Being associated with bank for short-term, I often get this question from friends and relatives.

How to calculate E
they will just tell you the EMI, but does not tell you how they are calculated unless you ask them specifically to sh
table is also called as amortization table, which shows the balance at each installment.

EMI or equated monthly installments is the most popular form of loan payment. It is a fixed amount of repaymen
the loan, which includes payment towards both principal and interest.

It is easy to prepare an EMI table in Excel sheet. There is a financial function calledPMTto calculat
PMT(rate,nper,pv)
rate Interest rate for the loan.
nper Total number of payments for the loan.
pv Present value/principal.
Prepare excel sheet with the following data and enter the PMT function in the cell C7.

Rate = C6/C5, which divides rate of interest by number of months thus giving rate of interest per month.
Nper = C4*C5, which gives total number of months we need to pay equated installment.
Do not forget to take the loan amount in minus value, so that our EMI table shows positive values.

Now prepare table with Serial Number of Payment, Monthly Installment, Interest Amount, Principal

Thats all! We made our own EMI calculator in Excel. This Excel EMI calculator is created for a tenure of 20 yea
for 5 years, i.e., 60 months, 61st month shows values red colored and in minus range. So you need to take up t
Ignore the values in RED. If you want to calculate for more years, then just select the last row and drag it to exte
Download the Simple Excel EMI Calculator.
Download the Excel EMI Calculator with Ad Hoc Payments.
Download the Excel EMI Calculator with Multiple Reimbursements.
Download the Excel EMI Calculator with All the Three Sheets.

Update Oct 16, 2009: Mr. Parixit Namdhar, one of my blog readers, suggested that instead of entering the fo
entering =IF($B11>($C$4*$C$5),0,$C$7) solves the minus values problem. This formula makes the minus val
understandable and looks neat. Thanks a lot Parixit!

Update April 22, 2012: Mr. Ravi Krishna, one of my blog readers, updated the Excel sheet with ad hoc payme
reimbursements, which a lot of readers were asking. Thank you very much Krishna!

RECURRING DEPOSIT

=FV(Rate,Nper,Pmt,Pv,Type)

[FV stands for Future Value]

where
Rate = Modified Rate of interest (I will come to "modified" later)
Nper = No. of deposits to be made (i.e. 36 in this example)
Pmt = Amount deposited every month (i.e. Rs.500 in this example)
Pv = Put this as 0 (PV stands for Present Value which is Zero)
Type = Put this as 1 as the deposit is made at the beginning of the month
=FV(8.687%/12,36,500,0,1) [Note: Rate is divided by 12 as we are making monthly deposits]
=Rs.20,627.38

The5 TVMfunctions (RATE, NPER, PMT, FV, and PV) in spreadsheet programs (Excel, OpenOffice Calc, LibreOffice Calc,
financial calculators (TI BA II plus, HP 10bII plus, Casio Fc 100) are programmed using one of the following two time value
PV (1+RATE)^NPER + PMT * (1+RATE * type) [ { (1+RATE)^NPER } - 1 ] / RATE + FV = 0
OR
FV (1+RATE)^-NPER + PMT * (1+RATE * type) [ 1 - { (1+RATE)^-NPER } ] / RATE + PV = 0

The first one of these two equations is defined as sum of compounded initial investment, compounded periodic payment
terminal value.

The second one of these two equations is defined as sum of discounted terminal investment, discounted periodic paymen
investment.
We can define the five functions from these two equations to solve for the 5 different TVM variables
f(RATE)
f(NPER)
f(PMT)
f(PV)
f(FV)

All these functions can be solved for to find NPER, PMT, PV and FVyet we are unable to solve for f(RATE). As it is eviden
variable for RATE is not separable from the other four variables in the time value of money equations.

This leads us to make use of iterative methods in locating the interest rate at which the functionf(RATE) yields a value
methods here is beyond the scope of this discussion and one can find many examples on the web for various numerical m
the RATE.

Now as we are setting the sum to zero in each of the two TVM equations, this requires that at least one of the three valu
negative and at least one of these three value must be positive. Without this enforcement the 2 two time value of mone
desired results for the PMT, PV and FV.

Thus we are asked to make use of conventions from accounting when it comes to financial transactions that any money a
should be used with anegation. And any money amount beingpaid in(CREDIT) should be used aspositive.

So if you have an initial investment where you invested $100,000 that means an outgoing cash flow for PV should therefo
date the incoming amount for FV will be positive.

But then those who program these spreadsheet programs (Excel, OO Calc, LO Calc, Symphony Calc, and Gnumeric), and t
plus, HP 10bII plus, Casio Fc 100) simply take other peoples ideas without much thought as to what is it they are program
trivial TVM equations. Not many people tend to think on their own as someone in a New York newspaper once wrote "Thin
not bother putting pressure on own nerves.

What I am getting at is that time value of money is much more complex than the obvious that has been programmed into
pocket calculators. For examples, annuity payments (PMT) may not be in constant amount and it may grow or shrink by a
decrease by a constant amount. To make thing a bit more interesting, the annuity payments may never end and go on fo
may not coincide with periodic payment and there are gaps between payments and growth. Or the payments may not co
deferred into the future.

