Loan budget calculator

How this calculation works

Start with take-home income, essential spending and savings. The percentage is your planning choice, not a bank eligibility rule. Existing debt payments are subtracted before calculating a hypothetical loan at a constant annual reducing-balance rate.

Try a payment before choosing a company

Choose an amount and term, then change the interest rate to see what your budget can handle. Example rates are assumptions, not lender offers or approval criteria. Fees, insurance and changing rates can alter the real cost.

With reducing-balance interest, each month’s interest is calculated on the remaining principal. Monthly add-on interest uses the original principal. The same percentage under these methods does not mean the same cost.

For example, ₱100,000 at an assumed 12% annual reducing-balance rate costs about ₱8,884.88/month over 12 months or ₱4,707.35/month over 24 months, before fees. The longer term lowers the installment but increases total interest from about ₱6,618.55 to ₱12,976.33.

Compare loan companies and published requirements once you have a budget. If you already have written offers, compare their actual repayments and fees.

Sources & assumptions

Formula-based scenario using your inputs. Example rates are not provider offers.

Rules and sources reviewed 30 September 2026. Estimates are for planning, actual payroll and lender terms can differ.