EMI Calculator

An EMI (Equated Monthly Instalment) is the fixed amount you pay your lender every month until a loan is fully repaid. It combines interest — charged on the outstanding balance — and principal repayment in one payment. Enter your loan amount, interest rate and tenure above to see your EMI instantly, along with the total interest you will pay and a year-by-year breakdown.

Banks and NBFCs in India calculate EMIs on a reducing-balance basis, which is exactly what this calculator uses — so the figure you see here should match your bank's quote to the rupee.

How is EMI calculated?

The standard reducing-balance EMI formula is: EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where P is the loan amount (principal), r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly instalments.

For example, a ₹50,00,000 home loan at 8.5% for 20 years works out to: r = 8.5 ÷ 12 ÷ 100 = 0.00708, n = 240 months, giving an EMI of ₹43,391. Over the full tenure you would pay roughly ₹54.1 lakh as interest — more than the loan itself — which is why tenure matters as much as the rate.

How to use this calculator

• Set your loan amount — what you plan to borrow, not the property price.
• Enter the annual interest rate your lender quoted (reducing balance).
• Pick the tenure in years. Watch the EMI and total interest update live.
• Open the amortization schedule to see how much principal you clear each year — useful for planning prepayments.

EMI tips that save real money

Interest is front-loaded on a reducing-balance loan: in the early years most of your EMI goes to interest. A small prepayment early in the tenure therefore saves far more than the same prepayment made later.

A shorter tenure raises the EMI but slashes total interest — moving the example above from 20 to 15 years raises the EMI to about ₹49,237 but saves around ₹15.5 lakh in interest. If your cash flow allows it, choose the shortest tenure you can sustain comfortably.

Frequently asked questions