Student Loan Calculator
A student loan calculator determines your monthly payment, total interest paid, and payoff timeline based on loan amount, interest rate, and repayment term. Federal and private student loans differ significantly in interest rates, repayment options, and forgiveness eligibility.
Tip: Paying even $25–50 extra per month toward principal can shave years off your repayment and save thousands in interest.
- 1Identify loan amount, annual interest rate, and repayment term (years)
- 2Calculate monthly interest: annual rate ÷ 12
- 3For unsubsidized loans, interest accrues during grace period (usually 6 months)
- 4Monthly payment formula: M = P × r(1+r)ⁿ / ((1+r)ⁿ − 1)
- 5Total interest = (monthly payment × months) − total loan amount
Income-driven repayment
Federal loans offer IDR plans (IBR, PAYE, SAVE) that cap payments at 5–20% of discretionary income. Remaining balance may be forgiven after 20–25 years.
Subsidized vs unsubsidized
Subsidized federal loans: government pays interest while you are in school. Unsubsidized: interest accrues immediately, increasing the balance before repayment begins.
| Loan Type | Rate | For Whom |
|---|---|---|
| Direct Subsidized | 6.53% | Undergrads with financial need |
| Direct Unsubsidized (UG) | 6.53% | All undergraduates |
| Direct Unsubsidized (Grad) | 8.08% | Graduate students |
| Direct PLUS | 9.08% | Parents and grad students |
| Private loans | 4–15%+ | Varies by lender and credit |
Fun Fact
Total US student loan debt exceeds $1.7 trillion, held by over 45 million borrowers. The average borrower owes approximately $37,000.