So you can either accept what is spoon fed to you or you can leave the nest at age 18 and start to think on your own. I ha
bother to offer me a job since 1993 as I am a college drop out thanks largely to those who run the State of New York (Vam

Link : http://www.naveen.info/how-to-calculate-

Years
Payment per year
No of deposits made
posited every month
Present value
Type
Nominal Rate
iod per year (npery)
ive Annualised Rate
onthly compounding

3
12
36
500
0
1
8.750%
4
9.041%
8.687%
-20,627.38

w-to-calculate-emi-download-excel-emi-calculator/291/

or/291/

INPUT
Fuel type
Petrol
Diesel

75 / litre
60 / litre

Mileage
Petrol
Diesel

15 km/litre
20 km/litre

Example
Honda City
Petrol
Diesel

VX
1,385,000
1,527,952

E
988,506
1,138,853

Price difference

142,952

150,347

Usage
Office
Weekend
Monthly Trip

0 KM/day
0 KM/week
1000 KM

0 KM/day
0 KM/week
1000 KM

1000 KM/Month

1000 KM/Month

5,000/Month
3,000/Month

5,000/Month
3,000/Month

71 Months

75 Months

6.0 Years

6.3 Years

142,952
3 years
12 nos
9.50%
4,579
164850

150,347
3 years
12 nos
9.50%
4,816
173378

82 Months
6.9 Years

87 Months
7.2 Years

Trendline
661,697
836,654

Comfortline
736,990
949,290

Total KM in a month
Total cost per month
Petrol
Diesel
Time to Recover
FULL DOWNPAYMENT

Loan amount
Loan Term (Years)
Payments Per Year
Rate of Interest
Monthly Installment
Total Paid
Time to Recover
LOAN AMOUNT
Example
VW Polo
Petrol
Diesel

Price difference
Usage
Office
Weekend
Monthly Trip
Total KM in a month
Total cost per month
Petrol
Diesel

174,957

212,300

50 KM/day
100 KM/week
1000 KM
2500 KM/Month

50 KM/day
100 KM/week
1000 KM
2500 KM/Month

12,500/Month
7,500/Month

12,500/Month
7,500/Month

35 Months
2.9 Years

42 Months
3.5 Years

174,957
3 years
12 nos
9.50%
5,604
201758

212,300
3 years
12 nos
9.50%
6,801
244821

40 Months
3.4 Years

49 Months
4.1 Years

Time to Recover
FULL DOWNPAYMENT
Loan amount
Loan Term (Years)
Payments Per Year
Rate of Interest
Monthly Installment
Total Paid
Time to Recover
LOAN AMOUNT

S
1,072,328
1,262,738

SV
1,136,078
1,318,180

V
1,184,010
1,403,117

190,410

182,102

219,107

0 KM/day
0 KM/week
1000 KM

0 KM/day
0 KM/week
1000 KM

0 KM/day
0 KM/week
1000 KM

1000 KM/Month

1000 KM/Month

1000 KM/Month

5,000/Month
3,000/Month

5,000/Month
3,000/Month

5,000/Month
3,000/Month

95 Months

91 Months

110 Months

7.9 Years

7.6 Years

9.1 Years

190,410
3 years
12 nos
9.50%
6,099
219578

182,102
3 years
12 nos
9.50%
5,833
209998

219,107
3 years
12 nos
9.50%
7,019
252671

110 Months
9.1 Years

105 Months
8.7 Years

126 Months
10.5 Years

Highline
849,505
1,030,403

GT
1,097,815
1,111,272

984,010

 180,898

13,457

50 KM/day
100 KM/week
1000 KM
2500 KM/Month

50 KM/day
100 KM/week
1000 KM
2500 KM/Month

12,500/Month
7,500/Month

12,500/Month
7,500/Month

36 Months
3.0 Years

3 Months
0.2 Years

180,898
3 years
12 nos
9.50%
5,795
208609

13,457
3 years
12 nos
9.50%
431
15518

42 Months
3.5 Years

3 Months
0.3 Years

Input
Loan amount

300,000

Loan Term (Years)

3 years

Payments Per Year

12 nos

Rate of Interest (Banks)

12.00%

Monthly Installment

9,964

S.No

Total Interest Paid

Monthly Installment
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33

9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964
9964

Interest
3000
2930
2860
2789
2717
2645
2572
2498
2423
2348
2271
2194
2117
2038
1959
1879
1798
1716
1634
1551
1467
1382
1296
1209
1121
1033
944
854
762
670
577
484
389

34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81

9964
9964
9964
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

293
196
99
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
209
210
211
212
213
214
215
216
217
218
219
220
221
222
223
224
225

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
262
263
264
265
266
267
268
269
270
271
272
273

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

274
275
276
277
278
279
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

Total Paid

Total Interest Paid

Principal
6964
7034
7104
7175
7247
7320
7393
7467
7541
7617
7693
7770
7848
7926
8005
8085
8166
8248
8330
8414
8498
8583
8669
8755
8843
8931
9021
9111
9202
9294
9387
9481
9575

358,715

58,715

Balance
300000
293036
286002
278897
271722
264475
257156
249763
242296
234755
227138
219445
211675
203828
195902
187897
179811
171645
163397
155067
146653
138155
129573
120904
112149
103306
94375
85354
76244
67042
57748
48361
38880
29305

9671
9768
9866
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

19634
9866
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

HAND LOAN
Interest

18%

- 103,285

- 2,869/Month

HAND LOAN
Interest amount

162,000

- 103,285
- 2,869/Month

ONLY
INTEREST

Loss

Recurring Deposit
No of Years
Payment per year
No of deposits made (nper)
Amount deposited every month (pmt)
Present value (pv)
Type
Nominal Rate
Compounding period per year (npery)
Effective Annualised Rate
Rate for monthly compounding
Total amount Invested

Final Value

Details
7
12
84
23980
336127
1
7.500%
4
7.714%
7.454%
2014320

3,215,807
32.16