Amortization Calculator
Generate a complete loan amortization schedule. See your monthly payment breakdown, total interest, and how extra payments can save you money.
| Year | Beginning Balance | Total Payment | Principal Paid | Interest Paid | Ending Balance |
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How It Works
Understand how amortization and extra payments affect your loan.
What Is Amortization?
Amortization spreads a loan into fixed payments over time. Each payment covers interest and principal. Early payments are mostly interest; later payments are mostly principal. The amortization schedule shows the full breakdown.
Extra Payment Benefits
Adding extra money to your monthly payment reduces the principal faster. This means less interest accrues over the life of the loan, saving you thousands and shortening your payoff timeline by months or years.
15 vs 30 Year Term
A 15-year loan has higher monthly payments but drastically lower total interest. A 30-year loan offers lower monthly payments but costs significantly more in interest over the full term. Use the presets above to compare.
Frequently Asked Questions
Common questions about loan amortization and this calculator.
Amortization is the process of spreading out a loan into a series of fixed payments over time. Each payment covers both interest and principal, with early payments going mostly toward interest and later payments going mostly toward principal. An amortization schedule shows the breakdown of every payment over the life of the loan.
Making extra payments toward your loan principal reduces the outstanding balance faster, which means less interest accrues over time. Even small additional payments can save thousands in interest and shorten your loan term by years. The calculator shows exactly how much you can save.
A 15-year loan has higher monthly payments but much lower total interest because you pay off the loan in half the time. A 30-year loan has lower monthly payments but you pay significantly more interest over the full term. For example, on a $300,000 loan at 6%, the 15-year saves over $150,000 in interest compared to the 30-year.