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CUMIPMT function: Description, Usage, Syntax, Examples and Explanation

What is CUMIPMT function in Excel?

CUMIPMT function is one of the Financial functions in Microsoft Excel that returns the cumulative interest paid on a loan between start_period and end_period.

Syntax of CUMIPMT function

CUMIPMT(rate, nper, pv, start_period, end_period, type)

The CUMIPMT function syntax has the following arguments:

  • Rate: The interest rate.
  • Nper: The total number of payment periods.
  • Pv: The present value.
  • Start_period: The first period in the calculation. Payment periods are numbered beginning with 1.
  • End_period: The last period in the calculation.
  • Type: The timing of the payment.
Type Timing
0 (zero) Payment at the end of the period
1 Payment at the beginning of the period
Worked Example:   Calculate loan interest in given year in Excel

CUMIPMT formula explanation

  • Make sure that you are consistent about the units you use for specifying rate and nper. If you make monthly payments on a four-year loan at an annual interest rate of 10 percent, use 10%/12 for rate and 4*12 for nper. If you make annual payments on the same loan, use 10% for rate and 4 for nper.
  • If rate ≤ 0, nper ≤ 0, or pv ≤ 0, CUMIPMT returns the #NUM! error value.
  • If start_period < 1, end_period < 1, or start_period > end_period, CUMIPMT returns the #NUM! error value.
  • If type is any number other than 0 or 1, CUMIPMT returns the #NUM! error value.
Worked Example:   Calculate loan interest in given year in Excel

Example of CUMIPMT function

Steps to follow:

1. Open a new Excel worksheet.

2. Copy data in the following table below and paste it in cell A1

Note: For formulas to show results, select them, press F2 key on your keyboard and then press Enter.

You can adjust the column widths to see all the data, if need be.

Data Description
0.09 Annual interest rate
30 Years of the loan
125000 Present value
Formula Description Result
=CUMIPMT(A2/12,A3*12,A4,13,24,0) Total interest paid in the second year of payments, periods 13 through 24 -11135.23213
=CUMIPMT(A2/12,A3*12,A4,1,1,0) Interest paid in a single payment in the first month -937.5
Worked Example:   Calculate loan interest in given year in Excel


  • To view the result in its proper format, select the cell, and then on the Home tab, in the Number group, click the arrow next to Number Format, and click General.
  • You divide the interest rate by 12 to get a monthly rate, and you multiply the years the money is paid out by 12 to get the number of payments.

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