Break out annual interest vs. principal — for accurate modeling in Projection Lab.
$
%
yrs
Monthly Payment
—
Fixed throughout loan
Total Interest Paid
—
Taxable ordinary income
Total Principal Returned
—
Non-taxable return of capital
Total Received
—
Over full loan term
Annual Breakdown
Year
Annual Interest ★
Annual Principal
Annual Payment
Ending Balance
Interest Trend
Total
—
—
—
—
📋 Using This in Projection Lab
Enter the Annual Interest column (★) into a taxable ordinary income stream using the
Advanced Change Over Time editor — one exact dollar amount per year.
Model the Annual Principal column as a separate, non-taxable income stream.
This keeps PL from over-taxing the return-of-capital portion of each payment.