Car Payment Calculator
Calculate your exact monthly car payment from the sticker price, including sales tax, dealer fees, down payment, and trade-in value. See total interest, total loan cost, and a full upfront cost summary.
Formulas, assumptions, and rounding are documented in our calculator methodology.
Loan Term
Monthly Payment
$595.03
principal & interest
Amount Financed
$30,050.00
Payment Summary
- Monthly Payment (P&I)
- $595.03
- Total Interest
- $5,651.56
- Total Loan Cost
- $35,701.56
Upfront & Financing Breakdown
- Vehicle Price
- $30,000.00
- Sales Tax (8.5%)
- $2,550.00
- Fees
- $500.00
- Down Payment
- − $3,000.00
- Amount Financed
- $30,050.00
Principal vs. Interest
How Car Payment Is Calculated
Start with the vehicle price. Add sales tax (price × tax rate). Add fees (registration, documentation, etc.). Subtract down payment and trade-in value. The result is your financed amount. Apply the standard amortization formula with your interest rate and term to get your monthly payment.
Car Payment vs. Auto Loan Calculator
Both tools calculate your monthly payment, but they serve different needs. Use the Auto Loan Calculator when you already know how much you need to borrow. Use the Car Payment Calculator when you are at the dealership and want to see your true out-the-door monthly cost including tax, title, and fees.
True Monthly Cost of Vehicle Ownership
The monthly payment is only the beginning. A car that costs $600/month to finance may cost $950–1,100/month in total. Add: auto insurance ($100–250/month, higher for newer or financed vehicles), fuel ($100–200/month depending on vehicle and driving distance), maintenance and repairs ($80–150/month average over vehicle life including tires, oil, brakes, and unexpected repairs), and registration fees ($10–30/month averaged annually). Before committing to a vehicle price, total all these costs and compare to your budget to avoid payment shock.
Frequently Asked Questions
- The Auto Loan Calculator focuses on the core loan payment given a financed amount. The Car Payment Calculator goes further — it calculates your actual out-of-pocket monthly payment by including sales tax on the purchase price, dealer and registration fees, and an optional insurance estimate for total monthly ownership cost.
- In most US states, sales tax applies to the vehicle purchase price, and the tax is typically rolled into the financed amount. Some states allow trade-in value to offset the taxable price — check your state's rules.
- Common fees include dealer documentation fee ($100–$500), title and registration ($50–$300 depending on state), and dealer add-ons. Always ask for an itemized out-the-door price before signing.
- Increase your down payment or trade-in value, choose a longer loan term (note: more total interest), negotiate a lower purchase price, improve your credit score for a lower rate, or choose a less expensive vehicle.
- A larger down payment directly reduces your financed amount, which lowers both your monthly payment and total interest paid. On a $30,000 car at 7% APR for 60 months, increasing your down payment from $2,000 to $6,000 saves about $220 in total interest and drops the monthly payment by roughly $67. Down payments also reduce the risk of being underwater on the loan early in ownership.
- New car loan rates for borrowers with excellent credit (720+) typically range from 5–7% APR. Good credit (680–719) often sees 7–9%. Fair credit (620–679) may qualify at 10–14% or higher. Used car loans carry higher rates — typically 1–3% above comparable new car rates. Always compare your bank or credit union against dealer financing; dealers often mark up the buy rate to earn finance income.
- Longer terms reduce monthly payments but significantly increase total interest paid. On a $25,000 loan at 7% APR: 36-month term = $772/mo, total interest ≈ $2,800. 60-month term = $495/mo, total interest ≈ $4,700. 72-month term = $426/mo, total interest ≈ $5,700. The monthly savings from 60 to 72 months is only $69, but you pay nearly $1,000 more in interest and remain in debt two extra years while the car depreciates.