EMI Calculator India
Home loan, personal loan and car loan
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Home loan rates: 8.5% to 9.5% p.a. as of April 2026.
years
Range: 1-30 years (or 1-360 months)
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At 40% FOIR, you can borrow up to ₹-- at current rate & tenure.
Monthly EMI
₹21,247
You will pay ₹21,247 every month for 5 years (60 months).
Total interest
₹2,74,820
Total payment
₹12,74,820
Interest in month 1
₹--
Break-even year
Year --
Principal 78%
Interest 22%
Home loan tax benefit (old regime)
Total tax saving (tenure)
₹--
Net interest after tax
₹--
Effective rate after tax
--%
Have extra funds?
See how a prepayment changes your schedule and total interest →
Your EMI plan is one part of a complete financial picture.
Build a FinnFit financial plan that connects EMI, insurance, and investments.
Outstanding balance over time
Enter values to see the balance trend.
How to use this EMI calculator
Enter your loan amount (digits only), annual interest rate, and tenure (toggle between years and months). Your monthly EMI, total interest, and total payment update instantly. Amounts show Indian commas and an amount-in-words helper.
- Reducing balance method (standard for banks and NBFCs)
- Indian number format (lakh and crore)
- CSV amortization schedule download
What is EMI?
EMI (Equated Monthly Instalment) is a fixed amount you pay every month to repay a loan. Each EMI contains both interest and principal. With the reducing-balance method, the interest share falls over time while the principal share rises.
EMI formula
We use the standard amortizing-loan formula with monthly compounding:
EMI formula
EMI = P x r x (1 + r)^n / [(1 + r)^n - 1]
Where P = loan amount, r = monthly interest rate (annual / 12 / 100), and n = total monthly instalments. If r = 0, then EMI = P / n.
Worked example
For ₹10,00,000 at 10% p.a. over 5 years (60 months):
- Monthly EMI: ~₹21,247
- Total Interest: ~₹2,74,820
- Total Payment: ~₹12,74,820
We round to the nearest rupee for display; a lender's rounding may differ slightly.
Reducing balance vs flat interest
Reducing balance EMI (used by banks/NBFCs): interest is calculated on the outstanding principal each month. The interest share drops every month.
Flat interest: interest is charged on the original principal for the entire tenure. EMI looks simple but usually costs more overall.
This calculator uses the reducing balance method.
Pre-EMI vs full EMI (home loans)
- Pre-EMI (during construction/partial disbursal): You pay interest-only on the disbursed amount - lower outgo today, but principal does not reduce.
- Full EMI: You pay principal + interest from day one - typically saves on total interest over the life of the loan.
Charges and GST - what is included in EMI?
Your EMI covers principal and interest. Lenders may also levy processing/administrative fees, documentation, late-payment, foreclosure/part-prepayment charges, etc.
In India, GST generally applies to fees/charges (e.g., processing fee), not to the principal or interest component of the EMI. Always confirm with your lender.
Factors that affect your EMI
- Interest rate (fixed vs floating)
- Tenure (months)
- Loan amount and LTV
- Credit score and income stability
- Part-prepayments / foreclosure (changes EMI/tenure and reduces interest cost)
How to reduce your EMI (practical tips)
- Choose a longer tenure (lowers EMI, increases total interest).
- Increase down payment (home/car loans).
- Improve credit score before applying.
- Pick floating when rate outlook is softening; fixed for predictability.
- Make part-prepayments; ask lender to reduce tenure to save interest.
- Refinance/balance-transfer to a lower rate after comparing total costs.
EMI for popular loan types
- Home loan EMI: Long tenures (up to 30 years) lead to lower EMI but higher total interest if rates are high.
- Car loan EMI: Typically 3-7 years; rates lower than personal loans.
- Personal loan EMI: 1-5 years; higher rates; prepayment terms vary.
