EMI Calculator

Calculate EMI, total interest payable and view a full amortization schedule.

What is EMI (Equated Monthly Installment)?

An EMI is the fixed amount you repay every month towards a loan. It includes both the principal and the interest. Although the EMI remains constant, the interest portion gradually decreases while the principal portion increases.

How Does an EMI Work?

At the start, the outstanding principal is high, so the interest portion of the EMI is larger. As the principal reduces, the interest decreases month by month — this forms the amortization pattern.

EMI Calculation Formula

EMI Formula:

EMI = P × R × (1 + R)N / ((1 + R)N − 1)

  • P: Loan Amount
  • R: Monthly Interest Rate (Annual Rate / 12 / 100)
  • N: Loan Tenure in Months

EMI Calculation Example

Example:

  • Loan Amount: 1000000
  • Interest Rate: 10%
  • Tenure: 5 years (60 months)

Monthly Interest Rate = 10 / 12 / 100 = 0.00833
Monthly EMI ≈ 21247

Key Factors That Affect Your EMI

  • Loan Amount
  • Interest Rate
  • Loan Tenure
  • Loan Type

Benefits of Using an EMI Calculator

  • Instant EMI calculation
  • Helps plan monthly budgets
  • Shows total interest payable
  • Useful for comparing loans

How to Use This EMI Calculator

  • Enter the loan amount
  • Enter the interest rate
  • Enter the tenure
  • View EMI, interest, and amortization instantly

Tips to Reduce Your EMI

  • Increase loan tenure
  • Choose a lower interest rate
  • Make part-prepayments
  • Consider loan refinancing

Important Notes

  • Based on standard EMI formula
  • Actual EMI may vary
  • Additional fees are not included

Input Rules & Limits

  • Loan Amount: 1000 – 1000000000
  • Interest Rate: 3% – 25%
  • Years: 0 – 30
  • Months: 0 – 11
  • Total tenure: 1 – 360 months

Frequently Asked Questions (FAQs)

EMI is the fixed monthly payment that includes both principal and interest.
EMI is calculated using the standard reducing balance formula.
Yes, EMI stays constant while the interest/principal ratio changes.
You can reduce EMI by extending tenure, prepaying, or refinancing.
Most lenders allow prepayment, sometimes with nominal charges.