Loan Amortization Schedule
The full amortisation schedule for a loan. Every instalment split into interest and principal, with the running balance and a downloadable table.
Also called: amortisation table, loan schedule, repayment schedule.
You repay $948,384.00 on a loan of $400,000, $548,384.14 of it interest. In the first year alone, $27,470.63 goes to interest and only $4,142.17 to the debt.
An estimate, not an offer or a guarantee. Projected returns assume the rate you entered holds for the whole term, which no market does.
principal_vs_interest_split
Outstanding balance
Hover or drag for values| Month | Payment | Interest | Principal | Balance |
|---|---|---|---|---|
| 1 | $2,634 | $2,300 | $334 | $399,666 |
| 2 | $2,634 | $2,298 | $336 | $399,329 |
| 3 | $2,634 | $2,296 | $338 | $398,991 |
| 4 | $2,634 | $2,294 | $340 | $398,651 |
| 5 | $2,634 | $2,292 | $342 | $398,309 |
| 6 | $2,634 | $2,290 | $344 | $397,965 |
| 7 | $2,634 | $2,288 | $346 | $397,618 |
| 8 | $2,634 | $2,286 | $348 | $397,270 |
| 9 | $2,634 | $2,284 | $350 | $396,920 |
| 10 | $2,634 | $2,282 | $352 | $396,568 |
| 11 | $2,634 | $2,280 | $354 | $396,214 |
| 12 | $2,634 | $2,278 | $356 | $395,858 |
This is what the calculation gives for the numbers you entered. It is an estimate, not advice, and it knows nothing about your situation beyond those numbers. Rules for United States change on a published schedule; the effective date is shown on every rule-based tool.
How this is calculated
The outstanding-balance formula falls out of the same derivation as the EMI itself, one step earlier. Interest in any month is the rate times the previous balance; principal is whatever the fixed payment has left over. Because the balance starts at its maximum, the split is heavily weighted to interest early and reverses late.
B_k = P*(1+i)^k - E*((1+i)^k - 1)/i- E
- The equal periodic instalment (currency)
- P
- Principal: the amount borrowed (currency)
- i
- Monthly interest rate = annual rate ÷ 12 ÷ 100 (decimal)
- n
- Total number of monthly instalments (months)
- B_k
- Outstanding balance after k payments (currency)
Full derivation: The annuity payment, derived from scratch
Method and limits
What it assumes
- Interest compounds monthly on the reducing balance.
- The rate stays fixed for the whole term. Floating-rate loans reset periodically.
- Processing fees, insurance and statutory charges are excluded.
What it deliberately does not model
- Does not model rate resets on floating-rate loans. Most lenders hold the instalment steady and extend the term instead, so a rate rise can add years without changing what leaves your account each month.
- Does not include property insurance, maintenance or association dues, or any lender fee.
- Assumes every instalment is paid in full and on time.
Formula version 1.0.0 · definition 1.0.0 · United States · Report a problem with this calculator
Frequently asked questions
- Why is so much of my early payment interest?
- Because interest each month is the rate times the balance, and the balance starts at its highest. On a 20-year loan at 8.5% the first year is about 81% interest. The schedule below shows the crossover month where principal first exceeds interest.
- What does the last row of a schedule look like?
- Lopsided, and correctly so. Lenders round the instalment, so the final payment is trued up against whatever balance remains, which is why it differs from every other row by a few units.