EMI Calculator
Calculate your Equated Monthly Installment (EMI) for home loans, car loans, or personal loans.
Repayment Over Time
| Period | Principal Paid | Interest Paid | Total Paid | Balance |
|---|
Understanding your EMI
An Equated Monthly Installment (EMI) is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. Equated monthly installments are used to pay off both interest and principal each month so that over a specified number of years, the loan is paid off in full.
Be mindful of the Total Interest. Extending the tenure of a loan will significantly lower your monthly EMI, but it will drastically increase the total amount of interest you pay to the bank over the life of the loan.
How to calculate EMI manually
The mathematical formula to calculate EMI is: EMI = P × r × (1 + r)^n / ((1 + r)^n - 1)
- P is the principal loan amount.
- r is the monthly interest rate (annual rate divided by 12 and then divided by 100).
- n is the loan tenure in months.
For example, if you borrow $100,000 at 10% annual interest for 10 years (120 months), your monthly interest rate is 10 / 12 / 100 = 0.00833. Plugging this into the formula gives an EMI of approximately $1,321.