Offset calculator

Compare with-offset vs without-offset results using the same loan and repayment assumptions.

Offset inputs

Offset impact

Interest without offset

$850,738

Interest with offset

$672,172

Estimated interest saved

$178,566

Estimated years saved

3.33 yrs

With-offset amortization preview

First 18 periods

PeriodPaymentInterestPrincipalBalance
1$4,363$3,457$906$719,094
2$4,363$3,452$911$718,182
3$4,363$3,447$916$717,267
4$4,363$3,443$920$716,346
5$4,363$3,438$925$715,421
6$4,363$3,433$930$714,491
7$4,363$3,429$934$713,557
8$4,363$3,424$939$712,618
9$4,363$3,419$944$711,674
10$4,363$3,414$949$710,725
11$4,363$3,410$954$709,771
12$4,363$3,405$958$708,813
13$4,363$3,400$963$707,849
14$4,363$3,395$968$706,881
15$4,363$3,390$973$705,908
16$4,363$3,385$978$704,930
17$4,363$3,380$983$703,947
18$4,363$3,375$988$702,959

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FAQs

How does an offset account reduce mortgage interest?

Interest is charged on loan balance minus offset balance, so a stable offset balance reduces interest every period.

Is offset better than extra repayments?

Offset gives flexibility because cash stays accessible, while extra repayments directly reduce principal. Compare both with your fees and cashflow needs.

Does this include package and account fees?

No. This tool models repayment and interest only. Add lender package or account fees separately in your budget.