Car Affordability Calculator
Last updated: October 15, 2026
Estimate a maximum vehicle price from a target monthly payment.
Estimated maximum vehicle price
—
- Affordable financed amount: —
- Down payment + trade-in: —
- Estimated sales tax included: —
On this page
Quick summary: Estimate a maximum vehicle price from a target monthly payment.
Read the complete guide
Updated reference sections in this guide are in English.
What this calculator estimates
Estimate a maximum vehicle price from a target monthly payment.
How to use it
Enter Target monthly payment ($); APR (%); Loan term; Down payment ($); Trade-in credit ($); Sales tax (%). Select Calculate to update the results.
How the calculation works
Convert the payment budget into loan principal: for monthly rate r and n payments, principal = payment × (1 - (1+r)^(-n)) / r. At zero interest use payment × n. Add cash down and trade-in equity, then divide by (1 + sales tax/100) to estimate the vehicle price. Tax is calculated on that full vehicle price.
Worked example: starting scenario
| Target monthly payment ($) | 550 |
|---|---|
| APR (%) | 7 |
| Loan term | 60 months |
| Down payment ($) | 5000 |
| Trade-in credit ($) | 3000 |
| Sales tax (%) | 7 |
| Estimated maximum vehicle price | $33,435.60 |
|---|---|
| Affordable financed amount | $27,776.10 |
| Down payment + trade-in | $8,000.00 |
| Estimated sales tax included | $2,340.49 |
Important limitations
The budget is for the loan payment alone. Registration, dealer fees, insurance, fuel and maintenance are excluded. Trade-in credit means equity available after any existing loan payoff. This model does not apply a trade-in sales-tax allowance or determine credit approval.