Calculate your loan EMI and plan your repayment schedule
| Month | EMI ($) | Principal ($) | Interest ($) | Balance ($) |
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Compute precise monthly EMIs for home, car, or personal loans using the standard formula.
See principal and interest components clearly with interactive pie and bar charts.
Compare different loan scenarios by adjusting amount, interest rate, and tenure in real time.
Use our EMI calculator seamlessly on phones, tablets, and desktops.
An EMI calculator is an essential financial tool that helps you determine the monthly installment amount for your loan. EMI stands for Equated Monthly Installment, which is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. Our EMI calculator provides instant results by considering three primary factors: the loan principal amount, the annual interest rate, and the loan tenure in months or years.
The EMI calculation uses a mathematical formula: EMI = [P x R x (1+R)^N] / [(1+R)^N-1], where P represents the principal loan amount, R is the monthly interest rate calculated by dividing the annual rate by 12 and 100, and N is the total number of monthly installments. This formula ensures that you pay the same amount every month throughout the loan tenure, making budgeting easier and more predictable for borrowers.
The EMI consists of two components working together. In the early stages of loan repayment, a larger portion of your EMI goes toward paying the interest, while a smaller portion reduces the principal amount. As the loan matures, this ratio gradually reverses, with more of your payment going toward the principal and less toward interest. This process is called loan amortization, and understanding it helps you see how your debt decreases over time.
EMI calculators are versatile tools applicable to various loan types including home loans, car loans, personal loans, education loans, and business loans. Home loans typically have the longest tenures ranging from fifteen to thirty years with relatively lower interest rates due to collateral security. Car loans generally span three to seven years with moderate interest rates. Personal loans offer shorter tenures of one to five years but come with higher interest rates due to their unsecured nature.
When planning your loan, consider your monthly income and existing financial obligations. Financial advisors typically recommend that your total EMI payments should not exceed 40 to 50 percent of your monthly income to maintain a healthy debt-to-income ratio. Use our calculator to experiment with different loan amounts and tenures to find a comfortable EMI that fits your budget without straining your finances.
Using an EMI calculator before applying for a loan offers numerous advantages for informed financial decision-making. It helps you determine affordability by showing exactly how much you will pay each month, allowing you to assess whether you can comfortably manage the EMI alongside your other expenses. The calculator reveals the total interest you will pay over the loan tenure, helping you understand the true cost of borrowing and compare different loan offers from various lenders.
Our calculator enables you to experiment with different scenarios by adjusting the loan amount, interest rate, or tenure to see how each factor impacts your monthly payment. This flexibility helps you choose the optimal combination that balances affordable monthly payments with minimal total interest. For example, extending the tenure reduces monthly EMI but increases total interest, while a shorter tenure means higher monthly payments but significant interest savings. Understanding these trade-offs empowers you to make decisions aligned with your financial goals.
For more financial planning tools and calculators, explore our complete tools collection. If you have questions about loan calculations or need personalized assistance, please contact our support team who can guide you through the loan planning process.