What is in a mortgage payment
The principal-and-interest payment is only part of what you send each month. The Consumer Financial Protection Bureau lists the rest: principal + interest + mortgage insurance (if any) + escrow for homeowners insurance and property tax makes up the total, and homeowners' association fees, if you have them, are usually paid separately.1 Many buyers focus on principal and interest and are surprised by the total.
- Principal and interest: $2,402.35 on the example loan. This is the part that amortizes, and it is fixed on a fixed-rate loan.
- Property tax and homeowners insurance: $400.00 and $150.00 a month on the example. Lenders often collect them in an escrow account and pay the bills for you, so your total payment moves when the tax bill or premium changes.2 This calculator holds them flat.
- PMI: $150.00 a month on the example, until it ends (next section).
- HOA dues: not part of the loan, but part of what you pay. Enter them to see the full monthly cost.
In the first year of the example, $25,192.33 of the principal-and-interest payments go to interest. Early payments are mostly interest, and the share shifts to principal over the years, as the yearly summary above shows.
PMI: how much it adds and when it ends
Private mortgage insurance protects the lender when you put down less than 20% on a conventional loan.3 The premium depends on your loan and credit, so the rate in the form is an example and you should get a quote. On the example, 0.5% a year on a $360,000 loan is $150.00 a month.
Under the federal Homeowners Protection Act, as the CFPB describes it:4
- You can ask your servicer to cancel PMI once your balance is scheduled to fall to 80% of the home's original value, or earlier if extra payments get you there. You need a good payment history, current payments, and evidence the property has not lost value.
- The servicer must end it automatically when the balance is scheduled to reach 78% of the original value, if you are current on payments.
- Whatever the balance, PMI must end the month after the midpoint of the loan's term (after 15 years on a 30-year loan), if you are current.
"Original value" generally means the lower of the purchase price and the appraised value at purchase. This calculator uses the home price you enter. With the 78% setting it uses the scheduled balance and finds that PMI ends after payment 116 (9.7 years, through Jun 2036), for about $17,400 in PMI in total. Choosing 80% shows the earlier date if you ask for cancellation. Putting 20% down instead ($80,000) avoids PMI altogether and lowers the loan to $320,000, with a principal-and-interest payment of $2,135.42.
Pay off your mortgage early
Extra principal shortens a mortgage and cuts interest, because interest is charged on the balance you still owe. On the $360,000 loan, an extra $100 a month saves $72,190.79 and takes 3 years, 7 months off the loan; an extra $250 a month saves $144,932.42 and takes off 7 years, 4 months, and an extra $400 a month saves $194,782.82 and takes off 10 years, ending the loan after 240 payments (20 years). The form's "Add extra payments" option shows the new payoff date and the interest saved for your numbers, and the schedule gets an Extra column.
How much extra to cut 5, 10 or 15 years?
To finish a 30-year loan in 25, 20 or 15 years, pay the difference between the payment for that shorter term and the current payment, at the same rate, every month:
| Pay off in | Extra per month | Total monthly P&I | Total interest | Interest saved |
|---|---|---|---|---|
| 25 years | $148.96 | $2,551.31 | $405,385.70 | $99,459.08 |
| 20 years | $395.22 | $2,797.57 | $311,413.88 | $193,430.90 |
| 15 years | $839.48 | $3,241.83 | $223,527.57 | $281,317.21 |
So to cut 10 years off the 30-year loan, add $395.22 a month. That is the same as paying the 20-year payment on a 30-year loan, and it leaves you free to drop back to the smaller required payment if money gets tight.
Can you pay off a $250,000 mortgage in 5 years?
Yes, if you can pay the 5-year payment: at 7.03% a $250,000 loan repaid over 60 months is $4,953.84 a month for principal and interest and costs $47,230.33 in interest, against $1,668.30 a month and $350,586.65 in interest over 30 years. On an existing 30-year loan the same result means adding the difference, $3,285.54 a month, as extra principal. Set the loan amount and term in the form to try your own.
