![]() If interest rates change, or your loan type changes – say from variable to fixed – or if you have a feature such as an offset account, our system will keep track of these changes and update the monthly direct debit. This is divided by the total months in your loan term to get to your monthly repayment amount. In 10 months you would have $2,517.57 in savings.Our repayment calculator takes into account how much you need to borrow, the loan term (for example 30 years), and then calculates the interest charge based on which loan structure you choose.įrom there, it can work out based on the loan principal plus the interest what the total figure it is you need to pay over the loan term.įor example, if you borrowed $500,000, and your total interest charge was $350,000 over 30 years, then the total amount payable would be $850,000. Starting with $500 in your account, how much will you have in 10 months if you deposit $200 a month at 1.5% interest? See how much your savings will add up to over time The PMT is -350 (you would pay $350 per month). ![]() The NPER argument is 3*12 (or twelve monthly payments over three years). The result of the PV function will be subtracted from the purchase price. The $19,000 purchase price is listed first in the formula. The down payment required would be $6,946.48 In this formula the result of the PV function is the loan amount, which is then subtracted from the purchase price to get the down payment. You want to keep the monthly payments at $350 a month, so you need to figure out your down payment. Say that you’d like to buy a $19,000 car at a 2.9% interest rate over three years. The rate argument is 3%/12 monthly payments per year. It would take 17 months and some days to pay off the loan. Imagine that you have a $2,500 personal loan, and have agreed to pay $150 a month at 3% annual interest. The PMT is -175 (you would pay $175 per month).įind out how long it will take to pay off a personal loan The NPER argument is 3*12 (or twelve monthly payments for three years). The PV function will calculate how much of a starting deposit will yield a future value.Īn initial deposit of $1,969.62 would be required in order to be able to pay $175.00 per month and end up with $8500 in three years. Now imagine that you are saving for an $8,500 vacation over three years, and wonder how much you would need to deposit in your account to keep monthly savings at $175.00 per month. The FV (future value) that you want to save is $8,500. The PV (present value) is 0 because the account is starting from zero. The NPER argument is 3*12 for twelve monthly payments over three years. The rate argument is 1.5% divided by 12, the number of months in a year. ![]() To save $8,500 in three years would require a savings of $230.99 each month for three years. The annual interest rate for saving is 1.5%. You’d like to save for a vacation three years from now that will cost $8,500. The PV argument is 180000 (the present value of the loan).įind out how to save each month for a dream vacation The NPER argument is 30*12 for a 30 year mortgage with 12 monthly payments made each year. The rate argument is 5% divided by the 12 months in a year. The result is a monthly payment (not including insurance and taxes) of $966.28. ![]() Imagine a $180,000 home at 5% interest, with a 30-year mortgage. The PV or present value argument is 5400. The NPER argument of 2*12 is the total number of payment periods for the loan. For example, in this formula the 17% annual interest rate is divided by 12, the number of months in a year. The rate argument is the interest rate per period for the loan. The result is a monthly payment of $266.99 to pay the debt off in two years. Nothing else will be purchased on the card while the debt is being paid off. The present value is the total amount that a series of future payments is worth now.įV returns the future value of an investment based on periodic, constant payments and a constant interest rate.įigure out the monthly payments to pay off a credit card debtĪssume that the balance due is $5,400 at a 17% annual interest rate. PV returns the present value of an investment. NPER calculates the number of payment periods for an investment based on regular, constant payments and a constant interest rate. PMT calculates the payment for a loan based on constant payments and a constant interest rate. Excel formulas and budgeting templates can help you calculate the future value of your debts and investments, making it easier to figure out how long it will take for you to reach your goals. Managing personal finances can be a challenge, especially when trying to plan your payments and savings.
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