Mortgage Calculator with Extra Payments

Add extra monthly or one-time payments to see how much interest you save and how many years earlier you pay off your mortgage.

Mortgage calculator with extra payments

Enter your loan amount, interest rate, and term, then add an extra monthly payment, a one-time extra payment, or both. The calculator shows how much interest you save, how many years earlier you pay off the loan, and a full amortization schedule that reflects your extra payments.

How to use this calculator

Enter your loan amount, annual interest rate, and term in years. Add an extra amount you'll pay every month toward the principal, if any. Add a one-time extra payment and the month you'll make it, if any. Click Calculate to see your interest saved, time saved, new payoff time, and updated schedule.

How extra payments save you money

Every extra dollar you pay goes straight to the principal — the outstanding balance. Because interest is charged on that balance, reducing it early means less interest accrues in every month that follows. The result is a shorter loan and a lower total interest cost.

Extra payments made early in the loan save the most, because that's when your balance — and therefore your interest — is highest. Even a small extra amount each month can cut years off a 30-year mortgage.

Monthly vs. one-time extra payments

A recurring extra monthly payment compounds its effect over time and is the most powerful way to shorten a loan. A one-time lump sum — from a bonus, tax refund, or windfall — gives an immediate balance reduction. You can combine both in this calculator to compare scenarios.

Before you commit, confirm your loan has no prepayment penalty and that extra payments are applied to principal, not prepaid interest or the next month's payment.

Mortgage Calculator with Extra Payments FAQ

How do extra mortgage payments save interest?

Extra payments reduce your principal balance immediately. Since interest each month is calculated on the remaining balance, a lower balance means less interest accrues going forward — and the loan is paid off sooner.

Is it better to pay extra monthly or make a one-time lump sum?

A recurring extra monthly payment usually saves the most because it reduces the balance every single month. A one-time lump sum still helps, especially early in the loan. This calculator lets you model either or both.

Do extra payments lower my monthly payment?

No. Extra payments shorten the loan term and reduce total interest, but your scheduled monthly payment stays the same. You simply finish paying sooner. To lower the monthly payment itself, you would need to refinance or recast the loan.

When do extra payments save the most?

Early in the loan. Your balance is highest at the start, so that's when interest charges are largest. Extra payments made in the first years remove the most future interest.

Should I check for a prepayment penalty?

Yes. Some loans charge a fee for paying ahead of schedule. Confirm with your lender that there's no prepayment penalty and that extra amounts are applied directly to principal.

Related loan calculators

This calculator estimates principal and interest only and excludes taxes, insurance, and fees. Check that your loan has no prepayment penalty before making extra payments.