reducing your balance) and interest (cost of borrowing). Early payments are mostly interest; later payments are mostly principal.

Extra payments go directly toward reducing your principal balance. This means future interest is calculated on a smaller amount, which shortens your loan term and reduces total interest paid — often saving thousands.

Yes, it uses the standard amortization formula used by banks. However, actual payments may vary slightly due to escrow (taxes/insurance), fees, or variable rates not captured here.

Yes — it works for mortgages, auto loans, personal loans, student loans, or any fixed-rate amortizing loan with equal monthly payments.

The calculator instantly recalculates the entire schedule, showing your new payoff date and total interest savings compared to the base loan.