Toolwise

EMI Calculator

Work out the monthly instalment on a home, car or personal loan, and see exactly how much of it goes toward interest.

How to use EMI Calculator

  1. 1Enter the loan amount (principal) you plan to borrow.
  2. 2Enter the annual interest rate offered by your lender.
  3. 3Enter the loan tenure in years or months.
  4. 4Your EMI, total interest and total payment update instantly.

About EMI Calculator

An EMI (Equated Monthly Instalment) is the fixed amount you repay each month on a loan, combining both principal and interest. This calculator uses the standard amortising-loan formula to show your monthly EMI, total interest paid over the loan term, and the total amount you'll repay.

EMI Formula

EMI = P × r × (1 + r)ⁿ / ((1 + r)ⁿ − 1)

Where P is the principal loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly instalments.

Example Calculation

A ₹20,00,000 loan at 8.5% annual interest over 20 years.

Principal₹20,00,000
Interest Rate8.5% per year
Tenure20 years (240 months)
Monthly EMI≈ ₹17,357
Total Interest≈ ₹21,65,680
Total Payment≈ ₹41,65,680

Benefits

  • Plan your monthly budget before committing to a loan.
  • Compare EMIs across different tenures and interest rates in seconds.
  • See how much of your repayment is interest versus principal.

Common mistakes

  • Comparing only the EMI amount without checking the total interest paid over the full tenure.
  • Forgetting that a longer tenure lowers EMI but significantly increases total interest.
  • Not accounting for processing fees or prepayment charges, which this calculator does not include.

Frequently Asked Questions

Yes — the same reducing-balance formula applies to home loans, car loans, personal loans and education loans, as long as the interest is compounded monthly.

Not necessarily. A lower EMI usually means a longer tenure, which increases the total interest you pay over the life of the loan.

No, this calculator only computes principal and interest. Add any fees your lender charges separately when budgeting.

Related tools

Advertisement
336 × 280