ISPMT Function
The ISPMT function in Google Sheets calculates the interest paid during a specific period of an investment.
Syntax
ISPMT(rate, period, number_of_periods, present_value)
rate
: The interest rate per period. This is a required parameter.period
: The specific period for which you want to calculate the interest. This is a required parameter.number_of_periods
: The total number of payment periods. This is a required parameter.present_value
: The present value, or the total amount that a series of future payments is worth now. This is a required parameter.
Examples
- Interest Calculation for a Specific Period
Calculate the interest for the 2nd period on a $1000 loan with an annual interest rate of 5% over 5 years:
=ISPMT(5%/12, 2, 60, 1000)
This will output approximately -$8.06.
Notes
- ISPMT is used for calculating the interest part of a payment before the loan amortization is calculated.