EMI Calculator
Calculate your monthly loan payments with detailed breakdown
Last updated: January 2025
About This Tool
An EMI (Equated Monthly Installment) calculator helps you determine the fixed monthly payment you need to make to repay a loan over a specified period. Understanding your EMI before taking a loan is crucial for effective financial planning.
What is EMI Calculator?
EMI stands for Equated Monthly Installment. It is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. EMIs 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. The EMI amount consists of both principal and interest components, with the interest portion being higher in the initial months and decreasing over time as the principal is paid down.
How It Works
The EMI calculation uses a mathematical formula that factors in the principal amount (the loan amount), the interest rate, and the loan tenure. Each monthly payment is split between interest and principal repayment. In the early months, a larger portion goes toward interest. As you continue paying, more of each payment goes toward reducing the principal balance.
Formula
EMI = P × r × (1 + r)^n / [(1 + r)^n – 1]
Your Monthly EMI
$10,258.27
per month for 5 years
Payment Over Time
Amortization Schedule
| Month | EMI | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $10,258.27 | $6,716.6 | $3,541.67 | $493,283.4 |
| 2 | $10,258.27 | $6,764.17 | $3,494.09 | $486,519.23 |
| 3 | $10,258.27 | $6,812.09 | $3,446.18 | $479,707.14 |
| 4 | $10,258.27 | $6,860.34 | $3,397.93 | $472,846.8 |
| 5 | $10,258.27 | $6,908.93 | $3,349.33 | $465,937.86 |
| 6 | $10,258.27 | $6,957.87 | $3,300.39 | $458,979.99 |
| 7 | $10,258.27 | $7,007.16 | $3,251.11 | $451,972.83 |
| 8 | $10,258.27 | $7,056.79 | $3,201.47 | $444,916.04 |
| 9 | $10,258.27 | $7,106.78 | $3,151.49 | $437,809.27 |
| 10 | $10,258.27 | $7,157.12 | $3,101.15 | $430,652.15 |
| 11 | $10,258.27 | $7,207.81 | $3,050.45 | $423,444.34 |
| 12 | $10,258.27 | $7,258.87 | $2,999.4 | $416,185.47 |
| 24 | $10,258.27 | $7,900.49 | $2,357.78 | $324,962.49 |
| 36 | $10,258.27 | $8,598.82 | $1,659.45 | $225,676.24 |
| 48 | $10,258.27 | $9,358.87 | $899.39 | $117,613.98 |
| 49 | $10,258.27 | $9,425.17 | $833.1 | $108,188.81 |
| 50 | $10,258.27 | $9,491.93 | $766.34 | $98,696.88 |
| 51 | $10,258.27 | $9,559.16 | $699.1 | $89,137.72 |
| 52 | $10,258.27 | $9,626.87 | $631.39 | $79,510.85 |
| 53 | $10,258.27 | $9,695.06 | $563.2 | $69,815.78 |
| 54 | $10,258.27 | $9,763.74 | $494.53 | $60,052.05 |
| 55 | $10,258.27 | $9,832.9 | $425.37 | $50,219.15 |
| 56 | $10,258.27 | $9,902.55 | $355.72 | $40,316.6 |
| 57 | $10,258.27 | $9,972.69 | $285.58 | $30,343.91 |
| 58 | $10,258.27 | $10,043.33 | $214.94 | $20,300.58 |
| 59 | $10,258.27 | $10,114.47 | $143.8 | $10,186.11 |
| 60 | $10,258.27 | $10,186.11 | $72.15 | $0 |
Payment Summary
💡 Smart Tips
- • A shorter tenure means higher EMI but less total interest
- • Even 0.5% lower rate can save thousands over the loan term
- • Consider prepayment to reduce total interest burden
Interest Percentage
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When to Use This Calculator
- 1Before taking any loan to understand your monthly financial commitment
- 2When comparing different loan offers from various lenders
- 3To plan your monthly budget and ensure you can afford the payments
- 4When considering prepayment or foreclosure of existing loans
- 5To understand the total interest you will pay over the loan term
Pro Tips
- •A longer tenure reduces EMI but increases total interest paid
- •Even a 0.5% difference in interest rate can save thousands over the loan term
- •Consider making prepayments when you have extra funds to reduce interest burden
- •Factor in processing fees and other charges when comparing loan offers
- •Keep your EMI to income ratio below 40% for financial stability
Common Mistakes to Avoid
- •Focusing only on EMI amount without considering total interest paid
- •Not accounting for other monthly expenses when committing to an EMI
- •Ignoring the impact of loan tenure on total cost
- •Not comparing offers from multiple lenders
- •Forgetting to factor in processing fees and insurance costs