How EMI is calculated
This uses the standard reducing-balance EMI formula: EMI = P × r × (1+r)ⁿ / ((1+r)ⁿ − 1), where P is the principal, r is the monthly interest rate, and n is the number of monthly installments. Each EMI payment covers both interest and principal, with the interest portion highest in early installments and decreasing over the loan's life.
related tools
Working out a raise instead of a loan? Try the salary increase calculator, or convert the loan amount to another currency with the currency converter.