Can I Afford This? Calculator
Decision Tool100% Free & AuthoritativeEvaluate whether you can safely afford a big-ticket purchase (laptop, phone, car, holiday) without draining your emergency savings or over-leveraging with EMI debt.
Enter Values
Net cash credited to your bank account every month.
Rent, groceries, bills, dining, subscriptions.
Home loan, bike EMI, personal loan already being paid.
Savings account, emergency funds, liquid FDs.
Cost of the phone, laptop, vehicle, or product.
0% for No-Cost EMI, or 13%–16% for credit card EMI.
Verdict: Safe & Affordable. For a ₹1,20,000 purchase, your monthly free cash after all expenses and EMIs becomes ₹21,667. Your debt-to-income ratio reaches 24.4%.
Monthly Income Allocation After Purchase
Understanding Your Result
Healthy Financial Profile: • Comfortable remaining cash flow of ₹21,667 every month. • Total EMI commitment is only 24.4% of income (well within healthy 40% guideline). • Liquid emergency runway retains 3.7 months of living expenses.
Assumptions Applied
- Monthly take-home income remains uninterrupted during the tenure.
- No emergency medical expenses or unexpected unplanned costs arise.
- Debt-to-Income (DTI) benchmark is standard conservative banking 40%.
Important Caveats
- No-cost EMIs often involve processing fees (₹199 - ₹499) and 18% GST on the discount value charged by credit card issuers.
Frequently Asked Questions
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