EMI Calculator

What This EMI Calculator Does

An EMI (Equated Monthly Instalment) is the fixed monthly payment you make to repay a loan - part of it goes toward interest and part toward reducing the principal, in a ratio that shifts over the loan's life. This calculator computes the monthly EMI, total interest, and total repayment for any loan amount, interest rate, and tenure.

The Formula

EMI = [P × r × (1+r)ⁿ] / [(1+r)ⁿ - 1], where P is the loan principal, r is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly instalments. This formula guarantees the same payment every month while fully repaying both principal and interest by the end of the tenure.

How to Use It

Enter the loan amount, the annual interest rate, and the tenure in years. The calculator shows your fixed monthly EMI, along with a breakdown of how much of your total repayment is principal versus interest over the life of the loan.

Why Total Interest Can Exceed the Loan Amount

For long tenures - a 20 or 30-year home loan, for instance - the total interest paid can be a very large fraction of, or even exceed, the original loan amount, simply because interest keeps accruing on the outstanding balance for so long. Shortening the tenure (if you can afford the higher EMI) or making periodic prepayments toward the principal can meaningfully reduce this total interest cost.

Who This Is For

Anyone evaluating a home loan, car loan, or personal loan offer, comparing tenure options, or checking whether a proposed EMI fits comfortably within their monthly budget before committing to a loan.

Quick Example

A ₹30,00,000 home loan at 8.5% annual interest over a 20-year (240-month) tenure works out to a monthly EMI of approximately ₹26,035 - across those 240 months, total interest paid ends up being a substantial portion of the original loan amount.