TaxAndLoans

Auto Loan Calculator

Estimate your monthly car payment, total interest, and sales tax for any vehicle price, down payment, and loan term.

Include sales tax

Monthly payment

$489.15

60-month loan at 6.5%

Total interest paid

$4,349

Total cost of loan

$34,349

Amount financed

$25,000

Sales tax

$0

Select a state to estimate sales tax

Loan cost breakdown

Compare loan terms

See how a 72-month term compares to your selected 60-month term.

60 months

Monthly payment
$489.15
Total interest
$4,349
Total cost
$34,349

72 months

Monthly payment
$420.25
Total interest
$5,258
Total cost
$35,258

You pay $909 more in interest with the 72-month term, in exchange for a $68.91 lower monthly payment than the 60-month term.

Show the math

Your amount financed starts with the vehicle price, subtracts your down payment and trade-in value, then adds any sales tax rolled into the loan.

Amount financed = $30,000$5,000 $0 + $0 = $25,000

Lenders then use the standard amortizing-loan formula so every payment is the same size, even though the mix of principal and interest inside each payment changes over time.

M = P × [r(1 + r)n] / [(1 + r)n − 1]

With your numbers, P (amount financed) = $25,000, r (monthly rate) = 0.5417% (that's 6.5% ÷ 12), and n (number of payments) = 60.

M = $25,000 × [0.005417 × (1 + 0.005417)60] / [(1 + 0.005417)60 − 1] = $489.15

In plain English: P is the amount financed (what you still owe after your down payment, trade-in, and sales tax are accounted for), r is your monthly interest rate, and n is the number of monthly payments over your loan term. Your balance grows by a factor of about 1.3828× over the life of the loan if no payments were made — the formula backs out the fixed payment size that exactly cancels that growth over 60 months.

Frequently asked questions

No data storedUpdated June 2026
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