Mortgage Amortization Calculator · Practical guide

How to Read an Amortization Schedule

Six columns tell the whole story of your loan — once you know what to look for.

At a glance

The Short Answer

Each row of an amortization schedule is one monthly payment. Read left to right: the payment number and date, the payment amount (constant on a fixed-rate loan), how much goes to principal and to interest, and the remaining balance after the payment. Principal plus interest always equals the payment.

Interactive tool

Mortgage Amortization Calculator

Enter your own values, then compare the result with the examples below.

Results

Monthly Payment
Total Interest
Payoff Date
Total Cost

Amortization Schedule

#DatePaymentPrincipalInterestBalance

Reading a Real Row

Take payment #1 on a $300,000 loan at 6.5%: payment $1,896.20 = interest $1,625.00 + principal $271.20, leaving a balance of $299,728.80. Jump to payment #360 and the same $1,896.20 is almost entirely principal ($1,885.99) with just $10.22 of interest, zeroing the balance.

Three Sanity Checks

  • Interest check: any row's interest should equal the prior balance × annual rate ÷ 12.
  • Total check: the interest column should sum to payment × months − original principal ($1,896.20 × 360 − $300,000 = $382,632).
  • Balance check: the balance column must fall every row and end at exactly $0.00.

What the Schedule Does Not Show

Amortization schedules cover principal and interest only. Property taxes, homeowners insurance, PMI, and HOA fees change your total monthly outlay but never appear here, because they do not touch the loan balance.

Putting It to Work

Watch the balance column around the crossover row where principal overtakes interest — near payment 233 on a 30-year loan at 6.5%. Knowing where you stand on that curve tells you how much of each future payment builds equity, and how much an extra principal payment would save from this point forward.

Frequently Asked Questions

Why does the interest column shrink so slowly at first?

Interest is charged on the remaining balance, which barely moves early on. Each payment reduces the balance only slightly, so next month's interest drops by just a dollar or two.

Do extra payments appear on a standard schedule?

No. The schedule assumes exactly the required payment. Extra principal payments skip you ahead along the schedule, shortening the loan and reducing total interest.

Is an amortization schedule the same for adjustable-rate loans?

No. ARM schedules are recalculated at each rate adjustment, so the payment amount and the interest-principal split can change over the life of the loan.

Can I use the schedule for tax preparation?

It gives a good estimate of annual interest paid, but rely on Form 1098 from your servicer for the official deductible amount.