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Printed August 25, 2026 · https://trycleartally.com/auto-loan-calculator
Estimates for educational purposes only — not financial advice. See https://trycleartally.com/disclaimer.
Auto Loan Calculator
Monthly payment
Amount financed
Total interest paid
Total of all payments
Balance over time
Principal vs. interest
Amortization schedule
| Year | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $605.95 | $446.53 | $159.42 | $25,061.00 |
| 2 | $605.95 | $481.19 | $124.76 | $19,479.95 |
| 3 | $605.95 | $518.55 | $87.40 | $13,465.62 |
| 4 | $605.95 | $558.80 | $47.14 | $6,984.39 |
| 5 | $605.95 | $602.18 | $3.76 | $0.00 |
Auto Loan Worksheet
Monthly payment
$605.95
Yearly amortization summary
| Year | Principal paid | Interest paid | Remaining balance |
|---|---|---|---|
| 1 | $5,179 | $2,092 | $25,061 |
| 2 | $5,581 | $1,690 | $19,480 |
| 3 | $6,014 | $1,257 | $13,466 |
| 4 | $6,481 | $790 | $6,984 |
| 5 | $6,984 | $287 | $0 |
Calculated using the standard formulas described at https://trycleartally.com/methodology — for educational estimates only, not a quote or financial advice. Verify with your lender or financial institution before making decisions.
Estimate your monthly car payment, total interest, and amortization schedule based on price, down payment, trade-in, and loan terms.
Reviewed by the ClearTally editorial team · Last updated July 16, 2026 · Methodology & sources
Is a 72-month car loan a bad idea?
It lowers the payment and raises the total cost, and on a car that is a worse trade than it sounds — you are stretching debt across years in which the vehicle keeps losing value, which is how people end up owing more than the car is worth.
Example: a $32,000 car with $4,000 down and 7% sales tax finances $30,240. At 7.5% over 60 months that is about $606 a month and $6,117 in interest. Stretching to 72 months drops the payment to about $523 — $83 less — but interest rises to $7,405. You pay roughly $1,289 more to save $83 a month, and spend an extra year in the loan.
Does sales tax get added to the car loan?
In most states, yes — tax is calculated on the purchase price and rolled into the amount financed unless you pay it separately at signing. That is why the example above finances $30,240 rather than $28,000: the 7% tax adds $2,240 before the down payment comes off. Rates and the treatment of trade-ins vary by state, and several states tax only the difference after a trade-in, so check your own before trusting a monthly quote.
Already have a car loan and want it gone sooner? The loan payoff calculator shows what an extra monthly payment saves, and the personal loan calculator compares other financing.
How it works
We add estimated sales tax to the vehicle price, subtract your down payment and trade-in value to get your amount financed, then apply the standard loan amortization formula over your chosen term to find your monthly payment. Watch the total-interest figure, not just the payment — stretching the term is how a cheaper-looking payment quietly becomes a more expensive car.
Example:a $32,000 car with 7% sales tax and a $4,000 down payment means financing $30,240. At 7.5% over 60 months that's about $606/month; stretch it to 72 months and the payment drops to roughly $523, but you pay roughly $1,300 more in total interest for the same car.
Sources & further reading
FAQ
Most buyers roll sales tax into the loan rather than paying it out of pocket, and this calculator adds tax to the vehicle price before financing to match how dealers usually structure it. The tradeoff: financing the tax means paying interest on it across the whole term, so paying it upfront (where you can) costs a little less overall. One state-specific wrinkle — some states charge sales tax on the price after your trade-in is deducted, not before. This tool taxes the full price, so if your state gives a trade-in tax credit, your real tax will be somewhat lower.
Every dollar of down payment reduces your financed principal directly, so it lowers both your monthly payment and total interest. It also does something that matters more than the interest early on: it keeps you from going 'underwater' — owing more than the car is worth. New cars depreciate fastest in the first year or two, so a thin down payment stretched over a long term can leave you owing more than you could sell the car for. That's a real problem if it's totaled or you need to trade out early, and a bigger down payment is the simplest cushion against it.
Yes. Longer terms (e.g., 72 or 84 months) lower your monthly payment but increase total interest paid because the balance accrues interest for longer. Shorter terms cost less overall.
Not necessarily. Your APR depends on your credit score, the lender, loan term, and whether the vehicle is new or used. Use the APR from your actual loan offer for the most accurate estimate — and getting quotes from more than one lender is the easiest way to find out what rate you really qualify for.
A payment that fits the loan isn't the same as a car that fits your budget — insurance, fuel, and maintenance typically add hundreds a month on top. One common rule of thumb keeps all car costs under about 15%–20% of take-home pay. This page works forward from a price to a payment; work the other direction from your budget before you shop, so the dealer's number has something to compete with.