How much loan can you afford? Salary and FOIR explained
Banks and NBFCs use the Fixed Obligations to Income Ratio (FOIR) to decide the maximum EMI they will sanction, typically 40% to 50% of monthly take-home income. To find your maximum loan: multiply your take-home salary by 0.40 (40% FOIR) to get the maximum EMI, then reverse-calculate the principal using P = EMI × [(1+r)^n − 1] / [r × (1+r)^n].
| Take-home salary | Max EMI (40% FOIR) | Max home loan (8.5%, 20 yr) |
|---|---|---|
| Rs 40,000 | Rs 16,000 | ~Rs 17.8 lakh |
| Rs 60,000 | Rs 24,000 | ~Rs 26.7 lakh |
| Rs 80,000 | Rs 32,000 | ~Rs 35.6 lakh |
| Rs 1,00,000 | Rs 40,000 | ~Rs 44.5 lakh |
| Rs 1,50,000 | Rs 60,000 | ~Rs 66.8 lakh |
Indicative estimates at 8.5% p.a., 20-year tenure, 40% FOIR. Lenders also consider credit score, employer profile, age at maturity, and existing obligations.
Home loan tax deductions: Section 24(b) and Section 80C
Home loan borrowers in India can claim two significant deductions under the old tax regime. Under Section 24(b) of the Income Tax Act, up to Rs 2,00,000 per year of the interest paid on a self-occupied home loan is deductible from taxable income; for a let-out or deemed let-out property, the full interest is deductible without a ceiling. Under Section 80C, the principal repayment portion of your EMI is deductible up to Rs 1,50,000 per year, shared with other eligible investments such as ELSS and PPF.
| Parameter | 20% tax bracket | 30% tax bracket |
|---|---|---|
| Max annual saving on interest (Sec 24b) | Rs 40,000 | Rs 60,000 |
| Max annual saving on principal (Sec 80C) | Rs 30,000 | Rs 45,000 |
| Max combined annual saving | Rs 70,000 | Rs 1,05,000 |
Deductions apply only under the old tax regime. Verify with a chartered accountant for your specific income and property situation.
Home loan EMI reference table (8.5% p.a., April 2026)
Pre-calculated monthly EMI for common home loan amounts at 8.5% p.a. on a reducing balance basis.
| Loan amount | 10 years | 15 years | 20 years | 25 years | 30 years |
|---|---|---|---|---|---|
| Rs 20 lakh | 24,797 | 19,694 | 17,356 | 16,135 | 15,384 |
| Rs 30 lakh | 37,194 | 29,541 | 26,035 | 24,202 | 23,077 |
| Rs 40 lakh | 49,592 | 39,387 | 34,713 | 32,269 | 30,769 |
| Rs 50 lakh | 61,990 | 49,234 | 43,391 | 40,336 | 38,461 |
| Rs 60 lakh | 74,388 | 59,081 | 52,070 | 48,404 | 46,153 |
| Rs 70 lakh | 86,786 | 68,928 | 60,748 | 56,471 | 53,845 |
| Rs 80 lakh | 99,183 | 78,774 | 69,427 | 64,538 | 61,538 |
| Rs 1 crore | 1,23,979 | 98,468 | 86,783 | 80,673 | 76,922 |
| Rs 1.5 crore | 1,85,969 | 1,47,702 | 1,30,174 | 1,21,009 | 1,15,383 |
| Rs 2 crore | 2,47,959 | 1,96,936 | 1,73,566 | 1,61,345 | 1,53,844 |
Indicative estimates. Actual EMI may vary by lender rounding and disbursal date.
Personal loan EMI reference table (13% p.a., April 2026)
Pre-calculated monthly EMI for common personal loan amounts at 13% p.a. on a reducing balance basis.
| Loan amount | 1 year | 2 years | 3 years | 5 years |
|---|---|---|---|---|
| Rs 1 lakh | 8,932 | 4,752 | 3,369 | 2,275 |
| Rs 2 lakh | 17,864 | 9,505 | 6,737 | 4,550 |
| Rs 3 lakh | 26,795 | 14,257 | 10,106 | 6,825 |
| Rs 5 lakh | 44,659 | 23,762 | 16,843 | 11,375 |
| Rs 10 lakh | 89,318 | 47,523 | 33,687 | 22,750 |
| Rs 15 lakh | 1,33,977 | 71,285 | 50,530 | 34,125 |
Indicative estimates at 13% p.a., rounded to the nearest rupee.
