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EMI Calculator

Calculate your Equated Monthly Installment (EMI) for any loan. Results update instantly as you type.

Loan Details

₹
Principal loan amount
%
Annual interest rate
months
= 20 years
📊

Enter loan details to see your EMI

About EMI Calculator

An EMI (Equated Monthly Installment) is a fixed payment amount made by a borrower to a lender each month. EMIs pay off both interest and principal so that after a set number of years, the loan is fully repaid.

EMI Formula

EMI = [P × R × (1+R)^N] / [(1+R)^N − 1]

  • P — Principal loan amount
  • R — Monthly interest rate (Annual ÷ 12 ÷ 100)
  • N — Loan tenure in months

How to Use

  • Enter loan amount, interest rate, and tenure.
  • Results update instantly as you type.
  • Toggle between yearly and monthly amortization view.

Tips to Reduce EMI

  • Negotiate a lower interest rate or do a balance transfer.
  • Increase your down payment.
  • Make prepayments to reduce principal.
  • Extend tenure (lowers EMI but increases total interest).

What this EMI calculator does

The MONEX MINT EMI calculator computes the equated monthly instalment for any home, car, personal or business loan in India using the standard reducing-balance formula every bank and NBFC follows. Enter your principal, annual interest rate and tenure to see the monthly EMI, total interest payable, total amount repaid and a complete amortisation schedule. Use it to size a loan against your take-home salary, compare offers from different lenders, or model the impact of a prepayment on a running loan.

How it's calculated

EMI = [P × R × (1+R)^N] / [(1+R)^N − 1]
  • P — Principal — the loan amount disbursed by the bank
  • R — Monthly interest rate = annual rate ÷ 12 ÷ 100 (e.g. 8.5% p.a. → 0.00708)
  • N — Tenure in months (e.g. 20 years × 12 = 240)

Example: ₹10,00,000 personal loan at 8.5% for 20 years

  1. Principal P = ₹10,00,000 | Annual rate = 8.5% | Tenure = 20 years
  2. Monthly rate R = 8.5 ÷ 12 ÷ 100 = 0.007083
  3. Number of months N = 20 × 12 = 240
  4. EMI = [10,00,000 × 0.007083 × (1.007083)^240] / [(1.007083)^240 − 1]
  5. (1.007083)^240 ≈ 5.4636, so EMI = (10,00,000 × 0.007083 × 5.4636) / 4.4636
  6. Total interest paid over 20 years = ₹8,678 × 240 − ₹10,00,000 = ₹10,82,720

Result: Monthly EMI: ₹8,678 | Total payable: ₹20,82,720 | Total interest: ₹10,82,720

Frequently asked questions

How is EMI calculated on a loan in India?
EMI is calculated using the standard reducing-balance formula EMI = [P × R × (1+R)^N] / [(1+R)^N − 1], where P is principal, R is the monthly interest rate (annual rate ÷ 12 ÷ 100) and N is the total number of monthly instalments. Every Indian bank and major NBFC quotes a reducing-balance rate, so each EMI splits into a shrinking interest component and a growing principal component.
What is a good interest rate for a home loan in 2026?
For salaried borrowers with a CIBIL score above 750, home loan rates currently sit between 8.4% and 9.25% p.a. depending on the lender, loan size and LTV. Anything above 9.5% is worth negotiating or refinancing. For personal loans expect 10.5% to 18%, and for car loans 8.5% to 11%. Always compare the all-in cost (rate plus processing fee plus insurance) rather than the headline rate.
Does prepaying a loan reduce my EMI or my tenure?
By default, most banks reduce the tenure and keep the EMI unchanged when you prepay — this saves the maximum interest. You can ask the bank to reduce the EMI instead, but the interest saving will be smaller. On floating-rate home and personal loans the RBI prohibits prepayment penalties for individuals, so partial prepayments are free.
How much EMI can I afford on my salary?
A widely accepted rule is that total EMIs (across all loans) should not exceed 40-50% of your monthly net take-home salary. Banks themselves cap the FOIR (Fixed Obligation to Income Ratio) at around 50-65% depending on income bracket. If your in-hand salary is ₹1,00,000, aim to keep total EMIs below ₹40,000-₹50,000 to stay financially comfortable.
What is the difference between flat rate and reducing balance EMI?
A flat rate charges interest on the full original loan amount for the entire tenure, ignoring repayments. A reducing-balance rate charges interest only on the outstanding balance, which falls every month. A 10% flat rate is roughly equivalent to an 18-19% reducing rate. Always confirm with the lender that the quoted rate is reducing balance — flat rates are common in dealer-financed and consumer-durable loans.
Can I claim tax benefits on my loan EMIs?
Yes, but only for home loans and education loans. On a self-occupied home loan you can claim up to ₹2,00,000 of interest under Section 24(b) and ₹1,50,000 of principal under Section 80C. Education loan interest is fully deductible under Section 80E for 8 years. Personal, car and credit card loan EMIs do not qualify for any tax deduction.
Why does my EMI stay the same but the interest portion fall every month?
Because each EMI is split between interest (charged on the outstanding balance) and principal repayment. In the early years your outstanding balance is high so most of the EMI goes to interest. As you pay down principal, the interest component shrinks and a larger share of the same EMI starts cutting into the principal — this is the amortisation effect.

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Rates and slabs in this article are based on standard reducing-balance EMI maths and FY 2025-26 norms; actual lender pricing may include processing fees, GST and insurance riders that change the effective cost. Always compare the all-in APR before signing.