Mortgage Payoff Calculator
See how extra monthly payments shorten your mortgage and cut total interest. Enter your balance, rate, remaining term, and extra payment to find your new payoff date and savings.
Calculator by Toolsloft ↗- New payoff (months)
- 224
- Months saved
- 76
- Interest saved
- $54,077.88
This calculator shows how a fixed extra monthly payment shortens your mortgage and cuts total interest. Use it to find your new payoff date, the months you save, and the interest you avoid by paying down principal faster.
How this is calculated
It simulates the loan month by month, adding interest at the annual rate over 12 and applying the scheduled payment plus your extra amount to principal until the balance hits zero, then compares the resulting term and interest against the original schedule.
How to use
- Enter your current loan balance.
- Enter the annual interest rate and the months remaining on the loan.
- Enter the extra amount you plan to pay each month.
- Read your new payoff time, months saved, and interest saved.
Examples
- $200k at 6% / 300 mo + $200:
pays off in 224 mo, saves 76 mo - Interest saved:
$54,077.88 with $200 extra/month
FAQ
- How do extra payments save interest?
- Each extra dollar goes straight to principal, so less balance accrues interest every month afterward. Over time this compounds into a shorter term and a large reduction in total interest.
- How are months saved calculated?
- We simulate the loan month by month with your extra payment applied, count how many months it takes to reach a zero balance, and subtract that from your original remaining term.
- Does paying extra always help?
- Mathematically yes, any extra principal shortens the loan and cuts interest. Just confirm your lender applies extra payments to principal and that there is no prepayment penalty.