EMI Calculator

What Is EMI?

EMI means equated monthly installment. It is the fixed monthly payment made toward a loan when the rate and tenure stay the same.

EMI Formula

EMI = P x r x (1 + r)^n / ((1 + r)^n - 1)

P is principal, r is monthly interest rate, and n is the number of monthly payments.

Example

For a principal of 1,000,000 at 8.5% annually for 240 months:

1. Monthly rate = 8.5% / 12.
2. Number of payments = 240.
3. Use the EMI formula.

The calculator shows the estimated EMI, total amount paid, and total interest.

Useful Checks

• Increase the tenure to see the EMI fall and total interest rise.
• Increase the rate to see how sensitive the loan is.
• Compare EMI with your monthly budget before making decisions.

FAQ

Is EMI the same as monthly payment?

For many fixed-rate loans, yes. EMI is the fixed monthly amount paid over the loan tenure.

Why is the total paid higher than the principal?

The total includes interest paid over the life of the loan.