EMD Calculator

Frequently Asked Questions

What is EMD in tender?

EMD (Earnest Money Deposit) is a refundable security deposit that bidders submit with government tenders to show serious intent. It is typically 1–10% of the tender value.

How is EMD calculated?

EMD = Tender Estimated Value × EMD Percentage. The EMD percentage is stated in the tender document.

What is the EMD percentage for tenders up to 10 lakh?

For tenders up to ₹10 lakh, EMD is typically 2–3% of the tender value. The exact percentage is specified in each tender document.

What is the EMD percentage for tenders above 1 crore?

For tenders above ₹1 crore, EMD is typically 0.5–1% of the tender value. Check the NIT for the exact percentage.

Are MSMEs exempt from EMD?

Udyam-registered Micro and Small Enterprises may be exempt from EMD under GFR Rule 170. Check each tender document for eligibility.

What happens if EMD is not submitted?

Bids without valid EMD are generally rejected. EMD must be submitted before or at the time of bid opening as per tender instructions.

How long is EMD validity?

EMD validity is usually tender validity period plus 45 days. Some tenders require validity until contract signing.

When is EMD refunded?

EMD is refunded to unsuccessful bidders, typically within 30 days of bid opening. The winning bidder's EMD may be retained as security deposit.

Can EMD be submitted as Bank Guarantee?

Yes. EMD can be submitted as Bank Guarantee, Demand Draft, FDR, or e-Payment as specified in the tender document.

What is the difference between EMD and Security Deposit?

EMD is submitted before contract award to show intent. Security Deposit (SD) is furnished after award and held during contract execution.