Category

Debt & EMIs

What's already committed before you spend a rupee. EMIs, home loans, and the arithmetic of borrowing against a salary you have not yet earned.

An EMI is the one financial decision that is genuinely hard to reverse. Once it is signed, a fixed share of every future salary is spoken for before any of it reaches a savings goal — and because each individual EMI is affordable in isolation, they stack until the total is not.

These posts work the arithmetic that decides those calls: what share of take-home pay is already committed, what a loan actually costs once interest is counted against what the same money could have earned invested, and whether buying a flat beats renting one over twenty years. The numbers are run on Indian salaries, Indian interest rates and Indian tax treatment, because the answers change materially when they are not.

3 posts

Five years of EMIs, and 88% of the loan is still there

On a 20-year home loan, five years of EMIs clears just 11.9% of the principal. The arithmetic behind it, and the one instruction that changes it.

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Your dad bought his flat at 18x his salary. You're being sold the same one at 72x.

Everyone assumes buying beats renting. Run the 20-year numbers on a ₹1 crore flat and see what renting and investing the difference actually does.

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You're not middle class. You're EMI class.

40% of smartphones, two in three premium phones, and roughly 80% of cars in India are bought on EMI. Here's what that's actually costing you every month.

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Your SIP earns 11.7%. Your EMI charges 16%. Do the math.

Your SIP is up 11.7% this year. Your phone EMI charges 16%. Here's the comparison almost nobody runs — and the 7% rule that settles it.

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These posts support Automatic expense tracking in India — start there for the full picture.