# Edu loan EMI calculation

Use [spreadsheet ↗](https://docs.google.com/spreadsheets/d/1-v7W6HK6-v1m910x_wTLH9a808IMzIjf2S6UcdXtPHo/edit?usp=sharing) to quickly calculate.

### Hand calculation

$$
EMI = \frac{\[P \* R  \* (1+R)^n]} { \[(1+R)^ n-1]}
$$

| Symbol | Description                    | Comment                                                                        |
| ------ | ------------------------------ | ------------------------------------------------------------------------------ |
| P      | Principal loan amount          | Amount you have received from the bank                                         |
| R      | Rate of interest               | <ul><li>9.0% per annum, generally.</li><li>9.0/12 = 0.75% per month.</li></ul> |
| n      | Number of monthly installments | For 2 years, 2 \* 12 = 24                                                      |

{% tabs %}
{% tab title="in Indian Rupees" %}
P = 3,00,000 INR

R = 9.0% per annum = 0.75% per month = 0.75/100 points = 0.0075

n = 24 (say, 2 years)

EMI = $$\frac{\[300000 \* 0.0075 \* (1 + 0.0075)^{24}]}{\[(1+0.0075)^{24} - 1]}$$ = 13,705 INR (approx.)
{% endtab %}

{% tab title="in US Dollars" %}
P = 3,00,000 USD

R = 9.0% per annum = 0.75% per month = 0.75/100 points = 0.0075

n = 24 (say, 2 years)

EMI = $$\frac{\[300000 \* 0.0075 \* (1 + 0.0075)^{24}]}{\[(1+0.0075)^{24} - 1]}$$ = 13,705 USD (approx.)
{% endtab %}
{% endtabs %}

### Using spreadsheet

Update Blue cells in the [spreadsheet ↗](https://docs.google.com/spreadsheets/d/1-v7W6HK6-v1m910x_wTLH9a808IMzIjf2S6UcdXtPHo/edit?usp=sharing) as shown.

![EMI is in the green box.](https://3526924997-files.gitbook.io/~/files/v0/b/gitbook-legacy-files/o/assets%2F-MIgCXXRd_zYwMrU-RaQ%2F-MUx3xSyGdTg9APkDrxG%2F-MUx7REVFepCmAJD_E2f%2Fimage.png?alt=media\&token=4362d486-6641-4ef2-a093-7a2d8f244c9b)