Compound Interest Calculator Guide
Complete guide to compound interest formula with monthly vs annual compounding examples.
EMI Calculator India — Home, Car & Personal Loan
Year-wise Growth · Contributions · Inflation Adjusted · Goal Planner
Calculate your exact monthly EMI for any loan in India — home, car, personal or education. Our free EMI calculator uses the standard reducing-balance formula: EMI = P × r × (1+r)ⁿ / ((1+r)ⁿ−1), giving you accurate results instantly. Compare loan tenure options, see the full amortization schedule and plan prepayments to save lakhs in interest.
💹 Compound Interest Calculator
₹1.0L
10%
5 yr
📉 Show Inflation Adjusted ReturnsAdjust for 6% inflation
📌 ₹50L Home Loan Example
₹50 Lakh · 8.5% p.a. · 20 Years
→ Monthly EMI ₹43,391 · Total Interest ₹54.14L · Total Payment ₹1.04Cr
Maturity Amount
₹1,63,862
₹1,00,000 invested·₹63,862 interest·63.9% return
1.64xWealth Ratio
7.2yDoubling Time
₹1,63,862Maturity Value
₹1,00,000Total Invested
₹63,862Interest Earned
63.9%Total Return
1.64xWealth Ratio
7.2 yrsDoubling Period
📅 Year-wise Breakdown
| Year | Opening Balance | Interest Earned | Closing Balance | Growth |
|---|---|---|---|---|
| 1 | ₹1,00,000 | ₹10,381 | ₹1,10,381 | |
| 2 | ₹1,10,381 | ₹11,459 | ₹1,21,840 | |
| 3 | ₹1,21,840 | ₹12,649 | ₹1,34,489 | |
| 4 | ₹1,34,489 | ₹13,962 | ₹1,48,451 | |
| 5 | ₹1,48,451 | ₹15,411 | ₹1,63,862 |
How to Use This Compound Interest Calculator
Enter your Principal, Annual Interest Rate, Time Period, and select Compounding Frequency. Click Calculate to instantly see maturity value, year-wise growth table, and interactive chart — no login required. Switch tabs for contributions, goal planning, and frequency comparison.
Compound Interest Formula Explained
A = P × (1 + r/n)nt — where P = Principal, r = rate (decimal), n = compounding freq/year, t = years. Example: ₹1,00,000 at 10% quarterly for 5 years: A = 1,00,000 × (1.025)20 = ₹1,63,862. Simple interest gives only ₹1,50,000 — CI gives ₹13,862 more!
Real-Life Compound Interest Examples India 2025
🏦 SBI FD (7.1%): ₹10L for 5 years → ₹14.13L maturity (quarterly compounding). 📮 PPF (7.1%): ₹1.5L/year for 15 years → ₹40.68L (tax-free). 📈 Nifty 50 SIP: ₹5,000/month at 12% for 20 years → ₹49.96L (invested ₹12L). 🎓 Child Education: ₹2L today at 12% for 18 years → ₹19.46L for college.
Compound Interest vs Simple Interest
For ₹5,00,000 at 8% for 10 years — Simple Interest: ₹9,00,000. Compound Interest (Quarterly): ₹11,10,537 — ₹2,10,537 more! The power of compounding grows exponentially. At 20 years, the difference triples. Start investing early — even 5 extra years can add lakhs to your corpus.
Frequently Asked Questions
What is EMI and how is it calculated?
EMI (Equated Monthly Instalment) is a fixed monthly payment covering principal + interest. Formula: EMI = P × r × (1+r)ⁿ / ((1+r)ⁿ−1), where P = loan amount, r = monthly interest rate (annual rate ÷ 12 ÷ 100), n = tenure in months.
How does EMI change with tenure?
Longer tenure → lower EMI but higher total interest. Example: ₹30L at 9% — 10 years: EMI ₹38,003, total interest ₹15.6L. 20 years: EMI ₹26,992, total interest ₹34.78L. Always balance affordability vs total cost.
Does prepayment reduce EMI or tenure?
Most banks offer both options. Reducing tenure saves more interest (prepayment goes 100% to principal). Reducing EMI improves monthly cash flow. For maximum savings, choose tenure reduction.
What is the EMI to salary rule for home loans?
Banks typically allow EMI up to 40–50% of gross monthly income (FOIR). For ₹1L salary, max EMI ≈ ₹40,000–₹50,000, meaning max home loan ≈ ₹45–55L at 8.5% for 20 years.
Related Blog Articles
You might also like
Related Tools
Popular
EMI Calculator
Loan EMI with pie chart, amortization & total interest breakdown.
Popular
SIP Calculator
SIP returns with year-wise growth chart projection.
GST Calculator
GST inclusive/exclusive with CGST, SGST & IGST breakdown.
Compound Interest Calculator
CI with quarterly/monthly/yearly compounding + year-by-year table.
FD Calculator
Fixed Deposit maturity amount — simple & compound interest.
Explore Other Tools
💻 Dev
JSON Formatter
Format, validate & minify JSON with syntax highlighting.
🎨 Media
Meme Generator
24 templates, drag text layers, emoji stickers, custom fonts, stroke, shadow, undo/redo. No watermark, free forever.
🌾 Farming
Milk Production Income
Amul/Dudhsagar/SUMUL/BANAS dairy rates. Fat bonus, SNF. Daily/monthly/annual income. Feed cost, break-even litres, 12-month seasonal projection, dairy comparison.