Free browser-based tool
EMI Calculator
Calculate your Equated Monthly Instalment for home, car, or personal loans. Enter the loan amount, interest rate, and tenure to instantly see your monthly payment, total interest cost, and a complete month-by-month amortization schedule.
Monthly EMI Payment
$871
Total Interest
$56,799
Total Payoff Amount
$156,799
Payoff Schedule
What is EMI?
EMI (Equated Monthly Instalment) is the fixed amount you pay to your lender every month until the loan is fully repaid. Unlike variable payments, an EMI stays the same throughout the loan tenure — making budgeting straightforward.
Every EMI has two components that shift over time:
Principal Component
The portion that reduces your outstanding loan balance. Starts small, grows larger each month.
Interest Component
The cost of borrowing, calculated on the remaining balance. Starts large, shrinks each month.
In the early months of a loan, the majority of your EMI goes toward interest. This is why making prepayments early in the loan tenure saves the most interest.
EMI Formula Explained
Banks and financial institutions use the reducing balance method to calculate EMI:
EMI = P × r × (1 + r)ⁿ ÷ [(1 + r)ⁿ − 1]
P = Principal loan amount
r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
n = Loan tenure in months
Worked Example
Loan: ₹20 lakh | Rate: 9% per year | Tenure: 20 years (240 months)
r = 9 ÷ 12 ÷ 100 = 0.0075 | n = 240
EMI ≈ ₹17,995/month | Total interest ≈ ₹23.19 lakh | Total repayment ≈ ₹43.19 lakh
How to Use This Calculator
- 1
Enter the loan amount
Type the principal amount you want to borrow. For a home loan it might be ₹30 lakh; for a car loan ₹8 lakh.
- 2
Enter the annual interest rate
Enter the rate offered by your bank as a percentage (e.g., 8.5). The calculator converts it to a monthly rate automatically.
- 3
Set the loan tenure
Enter the duration in years or months. Home loans can run 10–30 years; personal loans 1–5 years.
- 4
Read your results
Instantly see your monthly EMI, total interest payable, total repayment amount, and the full amortization table.
EMI by Loan Type
| Loan Type | Typical Interest Rate | Common Tenure | EMI per ₹10 Lakh |
|---|---|---|---|
| Home Loan | 8.5% – 9.5% | 15 – 30 years | ₹7,700 – ₹9,000 |
| Car Loan | 9.0% – 11.0% | 3 – 7 years | ₹13,000 – ₹17,000 |
| Personal Loan | 10.5% – 18.0% | 1 – 5 years | ₹17,000 – ₹24,000 |
| Education Loan | 9.0% – 13.0% | 5 – 15 years | ₹10,000 – ₹14,000 |
Rates and EMI estimates are indicative and vary by lender, credit score, and loan conditions.
Tips to Reduce Your EMI
💰 Increase your down payment
A larger upfront payment reduces the principal you borrow, directly lowering your EMI and total interest.
📅 Choose a longer tenure
Spreading repayment over more months reduces the monthly amount — but increases total interest paid.
🏦 Negotiate a lower rate
A good credit score (750+) qualifies you for lower interest rates. Even 0.5% less can save lakhs over a long tenure.
📤 Make prepayments early
Prepaying in the first few years saves the most interest because the outstanding principal is highest.
Understanding Your Amortization Schedule
An amortization schedule is a complete table showing how each EMI payment is split between interest and principal month by month, and how your outstanding balance decreases over time.
Early Months
~80–90% of EMI is interest. Balance reduces slowly.
Mid Period
Interest and principal portions begin to equalize.
Final Months
~90%+ of EMI is principal. Loan clears quickly.
Use the amortization table in the calculator above to see exactly how much interest you pay in any given year and plan your prepayments strategically.