Car loan EMI reference table (9.5% p.a., April 2026)
Pre-calculated monthly EMI for common car loan amounts at 9.5% p.a. on a reducing balance basis.
| Loan amount | 1 year | 2 years | 3 years | 5 years | 7 years |
|---|---|---|---|---|---|
| Rs 3 lakh | 26,310 | 13,779 | 9,606 | 6,300 | 4,902 |
| Rs 5 lakh | 43,850 | 22,965 | 16,010 | 10,500 | 8,170 |
| Rs 7 lakh | 61,390 | 32,151 | 22,414 | 14,700 | 11,438 |
| Rs 10 lakh | 87,700 | 45,930 | 32,022 | 21,000 | 16,340 |
| Rs 15 lakh | 1,31,550 | 68,895 | 48,033 | 31,500 | 24,510 |
| Rs 20 lakh | 1,75,400 | 91,860 | 64,044 | 42,000 | 32,680 |
Indicative estimates at 9.5% p.a., rounded to the nearest rupee.
Key terms (quick glossary)
- Principal
- Loan amount you borrow.
- Interest
- Cost of borrowing, charged on outstanding principal.
- Tenure
- Loan period in months.
- FOIR/DBR
- Share of income used for EMIs; affects eligibility.
- Prepayment/Foreclosure
- Early repayment that reduces interest cost.
- Processing fee
- One-time fee charged by lender (often plus GST).
FAQs
How is EMI calculated?
EMI stands for Equated Monthly Instalment and is calculated using the standard amortizing-loan formula: EMI = P x r x (1 + r)n / [(1 + r)n - 1], where P is the principal, r is the monthly interest rate (annual rate divided by 12 and by 100), and n is the number of monthly instalments. For example, a loan of Rs 10,00,000 at 10% p.a. over 5 years gives a monthly EMI of approximately Rs 21,247, with total interest of about Rs 2,74,820. Each EMI stays the same throughout the loan, but the interest portion is highest in month 1 and falls each month as the outstanding balance reduces. The method used here is the reducing-balance method with monthly compounding, which is the standard for banks and NBFCs in India.
Which is better - reducing balance or flat interest?
Under the reducing-balance method, interest each month is calculated only on the outstanding principal, so your interest cost falls steadily as you repay. The flat-rate method charges interest on the original principal for the entire tenure, which makes it look cheaper upfront but typically costs significantly more overall. A widely cited benchmark is that a flat interest rate of 7% is roughly equivalent to a reducing-balance rate of 12.5% to 13% for the same loan. All scheduled commercial banks and regulated NBFCs in India are required by RBI guidelines to quote and calculate EMIs on the reducing-balance basis. Always confirm the method with your lender before signing, and compare offers using the equivalent annual rate.
Are EMI amounts the same every month?
Yes, under a standard fixed-rate amortizing schedule the rupee amount of each EMI remains constant for the entire tenure. What changes every month is the split between the interest component and the principal component. In month 1 the interest share is at its highest because it is charged on the full outstanding balance; as each payment reduces the principal, the interest portion shrinks and the principal portion grows. By the final months you are paying mostly principal with a very small interest component. This is why making a prepayment early in the loan lifecycle saves far more interest than the same amount prepaid in later years.
What happens if I make a part-prepayment?
When you make a lump-sum prepayment, the amount is applied directly to your outstanding principal, immediately reducing the base on which future interest accrues. Most lenders offer two options after a prepayment: reduce the remaining tenure while keeping the EMI the same, or reduce the EMI while keeping the tenure unchanged. Choosing to reduce tenure is usually more interest-efficient because it eliminates more future interest-accruing months. Reducing EMI instead frees up monthly cash flow but extends your total interest outgo. Prepayments made in the first third of the tenure are the most powerful, since the outstanding principal is still high and each rupee prepaid saves the most in future interest.
Is there GST on EMI?
GST in India applies to lender fees and service charges, not to the principal or interest components of the EMI itself. Processing fees, documentation charges, late-payment fees, and foreclosure charges all attract GST at 18% as they are treated as taxable financial services. For example, if a lender charges a processing fee of Rs 10,000 on a loan, you pay an additional Rs 1,800 as GST on that fee. The EMI amounts shown in this calculator cover only principal and interest and do not include any such charges or their GST. Always review the full schedule of charges in your loan sanction letter to understand the true cost of borrowing.
