EMI Calculator
Calculate your monthly EMI for home, car, or personal loans.
Enter values and click Calculate to see results
What is EMI Calculator?
An EMI (Equated Monthly Installment) is the fixed monthly payment you make to a lender to repay a loan over a specified time period. Each EMI consists of two components: the principal repayment and the interest payment. In the early months, a larger portion of the EMI goes toward interest; as time progresses, the principal component increases and the interest component decreases. EMI calculators help you plan home loans, car loans, personal loans, and education loans.
Formulas
EMI Formula
EMI = P × r × (1 + r)ⁿ / [(1 + r)ⁿ − 1]Where:
PLoan Principal amount (₹)rMonthly interest rate = Annual Rate / (12 × 100)nLoan tenure in monthsTotal Interest Payable
Total Interest = (EMI × n) − PWhere:
EMIMonthly EMI (₹)nNumber of monthsPPrincipal loan amount (₹)Worked Example
You take a home loan of ₹30,00,000 at 8.5% per annum for 20 years (240 months):
₹30,00,0008.5 / (12 × 100) = 0.00708320 × 12 = 240 months≈ ₹26,035/month₹26,035 × 240 = ₹62,48,400₹62,48,400 − ₹30,00,000 = ₹32,48,400✅ For a ₹30 lakh home loan at 8.5% for 20 years, your EMI is ₹26,035 and total interest paid is ₹32.48 lakhs.
Tips & Important Notes
- 💡A shorter tenure means higher EMI but lower total interest paid.
- 💡Making prepayments can significantly reduce your total interest burden.
- 💡Even a 0.5% difference in interest rate can save lakhs over a 20-year home loan.
- 💡EMI should ideally not exceed 40-50% of your monthly take-home salary.
- 💡Use the step-up EMI option if you expect your income to grow — start with a lower EMI.
Frequently Asked Questions (FAQs)
EMI stands for Equated Monthly Installment — a fixed amount paid by a borrower to a lender on a specified date every calendar month. EMIs are used to repay loans including home loans, car loans, and personal loans. The EMI covers both principal and interest.