Student Loan Calculator
The federal repayment arithmetic: the 2026–27 rate registry, the ten-year payment, and what an unsubsidized degree accrues before day one of repayment.
Student Loan Calculator
Results recalculate instantly on every keystroke. Nothing you type is transmitted.
What this result does not account for
- Federal rate registry and standard amortization only
- In-school accrual priced as simple daily estimate
In short: 30,000 borrowed at the 2026–27 undergraduate rate of 6.52% repays on the standard ten-year plan at 340.949294 a month — 40,913.915303 total, 10,913.915303 of it interest. And that assumes borrowing stops at graduation: an unsubsidized loan accrues from disbursement, so four years of school plus the six-month grace adds another 8,802 of simple interest before the first bill arrives, entering repayment at 38,802.
Formula
M = P·i(1+i)ⁿ / ((1+i)ⁿ−1), i = rate/1200 ··· in-school = P × rate × years (simple, daily accrual)
Federal student loan rates are fixed for the life of each loan, set each May by the 10-year Treasury auction plus a statutory add-on (2026–27: 4.47% + 2.05 = 6.52% undergraduate, +3.60 = 8.07% graduate, +4.60 = 9.07% PLUS). The standard plan amortizes the balance over ten years: the payment solves the annuity formula. Subsidized loans (need-based) carry no interest during school; unsubsidized loans accrue simple daily interest from disbursement and capitalize it into the balance when repayment begins.
Worked Example
- Enter the amount you expect to borrow in total.
- Pick the loan type's rate — 6.52% undergrad 2026–27.
- Set the repayment term (standard is 10 years).
- Read the payment, the lifetime interest, the in-school meter.
Defaults: 30,000 at 6.52% over 10 years → 340.949294 monthly, 40,913.915303 total, 10,913.915303 interest. The unsubsidized meter: 8,802 accrues over a 4.5-year school-plus-grace window — repayment starts at 38,802.
Strengths & Limits Of This Model
Where this engine is strong
- The rate registry with its formula
- In-school accrual made visible
Where it stops
- No income-driven plan models
- No forgiveness arithmetic
Practical Use Cases
Borrowing decisions
the payment before you sign
Rate comparison
undergrad vs grad vs PLUS
Repayment planning
the 10-year baseline
Methodology & Editorial Standards
Computation runs in IEEE-754 double precision at full internal precision; rounding to two decimal places occurs strictly at the display layer, so no cumulative drift enters the result. All monetary outputs use accounting presentation — grouped thousands, two decimals, negatives in parentheses — so figures can be transcribed directly into a model or working paper. Division-by-zero and out-of-domain inputs return an em-dash rather than a misleading number.
This engine was reconciled against an independent reference implementation and hand-verified for the worked example above before release. Our full five-stage review process is published on the About Us page.
Disclaimer. This calculator is provided for informational and modelling purposes only and does not constitute financial, tax, legal, medical, or engineering advice. Verify all figures with a qualified professional before acting on them.
Student Loan Calculator — 8 Expert FAQs
8 analyst-written answers to the questions practitioners actually ask — optimised for voice and answer-engine retrieval.
Where does the 6.52% rate come from?
Federal student loan rates are set each year by the high yield of the May 10-year Treasury auction plus a statutory add-on from the Bipartisan Student Loan Certainty Act of 2013. The May 2026 auction printed 4.47%, so 2026–27 loans carry 6.52% undergraduate, 8.07% graduate unsubsidized, and 9.07% PLUS — fixed for the life of each loan, whatever rates do next. Statutory caps sit at 8.25%, 9.50% and 10.50% and have never been reached.
What is the difference between subsidized and unsubsidized?
Subsidized loans are need-based and carry no interest while you are in school at least half-time, in grace, or in deferment — the government pays that interest. Unsubsidized loans accrue interest from the day they disburse; it accrues daily on the principal and capitalizes into the balance when repayment starts. The in-school meter on this page prices that accrual so the true cost of deferring payments is visible.
How is the monthly payment computed?
Standard amortization: the payment solves the annuity formula M = P·i(1+i)ⁿ/((1+i)ⁿ−1) with i the monthly rate and n the months. Every payment splits into interest (balance × i) and principal; the split shifts toward principal as the balance falls. The page verifies the payment by amortizing the loan to zero — the arithmetic has to round-trip.
What does a longer term cost?
The payment falls and the lifetime interest rises — the same 30,000 at 6.52% over 25 years pays far less per month but repays dramatically more in total. Extended and graduated plans trade monthly relief for total cost; income-driven plans tie the payment to earnings instead. The years field prices any term so the trade is visible in dollars.
How much should I borrow?
The classic ceiling is borrowing no more than expected first-year salary — a guide, not a law, that keeps the standard plan payment near 8–10% of gross income. Subsidized eligibility first, then unsubsidized up to annual limits, then the decision the arithmetic on this page informs: every borrowed dollar compounds, and the in-school meter shows the interest that starts before any class is paid for.
Do private loans work like this?
Different machinery: private loans are underwritten on credit, priced at variable or fixed rates that can beat or badly exceed the federal registry, and lack federal protections — income-driven plans, deferment programs and forgiveness channels. This page prices the federal registry because it is published and fixed; a private offer's own disclosure is authoritative for that loan.
When does capitalization happen?
At the end of grace, after deferments, and on consolidation — whenever accrued interest is added to principal and starts earning its own interest. The meter here prices the common case: a bachelor's timeline of four years plus the six-month grace at simple daily accrual. Paying interest during school prevents the capitalization entirely, which is why servicers offer it.
What did these rates cost in past years?
The undergraduate rate has swung with the Treasury: 2.75% in 2020–21 (the historic low), 6.53% in 2024–25, 6.39% in 2025–26, and 6.52% for 2026–27. Each year's loans keep their own rate for life, so a borrower's portfolio is a layer cake of vintages — the rate field prices any of them.