How this auto loan calculator works
Start with the vehicle price, subtract cash incentives, your down payment and trade-in value, then add the remaining debt on your trade-in. If you finance taxes and fees, add them to the loan principal. The monthly car payment uses a fixed interest rate and equal monthly installments.
Car payment calculator and reverse calculation
Total price mode estimates monthly payments from a vehicle price. Monthly payment mode works backward from your payment budget to a vehicle price. The report includes financed principal, sales tax, upfront payment, total loan payments, interest and purchase cost. Annual and monthly amortization tables split payments into interest and principal.
Sales tax, trade-ins and incentives
Enter your sales tax rate and title, registration and other fees. The state choice controls whether trade-in value and cash incentives reduce the estimated taxable price; it does not look up a tax rate. With no state selected, trade-in value reduces the tax base and cash incentives remain taxable. The taxable amount cannot fall below zero.
Estimate limitations
State tax assumptions may differ from current local rules or a specific transaction. Verify the tax amount with your dealer or revenue department. Total cost includes vehicle price, tax, fees and financing interest, less cash incentives; it excludes running costs such as fuel, repairs and insurance. Interest accrues monthly here, so a lender using daily interest may quote a different final amount.
The state sources support the trade-in tax treatment for Texas and California; they do not establish the assumptions for every state or the treatment of cash incentives.
Frequently asked questions
Does a longer term reduce my car payment?
Usually, but it also keeps the balance outstanding longer and can increase total interest. Compare both payment and total cost.
Can I include sales tax in the loan?
Yes. Check Include taxes and fees in loan. Otherwise these amounts are included in upfront payment.
What if I still owe money on my trade-in?
Enter that balance in Amount owed on trade-in. The remaining debt increases the amount you need to finance.
Are current rates and taxes loaded automatically?
No. Enter your offered loan rate, applicable sales tax and fees. The example values are illustrative.
What's changed
- Launched with Total price and Monthly payment modes.
References
- CFPB: loan term, monthly payment and total interest
illustrates how loan term affects payments and total interest
- Texas Comptroller: deducting trade-in value from taxable price
supports the trade-in tax treatment for Texas
- California CDTFA: taxable trade-in allowances
supports the trade-in tax treatment for California