EMI Calculator
Use this EMI calculator to estimate the monthly payment on a reducing-balance loan. Enter the principal, annual interest rate and repayment period to see the estimated EMI, total interest and total amount paid.
Calculator
What is the EMI Calculator?
EMI is only one part of the cost of borrowing. A lower EMI can result from a longer tenure, but the borrower may pay more interest over the life of the loan. Comparing total repayment alongside EMI gives a more complete picture.
How the calculation works
The standard EMI formula is EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the loan principal, r is the monthly interest rate and n is the total number of monthly payments. If the interest rate is zero, the principal is divided evenly across the payments.
Worked example
For example, a ₹500,000 loan at an assumed 8.5% annual rate over 5 years produces an estimated monthly payment based on 60 monthly periods. The exact result can differ from a lender statement because of rounding, fees, rate changes or different repayment conventions.
How to use this calculator
- Enter the values that apply to your situation.
- Check the rate, period and other assumptions before calculating.
- Click Calculate and review each part of the result, not only the headline number.
- Change one input at a time if you want to compare different scenarios.
How to interpret the result
EMI is only one part of the cost of borrowing. A lower EMI can result from a longer tenure, but the borrower may pay more interest over the life of the loan. Comparing total repayment alongside EMI gives a more complete picture. Use the result as a planning estimate and compare it with the terms, rates or rules that actually apply to you.
Practical tips
- Compare total interest, not only the monthly payment.
- Use the actual rate offered by the lender when you have it.
- Run the calculator with different tenures to see the trade-off between monthly affordability and total interest.
- Check whether the loan is fixed-rate or floating-rate before relying on a projection.
Important limitations
- Processing fees, insurance, taxes and other charges are not included unless specifically entered.
- A floating interest rate can change the future payment or tenure.
- Lenders may use different rounding and payment-date conventions.
- This tool is an educational estimate, not a loan offer.
Frequently Asked Questions
How is EMI calculated?
EMI is calculated from principal, the monthly interest rate and the number of monthly payments using the standard reducing-balance formula.
Does a longer tenure reduce EMI?
Usually, yes. However, a longer tenure can increase the total interest paid.
Does this calculator include processing fees?
No. It estimates principal and interest only.
Can EMI change on a floating-rate loan?
Yes. A floating rate can change the payment, tenure or both depending on the lender's terms.
Last reviewed: August 2026. Rate-sensitive rules and institutional terms can change; verify current information before making an important decision.