## PPMT Function

The PPMT function in Google Sheets calculates the principal portion of a payment for a given period on an investment based on periodic, constant payments and a constant interest rate.

### Syntax

```
PPMT(rate, period, number_of_periods, present_value, [future_value], [end_or_beginning])
```

`rate`

: The interest rate for each period.`period`

: The period for which you want to find the principal amount.`number_of_periods`

: The total number of payment periods.`present_value`

: The present value, or the total amount that a series of future payments is worth now.`future_value`

: (Optional) The cash balance you want to attain after the last payment is made. Default is 0.`end_or_beginning`

: (Optional) Indicates when payments are due. 0 for end of the period, 1 for beginning.

### Examples

**Basic Principal Payment Calculation**

Calculate the principal payment for the 5th period of a loan:

```
=PPMT(0.05/12, 5, 60, 10000)
```

This will output -161.11.

### Notes

- Negative output indicates money going out (payment).
- Useful in loan amortization schedules.