Why can my lender's EMI differ from this tool?
Small differences between this calculator and your lender's repayment statement can arise from several sources. Rounding conventions vary: lenders may round to the nearest rupee, paisa, or use specific rounding methods, causing small but compounding divergences over a long tenure. The reset date matters too: if your loan disbursal date falls mid-month, the first instalment may cover a partial interest period before the regular schedule begins. Some lenders use daily interest accrual rather than monthly compounding, which produces slightly different totals. Step-up or step-down EMI products, and loans with moratorium periods or rate-reset clauses, will produce schedules that differ materially from a standard fixed-rate output. To reconcile, compare against the amortization schedule attached to your sanction letter.
What is FOIR and how does it affect my loan eligibility?
FOIR stands for Fixed Obligations to Income Ratio and represents the share of your monthly take-home income that goes toward all existing and proposed loan EMIs combined. Most banks and NBFCs target a FOIR below 40% to 50% for home loans, and below 30% to 40% for personal loans; applications with a FOIR above 50% are frequently declined or offered a lower loan amount. You can use the monthly salary field on this page to see your projected FOIR instantly as you adjust the loan amount, tenure, or rate: the badge turns green (below 40%), amber (40% to 50%), or red (above 50%). Keeping your FOIR below 40% not only improves your approval chances but also preserves borrowing headroom for future needs such as a car loan, top-up, or credit card upgrade. If your FOIR is high, consider increasing your down payment, choosing a longer tenure to reduce the EMI, or clearing an existing obligation before applying.
How much home loan can I get on my salary?
FOIR stands for Fixed Obligations to Income Ratio and is the key metric lenders use to decide maximum loan eligibility. Banks typically allow a FOIR of 40% to 50%, meaning your total monthly EMI obligations should not exceed 40% to 50% of your monthly take-home salary. To estimate your maximum loan: multiply your salary by 0.40 to get the maximum EMI, then use the reverse-EMI formula P = EMI x [(1+r)^n - 1] / [r x (1+r)^n] to find the principal. For example, on a take-home salary of Rs 60,000 at 40% FOIR, maximum EMI is Rs 24,000; at 8.5% p.a. for 20 years that translates to a home loan of approximately Rs 26.7 lakh. This calculator automatically shows your maximum affordable loan in the affordability section when you enter your monthly salary. Lenders also weigh credit score, employer profile, existing liabilities, and age at loan maturity, so the final sanctioned amount may differ.
Can I claim income tax deduction on my home loan EMI?
Yes, home loan borrowers in India can claim two deductions under the old tax regime. Under Section 24(b) of the Income Tax Act, you can deduct up to Rs 2,00,000 per year on the interest component of your EMI for a self-occupied property; for a let-out property there is no upper ceiling on the interest deduction. Under Section 80C, the principal repayment component of your EMI is deductible up to Rs 1,50,000 per year, subject to the combined Section 80C limit shared with other eligible investments. In the first several years of a large home loan, annual interest usually exceeds Rs 2,00,000 and the deduction is capped; the principal portion typically falls within the Rs 1,50,000 limit. These deductions are only available if you opt for the old tax regime; they cannot be claimed under the new default tax regime applicable from FY 2023-24. The tax benefit panel in this calculator shows your estimated total saving and effective post-tax borrowing rate for the selected tax bracket.
What happens to my EMI if interest rates change on a floating rate loan?
On a floating-rate loan linked to an external benchmark such as the RBI repo rate or a lender MCLR, any rate change is passed on to your loan at the reset date, usually every 3 or 12 months. When the rate rises, most lenders keep the EMI unchanged and extend the tenure instead, which can silently add years and a significant amount to your total interest cost without any immediate change in your monthly outgo. When the rate falls, the reduction is usually reflected as a lower EMI or a shorter tenure depending on lender policy. The Rate Change Impact panel in this calculator shows instantly how a 0.5% or 1.0% rise changes your monthly EMI, which helps you gauge the financial cushion you need to hold. If you are on a floating rate, check your outstanding balance and amortization schedule at each reset date, and consider making a partial prepayment if your tenure has been extended beyond your original plan.
