An EMI (Equated Monthly Installment) calculator is a financial tool used to compute the monthly payment amount (EMI) that you need to make towards a loan. This tool is especially useful for individuals and businesses to plan their finances when taking out loans for various purposes such as buying a home, car, or funding business operations.

How to Use an EMI Calculator

1. Enter Loan Amount (Principal):

   • The principal is the total amount of the loan you intend to take.

   • For example, if you are borrowing ₹1,000,000, enter this amount in the principal field.

2. Enter Annual Interest Rate:

   • This is the interest rate charged by the lender on the loan amount annually.

   • For example, if the annual interest rate is 7.5%, enter 7.5 in the interest rate field.

3. Enter Loan Tenure:

   • The tenure is the period over which you will repay the loan, typically in years.

   • For instance, if you plan to repay the loan over 15 years, enter 15 in the tenure field.

4. Calculate:

   • Once you have entered the required information, click on the "Calculate EMI" button.

   • The calculator will compute the monthly EMI, total interest payable, and total payment (principal + interest).

5. Review Results:

   • The EMI amount shows how much you need to pay monthly.

   • The total interest payable shows the total interest you will pay over the loan tenure.

   • The total payment is the sum of the principal and the total interest.

6. Pie Chart Visualization:

   • The pie chart visually represents the proportion of the principal amount and the total interest.

   • This helps in understanding the distribution of your payments over the loan period.