Amortization Schedule Calculator
Instantly generate a month-by-month breakdown of your loan repayment journey.
Loan Amortization
Monthly Payment
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What is an Amortization Schedule?
An amortization schedule is a complete table of periodic loan payments, showing the exact amount of principal and the amount of interest that comprise each payment until the loan is paid off at the end of its term. Our Amortization Calculator instantly generates this table for any standard loan.
The Front-Loading of Interest
When you look at the generated schedule, you will notice a common phenomenon in finance: loans are "front-loaded" with interest. Because interest is calculated as a percentage of your remaining balance, and your balance is highest on day 1, your first payment will contain the highest amount of interest and the lowest amount of principal.
As the months tick on, you slowly chip away at the principal. With a lower principal balance, the interest charge drops, meaning more of your fixed monthly payment finally goes toward actually paying down the debt.
Why This Matters
Understanding amortization is critical if you plan to sell a car or a house before the loan term is up. Because of front-loaded interest, simply paying a 5-year loan for 2.5 years does not mean you have paid off half of the balance. The amortization table reveals your exact remaining balance at any given month.