Aircraft Financing Calculator

About This Tool ⬆

The Aircraft Financing Calculator is a powerful, web-based simulation tool built to model aircraft loan scenarios with precision. Users can input key financial variables—such as aircraft price, down payment, interest rate, loan duration, payment frequency, balloon payments, and operational costs—to generate a comprehensive projection of repayment structures and the total cost of ownership over time.

This tool is specifically designed for aircraft buyers, business jet operators, aviation consultants, and institutional investors who require a detailed financial outlook prior to acquisition. It includes features such as dynamic amortization tables, loan balance projections, and graphical breakdowns of principal vs. interest payments. Loan types supported include Amortized, Interest-Only, and Hybrid structures, along with multiple repayment frequencies (monthly to annual).

⚠️ Disclaimer: All outputs from this calculator represent projected financial estimates based on user-defined inputs. They are intended for planning and comparison purposes only and do not constitute legal financial advice or guaranteed lending terms. Always consult your financing institution for actual loan quotations and approval.

Parameter Definitions

1. Aircraft Price ($):
The total acquisition cost of the aircraft, before taxes or fees. This is the base figure from which the loan amount is derived.

2. Down Payment:
The initial amount paid upfront, either as a fixed dollar value or a percentage of the aircraft price. It reduces the principal amount to be financed.

3. Loan Term (Years):
The total number of years over which the loan is to be repaid. This affects the number of payments and total interest accumulation.

4. Loan Start Date:
The date on which the repayment schedule begins. This is used to construct the amortization timeline and interest accruals.

5. Interest Rate (Annual %):
The yearly interest rate applied to the loan’s outstanding balance. This significantly impacts the repayment amount and overall loan cost.

Payment Frequency:
Defines how often repayments are made. Available options are:

• Monthly: 12 payments per year
• Quarterly: 4 payments per year
• Semi-Annually: 2 payments per year
• Annually: 1 payment per year

Loan Type:
The structure of the loan repayment:

• Amortized: Regular payments that reduce both principal and interest.
• Interest-Only: Payments cover only interest; the principal is repaid at the end.
• Hybrid: A combination, with an initial interest-only period followed by amortized repayments.

6. Balloon Payment:
A final lump-sum payment due at the end of the loan. It can be defined as a fixed dollar amount or a percentage of the financed amount, reducing regular payment sizes but requiring end-term planning.

7. Processing Fee ($):
A one-time fee charged by the lender to originate and process the loan. Included in the total cost calculation.

8. Annual Maintenance Cost ($):
The projected yearly expense for maintaining the aircraft, multiplied over the full loan term.

9. Annual Insurance Cost ($):
Estimated annual insurance premiums required to operate and protect the aircraft. Included in ownership cost projections.

10. Tax Rate (%):
The applicable tax percentage on fees, insurance, and maintenance. Helps reflect real-world cash flow demands post-tax.

11. Residual Value ($, Optional):
An estimate of the aircraft’s value at the end of the financing period. This value is subtracted from total costs to present a more accurate net cost of ownership.