PPMT Function

Excel Functions › Financial

All versions Financial

The Excel PPMT function returns the principal portion of a specific loan payment.


Quick answer:
=PPMT(6%/12, 1, 5*12, 25000) // principal in month 1

Syntax

=PPMT(rate, per, nper, pv, [fv], [type])
ArgumentDescription
rateRequiredRate per period.
perRequiredThe period to find principal for.
nperRequiredTotal periods.
pvRequiredPresent value.
fvOptionalDefault 0.
typeOptional0 end, 1 start.

How to use it

PPMT returns the principal portion of a specific loan payment.

=PPMT(6%/12, 1, 5*12, 25000) // principal in payment 1

Try it: interactive demo

Live demo

This is the formula pattern PPMT uses — copy it into Excel with your own numbers.

Result: computed in Excel

Practice workbook

📊
Download the free PPMT practice workbook
Every example on this page, ready to open in Excel — plus practice challenges with answers on a separate tab. No sign-up required.

Frequently asked questions

PPMT vs IPMT?
PPMT is the principal repaid in a payment; IPMT is the interest. PPMT + IPMT = PMT.
Why does principal grow each period?
Interest falls as the balance drops, so a larger slice of each fixed payment goes to principal.
Which Excel versions support it?
All modern versions.
Why might it return #NUM! or #VALUE!?
Out-of-range arguments (e.g. negative rate or settlement after maturity) give #NUM!; non-numeric inputs give #VALUE!.

Master functions like this in one day

This page covers one function. Our Excel Formulas and Functions class covers the 30 that matter most — live, hands-on, taught by professionals in Dallas–Fort Worth, Houston, Austin, Oklahoma City, Denver, or online.

See the Formulas & Functions Class

Related functions: PMT · FV · PV · RATE · NPER