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# Ipmt function

Hello,

I am interested in knowing how to enter the variables in excels ipmt function for a 41 day period if given an annual rate.
Please see attached spreadsheet.  There are some calculations for a 1 month time frame and i am interested in the 41 day period and calculating according to the ipmt function.

thank you
InterestEE.xlsx
Microsoft Excel Last Comment
pdvsa

8/22/2022 - Mon
Menash H

heya,
its more of a financial question than an Excel one.
this furmula is calculating the spitzer loan amortisation.
with this loan type, the interest is calculated for the whole period between payment to payment.
the interest is a division of the annual interest by he number of payments in the annum.
you can calculate the first 30 days, with the formula, and then divide the additional 11 days by 30, and multiply it by the periodical interest and the residual amount due.
usually, the spitzer is accounted as a 30/360 days a month in a year.
you have to check the regional conventions and the business terms.
cheers,
Menash
pdvsa

would you agree the formula then would be
Prin*rate*(41/360) = interest for 41 days?
Wilder1626

pdvsa

This may guide you on what you are trying to do on pages 11,12 and 13 (including the cover page in the page count)
Menash H

maybe, but...
in terms of a loan taken on the 21/12/2016 and returned 31/12/2017, the fractional month should be calculated first, as a grace period, in which no principle payments are done, there is only the interest paid for the lot, then, run the spitzer calc and compute the returns.
the initial interest for the first 11 days is added to the loan first principle and interest payment.
again, the rules vary by the region's convention and the agreement.
pdvsa