PMT Function in Excel & Sheets

Text values, cell references to text, or formulas returning non-numeric results in rate, nper, or pv parameters

1. Check all parameters are numbers 2. Verify cell references contain numeric values 3. Use VALUE() function to convert text numbers 4. Remove any currency symbols ($) from input cells

Use data validation to ensure numeric-only input in parameter cells

Mathematical impossibility such as negative interest rate, zero periods, or extremely large numbers causing overflow

1. Ensure interest rate is positive 2. Verify number of periods > 0 3. Check for reasonable loan amounts 4. Use realistic interest rates (0.1% to 30%)

Add input validation: rate between 0-1, periods > 0, principal ≠ 0

Interest rate of exactly 0%, or rate calculation resulting in zero when dividing annual rate by periods

1. For 0% interest loans, use simple division: =pv/nper 2. Check rate cell isn't empty or zero 3. Verify annual rate division (rate/12) isn't zero

Use conditional logic to handle zero-interest scenarios separately

One of the three required parameters (rate, nper, pv) is missing, blank, or references an empty cell

1. Verify all three required parameters are provided 2. Check cell references point to cells with values 3. Ensure no blank cells in parameter range 4. Use ISBLANK() to check for missing values

Build input validation that requires all three parameters before calculation

Present value entered as negative instead of positive, or misunderstanding of cash flow direction

1. For loans: Enter loan amount as positive 2. For investments: Enter initial value as negative 3. Use minus sign before PMT to flip sign if needed 4. Remember: Outgoing payments are negative

Document cash flow direction clearly and use consistent sign conventions