Are biweekly payments worth it?
Half your payment every two weeks is 26 half payments a year, or 13 full payments instead of 12.5 The benefit is that one extra payment: on the example, one extra full payment a year saves $128,792.42 and shortens the loan by 6 years, 5 months. You can do the same yourself, for free, with the "Use one extra full payment" button in the form. Check that your servicer applies the extra money to principal and that the loan has no prepayment penalty.
Mortgage amortization schedule in Excel or Google Sheets
The Download Excel button gives you a workbook with live formulas. To build one yourself, the principal-and-interest payment on the example loan is a single formula, =-PMT(7.03%/12,30*12,360000), which returns $2,402.35 (the minus sign flips PMT's negative result).7 Interest for a month is the balance times the annual rate divided by 12, so the first row is $2,109.00 of interest and $293.35 of principal, leaving a balance of $359,706.65, and every next row starts from the last row's ending balance. Excel's own functions give the same split directly: =-IPMT(7.03%/12,1,360,360000) for interest and =-PPMT(7.03%/12,1,360,360000) for principal, where 1 is the payment number.7
Those rows are principal and interest only. Property tax and insurance are flat monthly amounts you add ($400.00 and $150.00 on the example), and PMI is added only while it lasts: with the payment number in column A, =IF(A7<=116,150,0) puts $150.00 in each of the first 116 rows and nothing after. The same formulas work in Google Sheets.
15-year or 30-year mortgage?
A shorter loan has a higher payment and far less interest. Freddie Mac's weekly survey put the average 30-year fixed rate at 7.03% and the 15-year fixed rate at 6.42% (Freddie Mac average, week of September 24, 2026).6 The survey averages loan applications from lenders across the country, so your own quote will differ. Applied to the example loan:
| Loan | Monthly payment | Total interest | Total paid |
|---|---|---|---|
| 30-year fixed at 7.03% | $2,402.35 | $504,844.78 | $864,844.78 |
| 15-year fixed at 6.42% | $3,120.18 | $201,631.64 | $561,631.64 |
The 15-year loan costs $717.83 more each month and saves $303,213.14 in interest. Whether that trade is right depends on your budget and on what else you could do with the money, which this calculator cannot tell you. To model a 15-year loan, set the term to 15 years and the rate to your quote.
Frequently asked questions
What is a mortgage amortization schedule?
It is a table of every mortgage payment, split into interest and principal, with the loan balance after each one. On a fixed-rate mortgage the payment is the same each month, but early payments are mostly interest and later ones mostly principal. This calculator shows the schedule for principal and interest, and adds tax, insurance, PMI and HOA to the monthly total.
What is included in a monthly mortgage payment?
Principal, interest, mortgage insurance if you have it, and an escrow amount for homeowners insurance and property tax. If you live in a community with a homeowners' association, its dues are usually paid separately. On the example, principal and interest is $2,402.35, and the full payment with tax, insurance and PMI is $3,102.35.
When does PMI go away?
You can ask the servicer to cancel it when your balance is scheduled to reach 80% of the home's original value. It must end automatically at 78%, or the month after the midpoint of the loan term, if you are current on payments. On the example loan PMI ends after payment 116 (Jun 2036) at the 78% setting, and the payment then falls to $2,952.35.
How can I cut 10 years off a 30-year mortgage?
Pay the difference between the 20-year payment and the 30-year payment every month. On the $360,000 example at 7.03% that is $395.22 a month extra. Cutting 5 years takes $148.96 extra a month and cutting 15 years takes $839.48. Refinancing to a shorter loan is the other route, at whatever rate you are offered.
Are biweekly mortgage payments worth it?
They are worth exactly one extra monthly payment a year, because 26 half payments equal 13 full ones. On the example that saves $128,792.42 and shortens the loan by 6 years, 5 months. Some companies charge fees to set up biweekly payments, and you can get the same result for free with a yearly extra payment.
