# Total Payments

vCalc Reviewed
Equation / Last modified by Administrator on 2017/08/17 07:09
Total_(P&I) =
Tags:
Rating
ID
vCalc.Total Payments
UUID
08cafd01-56d6-11e3-9569-bc764e049c3d

The Total Payments calculator computes the sum total of payments on a fixed interest loan including principal and interest over the life of the loan.

INSTRUCTIONS: Choose the preferred currency units and enter the following:

• (P) This is the principal of the loan.
• (i)  This is the annual interest rate.
• (N)  This is the duration of the loan.

Total Payments: The calculator return the total sum of a all payments on a fixed rate loan in U.S. dollars.  However, this can be automatically converted to other currency units via the pull-down menu.

Related Calculators:

### General Information

The Total Payment equation lets the user enter the principal (P) amount of a loan, the duration (n) of the loan in years, and the annual interest rate (%).  This formula then calculates the periodic payment (monthly) and multiplies that times the number of payments to calculate the total amount of money paid in principal and interest.

### Usage

This formula gives the user a sense of how much a purchase requiring financing will actually cost.  For example, a home that costs $150,000 with 100% financing at 4% over 30 years, will actually cost$257,803.20.  Whereas, a home costing $130,000 with 100% financing at 8% interest over 30 years, will actually cost$343,400.40, \$85,597 more!