How is EMI calculated?

EMI = [P × R × (1+R)^N] ÷ [(1+R)^N − 1], where P is the loan amount, R is the monthly interest rate (annual rate ÷ 12 ÷ 100), and N is the number of monthly installments. Our calculator applies this formula instantly.

EMI (Equated Monthly Installment) is the fixed amount you pay every month to repay a loan. Part of each EMI goes toward interest and part toward the principal, until the loan is fully repaid at the end of the tenure.

Does a longer tenure reduce my EMI?

Yes, a longer tenure lowers the monthly EMI but increases the total interest you pay over the life of the loan. A shorter tenure means higher EMI but less total interest. Use the calculator to compare both options.

EMI Calculator

Calculate your monthly loan installment (EMI), total interest, and total payment for any loan.

Loan Amount

Annual Interest Rate (%)

Loan Tenure (years)

Loan Summary

Monthly EMI

Total Interest

Total Payment

How to Use the EMI Calculator

Enter the loan amount you want to borrow (in any currency).
Enter the annual interest rate offered by your bank (e.g. 9.5).
Enter the tenure in years and click Calculate — you'll instantly see your monthly EMI, the total interest you'll pay, and the total amount payable.

EMI Formula

EMI = [P × R × (1+R)^N] ÷ [(1+R)^N − 1], where P = principal loan amount, R = monthly interest rate (annual rate ÷ 12 ÷ 100), and N = total number of monthly installments (years × 12). This is the standard formula used by banks worldwide for home loans, car loans, and personal loans.

Smart Ways to Use This Calculator

Compare different tenures before signing: a 20-year home loan has a lower EMI than a 15-year one, but you may pay dramatically more total interest. Try both here and see the difference. You can also check how a small change in interest rate (even 0.5%) affects your total payment — useful when negotiating with banks or comparing loan offers. The calculation runs entirely in your browser; no financial data is sent anywhere.

Frequently Asked Questions

Does this work for any currency?

Yes — the math is the same for PKR, INR, USD, EUR, or any currency. Just enter the amount in your currency.

Is the EMI fixed for the entire tenure?

For fixed-rate loans, yes. For floating-rate loans, your EMI changes when the bank revises the interest rate — recalculate here with the new rate to see your updated EMI.

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