Is a 15-year mortgage better than a 30-year mortgage?
It costs much less in interest and more each month. With Freddie Mac's September 24, 2026 averages, a $360,000 loan is $3,120.18 a month over 15 years at 6.42% against $2,402.35 over 30 years at 7.03%, and the interest is $201,631.64 against $504,844.78. Which is better depends on your budget and your other goals.
How can I pay off a $250,000 mortgage in 5 years?
Pay the 5-year payment from the start: at 7.03% that is $4,953.84 a month for principal and interest, with $47,230.33 of total interest, compared with $1,668.30 a month over 30 years. If you already have a 30-year loan, add the difference of $3,285.54 a month as extra principal.
What happens if I pay an extra $400 a month on my 30-year mortgage?
On the $360,000 example at 7.03%, an extra $400 a month saves $194,782.82 in interest and takes 10 years off the loan, which then ends after 240 payments. The extra goes entirely to principal, so check that your servicer applies it that way and that the loan has no prepayment penalty.
How do I make a mortgage amortization schedule in Excel?
Work out the principal-and-interest payment with =-PMT(rate/12, years*12, loan). Then make one row per payment: interest is the balance times rate/12, principal is the payment minus interest, and the new balance is the old balance minus principal. Add tax, insurance and PMI as separate columns. The formulas, with this page's example, are in the Excel and Sheets section above, and the Download Excel button gives you a finished workbook.
Does this include closing costs or points?
No. It calculates the loan from the amount you borrow, the rate and the term. Closing costs and discount points are paid up front or rolled into the loan, so if you roll them in, add them to the loan amount by lowering the down payment.
Will my payment change over time?
The principal-and-interest part of a fixed-rate mortgage does not change. Property tax and insurance usually do, and when they are paid through escrow your total payment moves with them. This calculator holds tax and insurance flat and does not model adjustable-rate loans.
How do I use this for a mortgage I already have?
Use the amortization calculator: enter your current balance as the loan amount, your rate, the years and months you have left as the term, and your next payment date. To see when PMI ends on an existing loan, use this page with the original home price and down payment and your original first payment date.
Is what I type sent anywhere?
No. The calculation runs in your browser and the numbers you enter are not sent to a server. We count page visits and button clicks with our own analytics on our own server, and those events carry no amounts or inputs.
Sources
- Consumer Financial Protection Bureau, On a mortgage, what's the difference between my principal and interest payment and my total monthly payment? (last reviewed August 28, 2023).
- Consumer Financial Protection Bureau, What is an escrow or impound account? (last reviewed September 11, 2024): escrow pays property taxes and homeowners insurance, and the payment changes when those bills change.
- Consumer Financial Protection Bureau, Mortgage key terms: private mortgage insurance, and the definition of a bi-weekly payment.
- Consumer Financial Protection Bureau, When can I remove private mortgage insurance (PMI) from my loan? (last reviewed August 28, 2026): the 80% request rule, 78% automatic termination, the midpoint rule, and the definition of original value.
- Consumer Financial Protection Bureau, CFPB Files Suit Against Nationwide Biweekly for Luring Consumers with False Promises of Mortgage Savings (May 11, 2015): a paid biweekly program described as effectively making one additional monthly payment a year.
- Freddie Mac, Primary Mortgage Market Survey, weekly averages as of September 24, 2026: 30-year fixed 7.03%, 15-year fixed 6.42%. Rates change weekly; the calculator's rate field is yours to set.
- Microsoft Support: PMT function, IPMT function and PPMT function: arguments, the sign convention, and using the monthly rate and number of months. Google Sheets has the same functions: PMT.
The schedule and every figure in the tables are calculated by this page's own code, which is checked against an independent implementation in the site's test suite. Tax, insurance and PMI inputs are examples, not quotes.