# Extra Payment Calculator

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## Extra Principal Payment Help

The accelerated payment calculator will calculate the effect of making extra principal payments. A very small extra principal payment made along with a regular payment can save the borrower a large amount of interest over the life of a loan, particularly, if those payments are started when the loan is relatively new.

For example, assume that you have taken out a loan for $130,000, for 360 monthly periods with an annual interest rate of 7 3/4%. If, with the 49th payment, you start to pay an extra $225, you will save $75,901.42 in interest payments and the loan will be paid off in 234 payments instead of the original 360 payments.

It is very easy to quickly calculate many different scenarios. Note that the higher the interest rate, the greater the savings for any extra payment amount. Also, for a normal amortizing loan, the interest savings will be greater the sooner the extra payments start. That is, you will save a lot more in interest if you pay an extra $50 a month for the last 20 years than if you pay an extra $100 a month for the last 10 years.

As with many of our other calculators, this calculator will also solve for an unknown input. For example, if you want the calculator to calculate the regular monthly payment, enter '0' (zero) for the "Periodic Payment" and a non-zero values for "Amount of Loan", "Total Months", and "Annual Interest Rate".

If you do not enter a '0' value, the calculator will use your inputs. This allows you to use any payment amount that you need.

## Earnest Sanders Jr says:

Is there any way to export/import to EXCEL??

## Karl says:

There is no export to Excel feature, but you can select the entire payment schedule and then copy/paste it to Excel. But note, depending on what browser you are using, you may have to use Excel’s "Paste Special" feature.

About a year ago, I did look into adding an export to Excel feature, but it’s not clear to me what users expect when they ask about this. Is it just the data they are interested in loading in Excel? Or do they expect the schedule to be nicely formatted? Or do they expect the equations? I can imagine several different use cases.

## Kelvin says:

My vehicle loan lender says they are using the “True Daily Earning Method” to determine my loan parameters. The particulars are as follows:

Loan Amount: $14,435.69

Annual Percentage Rate: 23.5115%

99 Semi-Monthly Payments: $227.70

First Payment Paid 6-25-18.

(Interest $86.95

Principal $131.28

Towards Sales Tax $9.47)

I paid an extra $100.00 towards the principal of which they said $95.84 went to principal and $4.16 must go towards sales tax.

I intend to pay an extra $100.00 ($95.84) to the principal every payment and want to know how much of an effect this will have on shortening the length of the loan and how much interest I will save?

How and what calculator do I use to figure this?

## Karl says:

Does the loan amount of $14,435.69 include the sales tax owed or is the sales tax added to the loan balance?

What is the sales tax rate (percentage)?

As of now, I think this calculator should do it for you. Did you have any questions about how to use it?

## STEVE says:

My question is similar.

I would like to calculate the affect of an extra annual payment of 2500 on an auto loan. It seems all the calculators figure a monthly extra payment. Is there a way to change the frequency of the extra payments?

I am trying to figure how to create these calculators, because all of the calculators that exist which feature the option to change the extra payment frequency use mortgage amortization.

## Karl says:

You’ll need to use this calculator. It will allow you to enter extra payments using any frequency.

If you try it, scroll down the page to the tutorial section. There are 25 tutorials – 2 deal specifically with extra payments. Also, check out tut #1 for an overview.

## Kathy Rakestraw says:

How do I change the start dates, want to go back to April and it doesn’t let me change the start date?

## Karl says:

Please use this loan calculator. On the "Options" you’ll have the ability to enter both the extra payment amount and dates, including the start date.

## Bill Cook says:

I really appreciate this calculator. I use it regularly to plan my mortgage pre-payments. It obviously doesn’t calculate everything everyone wants, but I find it extremely useful.

## Andrea says:

I wish there was a way to put my total mortgage payment in, including escrow payments, so I can see how much extra I truly need to pay to get my mortgage paid off in 10 years!

## Karl says:

Two things.

First, the escrow portion of the mortgage payment has no impact on when the mortgage is paid off. You don’t even have to think about it, because when the mortgage is paid off and goes away, you’ll still have to pay the escrow – usually property taxes and insurance. If you want to see what your total payment will be and still pay the loan off in 10 years, use this calculator and then add the escrow amount to the payment it suggests to reach your goal of being mortgage free in 10 years.

That said though, you can use this mortgage calculator and it will consider the various items that go into escrow as well as extra payments on the mortgage amount.

If you try it, and have questions, just ask.

## DOLF VANKESTEREN says:

Hello Karl

Thank you for trying to assist. i’m done, unable to get it correct.

It can not be this complicated, there must be a reason I do not understand.

It is what it is!

Zero struggles with other calculators. I’m done!

Dolf sr

## Karl says:

Understood. Thanks for stopping by.

I just noticed you are writing from a different calculator page. The instructions I had given you before were for a different calculator, so perhaps that caused some confusion.

Also, in our few exchanges, you never said what you are trying to accomplish. That would have help, along with the specifics, of course.

## Dolf vanKesteren says:

Hello Karl,

All I was trying to accomplish was put a loan summary together, showing:

loan amount, payments, interest, principal and additional monthly payments.

how difficult an this become?

1st issue was date, you fixed that for me, I was able to download one time

a loan summary, pretty accurate. 2nd time NO WAY, THIRD TIME NO WAY.

inconsistency’s every time so I gave up. 1st time used different calculator from

other company, issues resolved. Why not allow consumer to contact you by phone

this would make things a lot easier.

I do appreciate you continue to take care of this issue, however, how many times

do we have to go over the same thing? I feel strongly that there is a issue with

the program, software. I do make mistakes, however over and over again???? give me a break.

Dolf sr

## Karl says:

Understood. Should you ever want to try the mortgage calculator again, this is all you have to do to get a "loan summary."

That’s it. Nothing more. You don’t have to touch any other setting or option. The calculator will give you consistent results if you do the same thing.

Now, if you want to see the impact of making extra payments, do this:

Again, no other setting needs to be changed.

Much of this is outlined right below the calculator in the section "The Mortgage Payment".

If you start changing the dates, that will most certainly start changing your results. And perhaps you’ll view things as not being consistent. Please see the section "ABOUT DATES," in red, a little further down the page. (Date change definitely impact interest calculations and this calculator reflects that fact. It is sensitive to a change in a single day. Not many calculators on the internet are.)

One other point, if the loan isn’t really a mortgage, but just a more "normal loan" or you’re not interested in working from the "Price of Real Estate or Asset" or including PMI etc, then I suggest you try the more basic loan calculator on this site. It has the same options for extra payments, but a lot few settings. You should still understand about dates and how they impact interest calculations and the options available to the user for when and how interest is collected.

But if you keep the loan date and the first payment date always one month apart, (assuming monthly payments), then you should not really have any issues with interest calculations.