How to Use This PMAY Calculator

1. Select Your Income Category

   Choose your annual household income group — EWS (up to ₹3 lakh), LIG (₹3-6 lakh), MIG-I (₹6-12 lakh), or MIG-II (₹12-18 lakh).

2. Enter Home Loan Amount

   Input the total home loan amount sanctioned by your bank. The subsidy is calculated on the eligible loan component as per PMAY guidelines.

3. Set Loan Tenure

   Enter the home loan repayment period in years. PMAY subsidy is calculated for a maximum of 20 years regardless of actual loan tenure.

4. Enter Bank Interest Rate

   Input the annual interest rate charged by your bank on the home loan, such as 8.5% or 9%.

5. Click Calculate PMAY Subsidy

   View your CLSS interest subsidy amount, effective loan after subsidy, EMI comparison, and total savings over the loan tenure.

6. Compare and Plan

   Use the results to compare different loan amounts and tenures to maximize your PMAY benefit.

Key Features

• Accurate CLSS Subsidy Calculation

  Calculates interest subsidy based on official PMAY-CLSS guidelines with correct eligible loan limits for each income category.

• EMI Comparison

  Shows side-by-side comparison of EMI with and without subsidy so you can see the exact monthly savings.

• All Income Groups Supported

  Covers EWS, LIG, MIG-I, and MIG-II categories with accurate subsidy rates, loan caps, and carpet area limits.

• Free and Private

  No registration required. All calculations happen in your browser — your financial data is never stored or sent anywhere.

• Total Savings Projection

  Shows total interest savings over the complete loan tenure, helping you understand the full financial impact of PMAY.

• Category-Wise Information

  Displays relevant PMAY parameters for your selected category including subsidy rate, eligible loan cap, and maximum carpet area.

PMAY-CLSS Subsidy Formula Explained

Under the Credit Linked Subsidy Scheme (CLSS), the government provides an interest subsidy on home loans. The subsidy is calculated using the Net Present Value (NPV) method:

Subsidy = NPV of the interest difference on the eligible loan amount at a 9% discount rate over the eligible tenure

The calculation works in these steps:

• Step 1: Determine the eligible loan amount (capped per category)
• Step 2: Calculate EMI on eligible loan at the subsidy interest rate
• Step 3: Calculate EMI on eligible loan at bank interest rate
• Step 4: Find monthly savings (difference between the two EMIs)
• Step 5: Calculate NPV of monthly savings at 9% discount rate for eligible tenure (max 20 years)

The NPV amount is the subsidy credited upfront to your loan account, reducing the outstanding principal.

PMAY-CLSS Parameters by Category

Practical Examples

What Is Pradhan Mantri Awas Yojana (PMAY)?

Pradhan Mantri Awas Yojana is a flagship housing scheme launched by the Government of India in June 2015 with the vision of "Housing for All." The scheme aims to provide affordable housing to urban and rural poor by 2024, now extended further.

Under PMAY-Urban, the Credit Linked Subsidy Scheme (CLSS) provides interest subsidy on home loans taken by eligible beneficiaries from banks, housing finance companies, and other lending institutions. The subsidy is credited upfront to the loan account, reducing both the outstanding principal and monthly EMI.

The scheme covers four income categories — EWS, LIG, MIG-I, and MIG-II — with different subsidy rates and eligible loan amounts. A key condition is that the beneficiary family should not own a pucca house anywhere in India, and the house must be the first pucca house for the family.

Frequently Asked Questions

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