The formula
How it works
Estimate the monthly payment and total cost of repaying a student loan over a chosen term. A longer term lowers the monthly payment but adds a lot of interest, so it pays to see both figures side by side.
FAQ
Should I choose a longer repayment term?
A longer term makes each payment smaller and easier to manage, but you pay far more interest overall. If you can afford the higher payment, a shorter term clears the debt sooner and cheaper.
Does paying extra help?
A lot. Because interest builds on the remaining balance, extra payments early on cut the total interest and shorten the loan more than the same payments made later would.
Does this calculator handle income-driven repayment plans?
No — it assumes a standard fixed monthly payment that fully repays the loan over the term you enter. Income-driven plans adjust the payment to your earnings and can result in a very different schedule, sometimes with a balance forgiven at the end.
Why is the total interest so high on a small monthly payment?
A smaller payment usually means a longer term, and interest keeps accruing on the outstanding balance for every extra month it is owed. Stretching a loan out can roughly double the interest paid compared with a shorter, higher-payment term.
What is the difference between the interest rate and APR?
The interest rate used here is the rate applied directly to the loan balance each month, while the APR can also include fees, making it slightly higher. Use the plain interest rate for this calculator unless your loan documents state otherwise.
Should I refinance my student loan?
Refinancing can lower your rate and total interest, but it usually means giving up federal protections like income-driven plans or forgiveness programs. Compare the new rate and term here against your current loan before deciding.
Does the calculator account for a grace period?
No — it assumes repayment starts immediately at the entered term and rate. If your loan has a grace period before payments begin, any interest that accrues during that time may be added to the balance first, so the true starting balance could be a bit higher.
About the student loan calculator
This calculator estimates what it costs to repay a student loan: the monthly payment, the total interest, and the full amount you will hand over. Student debt is often large and repaid over many years, so the interest can add up to a substantial sum. Seeing the monthly payment alongside the total cost helps you choose a repayment term that balances an affordable payment against paying less interest overall.
How to use it
Enter your loan balance, the interest rate, and the repayment term in years. The calculator shows the monthly payment, the total interest, and the total repaid. For example, a $30,000 balance at 6% over 10 years costs about $333 a month, with around $10,000 of interest across the loan. Try a shorter term to see how much interest you would save by paying more each month.
The formula
The monthly payment uses the standard amortization formula, , where is the balance, is the monthly interest rate and is the number of payments. Total interest is all the payments added up minus the amount borrowed. Interest is charged on the balance that is still outstanding, which is why paying down the principal faster saves so much.
Where it is used
Graduates use it to plan their repayments and to weigh up standard versus extended repayment plans. It helps decide whether to refinance to a lower rate, and how much overpaying would save. Because student loans run for years, small differences in rate or term compound into large differences in total cost, making this one of the most valuable sums for anyone carrying education debt.