Calculator
Interest cost & coverage calculator
What will this loan really cost — and can your operating profit comfortably cover the interest?
Blue = you enterGreen = calculatedGray = assumptionAmber/red = check this
$
Earnings before interest and taxes.
$
%
years
$
Interest on debt you already have.
Interest coverage (EBIT ÷ interest)
3.90x
First-year interest
$38,130
Total interest
$157,800
Interest as % of loan
39.4%
Total interest at +2 pts
$193,132
Fixed-rate estimate. Excludes fees and guarantee costs. Variable-rate loans can cost more if rates rise.
Estimates only. Results vary. No guarantee of approval, rates or savings.
Estimates only. Results vary. No guarantee of approval, rates or savings.
Talk with a financing specialistThe formulas
- Interest coverage = EBIT ÷ (first-year interest on the new loan + other annual interest).
- Interest as % of loan = total interest over the term ÷ loan amount.
Read more: Interest rate vs. interest cost