EMI Calculator
Your EMI (equated monthly instalment) is calculated as P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the loan amount, r is the monthly interest rate, and n is the number of months. For example, a ₹50 lakh home loan at 8.5% for 20 years has an EMI of about ₹43,400, and you repay roughly ₹1.04 crore in total. Enter your loan details below.
Updated July 2026. Figures for FY 2025-26 (AY 2026-27).
How it is calculated
The EMI formula
EMI = P × r × (1+r)^n / ((1+r)^n − 1). Here P is the principal, r is the annual rate divided by 12, and n is the tenure in months. Early EMIs are mostly interest; later ones are mostly principal.
Total interest and payment
Total payment = EMI × number of months. Total interest = total payment − loan amount. A longer tenure lowers the EMI but raises the total interest you pay.
Worked example. ₹50 lakh at 8.5% for 20 years: EMI about ₹43,400, total interest about ₹54 lakh over the loan.
Frequently asked questions
How is home loan EMI calculated?
Using the reducing-balance formula EMI = P × r × (1+r)^n / ((1+r)^n − 1). Interest is charged on the outstanding balance, which falls with every payment.
Does a longer tenure reduce my EMI?
Yes, a longer tenure lowers the monthly EMI, but you pay more total interest over the life of the loan. A shorter tenure costs more monthly but far less overall.
Is a home loan eligible for tax deduction?
Under the old regime, home loan interest is deductible up to ₹2 lakh a year under section 24(b) for a self-occupied home, and principal under 80C. The new regime does not allow these for self-occupied property.
What is prepayment and how does it help?
Prepaying part of the principal reduces the outstanding balance, cutting future interest sharply, especially in the early years when interest is highest.
Related calculators
FD Calculator · SIP Calculator · Income Tax Calculator · GST Calculator
File your return with a real chartered accountant at a fair, flat price.