EMI stands for Equated Monthly Instalment. It is the fixed amount you pay your lender every month until the loan is fully repaid, covering both principal and interest.

How is EMI calculated?

EMI = P x r x (1+r)^n / ((1+r)^n - 1), where P is the loan amount, r is the monthly interest rate, and n is the number of monthly instalments. This is the reducing-balance method used by most lenders.

Does a longer tenure reduce my EMI?

Yes, a longer tenure lowers the monthly EMI, but you pay more total interest over the life of the loan. A shorter tenure means a higher EMI but lower total interest.

What is an amortisation schedule?

It is a year-by-year breakdown showing how much of each payment goes towards principal and interest, and the outstanding balance. Early EMIs are mostly interest; later EMIs are mostly principal.

EMI Calculator

Calculate the monthly EMI for any loan. Enter the loan amount, interest rate and tenure to see your EMI, total interest and full amortisation schedule.

Loan Amount

₹

₹50,000₹5,00,00,000

Ten Lakh Rupees

Interest Rate

5%30%

Loan Tenure

yrs

1 yrs30 yrs

Monthly EMI

₹21,247

Total Interest

₹2.75 L

Total Payment

₹12.75 L

Principal + interest

Principal vs Interest

Amortisation Schedule

Year	Principal Paid	Interest Paid	Balance
Yr 1	₹1.62 L	₹92,696	₹8.38 L
Yr 2	₹1.79 L	₹75,705	₹6.58 L
Yr 3	₹1.98 L	₹56,934	₹4.60 L
Yr 4	₹2.19 L	₹36,198	₹2.42 L
Yr 5	₹2.42 L	₹13,290	₹0

EMI is calculated on a reducing-balance basis. Actual EMI may vary with processing fees, insurance and the lender's exact compounding method.

What is an EMI?

EMI stands for Equated Monthly Instalment - the fixed monthly amount you pay your lender for the full tenure of a loan, covering both interest and principal. EMIs in India use the reducing-balance method, where interest is charged on the outstanding balance every month. In the early years of any loan, most of each EMI goes to interest; in the later years, more goes to repaying principal. This calculator shows the EMI plus the full amortisation table so you can see exactly where every rupee goes.

How to use the EMI Calculator

Enter the loan amount. The principal you plan to borrow.
Enter the interest rate. The annual rate quoted by the lender.
Enter the tenure in years. Longer tenure means lower EMI but more total interest.
Read the EMI. Your fixed monthly payment for the entire tenure.
Inspect the amortisation table. See principal vs interest split for every year, plus the outstanding balance.

Formula and method

EMI = P × r × (1+r)^n / ((1+r)^n − 1)

Where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the total number of monthly instalments. This is the universal reducing-balance EMI formula used by every Indian lender.

Why use the EMI calculator before borrowing

See affordability instantly. Confirm the EMI fits inside your monthly cash flow.
Compare lenders. A 0.5% difference in rate can mean lakhs over a long home loan.
See total interest cost. Eye-opening for any loan tenure beyond a few years.
Plan prepayment. Visualise how an annual lumpsum prepayment cuts the tenure dramatically.
Choose tenure wisely. Shorter tenure = higher EMI but vastly lower interest paid over the life of the loan.

Sample EMI on a ₹10 lakh loan

Tenure	At 8.5%	At 9.5%	At 10.5%
5 years	₹20,517	₹20,994	₹21,494
10 years	₹12,398	₹12,940	₹13,493
15 years	₹9,847	₹10,442	₹11,054
20 years	₹8,678	₹9,321	₹9,984

Illustrative monthly EMI per ₹10 lakh principal. Use the calculator above for your exact loan parameters.