Amortization Schedule Calculator

First, it will calculate your monthly mortgage payment for any loan amount and interest rate. Second, it will show you how fast you’ll pay down your mortgage principle and your accumulated interest payments over the life of the loan – this is the amortization schedule.Third, it can show you how much faster you could pay off the mortgage and how much you’d save in interest by paying a bit extra from time to time. Finally, it provides you with a visual representation of the ratio of your principle payments to interest over the life of the loan and lets you see how varying the interest rate, length of the loan or additional payments will vary that proportion.

Amortization Schedule Calculator Overview

A mortgage amortization schedule lets a borrower see how their monthly payments gradually reduce the balance owed on their mortgage over time, and how much of their monthly payments go toward mortgage principle.

Because interest charges are based on your outstanding balance, in the early years of a 30-year mortgage most of your monthly payment goes toward interest and relatively little goes toward paying down principle. But as the loan is gradually paid off, the monthly interest charges decline and more of each payment goes toward paying off principle, so that in the latter years of the loan, you’re paying off principle at a rapid rate.

An amortization schedule allows you to see how this unfolds. It also tells you how much accumulated interest you will have paid at any point in the loan, and how much interest you can expect to end up paying over the life of the mortgage.

Making additional payments will accelerate the rate at which you pay down mortgage principle, shortening the term of the loan and reducing the interest you have to pay. An amortization schedule can show you just how much a single or series of payments would shorten your loan an how much you’d save in interest as a result.

Who would use this calculator?

There are several situations where this Amortization Schedule Calculator would be useful:

  • To see the effect of making additional mortgage payments or increasing your monthly payments
  • To see how much faster you’d pay off loan principle by refinancing to a mortgage with a shorter term and/or lower interest rate
  • To determine when you can cancel private mortgage insurance (PMI)
  • For long-term planning, to see how much cash you would get if you plan to sell your home in a few years. Or to see when you would have enough equity accumulated to move up to a nicer home.
  • To simply calculate your monthly mortgage payments

Using the Amortization Schedule Calculator

Enter your original loan amount, interest rate and length of the mortgage in the places indicated. The calculator will immediately show your monthly payments and a breakdown of your total costs and interest costs in the “Total Payments” box further down.

If you wish to see the effects of making additional payments, enter that information in the “Prepayments” box in the middle section. Note that you can choose to see the effects of a single extra payment or paying extra on a monthly or annual basis.

If you have been paying on your mortgage for some time and would like to see the effect of making additional payments going forward, use the “Start with payment” box to indicate when you would start paying extra. These are numbered in order so that, for example, the last payment you make in the first year of the loan would be payment #12.

Choose if you want your amortization report to show results on either a monthly or annual basis, then click “View Report” at the top of the page to see the full amortization table.

Amortization Schedule Calculator Overview

An amortization schedule for a mortgage helps a borrower see how the monthly mortgage payments that they make are applied to their principal balance of the mortgage, and how much is applied toward the interest paid on the mortgage. An amortized mortgage has equal monthly mortgage payments, so when the term of the mortgage comes to end the mortgage is paid in full. For example, a 30-year fixed mortgage is amortized over a 30-year period so that the equal monthly payments paid over the 30 years will pay off all of the interest and principal balance of the mortgage so that the remaining balance is $0.