How to use this calculator

The amortization formula spreads principal and interest across equal monthly payments.

The method

Payment = P r / (1 − (1+r)^−n)

Enter your values in the labeled fields and choose Calculate. The result panel shows the answer and supporting values when useful.

WORKED EXAMPLE INPUT

Loan amount: 25000, Annual interest rate (%): 7, Term (years): 5

Select Calculate to evaluate these example values.

Scope and limitations

Assumes a fixed rate and monthly payments. Excludes fees, insurance, taxes, penalties, and changing rates. A general planning calculation using only the assumptions you enter. It does not provide tax, legal, credit, or investment advice.

Common questions

Can I use different units?

Use consistent units unless this page is a unit converter. The result follows the units implied by the inputs.

Are results exact?

Displayed values may be rounded. Keep extra precision for important follow-up calculations.

Methods & verification

Formulas use standard mathematical definitions and fixed unit factors where applicable. See our methodology for numerical conventions, rounding, privacy, and limitations.