An amortization schedule helps you understand exactly when it is that your mortgage will be paid off. It details the amount of your mortgage payment, how much of it is interest, how much is principal and what the unpaid balance of your mortgage is. At the beginning of your mortgage term, the schedule will show that the majority of each periodic payment is applied to the interest you owe. Towards the end of the table you will see that the majority of each payment is then applied to the principal, gradually decreasing until the loan reaches the magic number 0.