What is an FD & RD Calculator?
A Fixed Deposit (FD) is a one-time deposit that earns a fixed interest rate for a fixed term. A Recurring Deposit (RD) lets you deposit a fixed amount every month for a fixed term.
This calculator estimates the maturity value and interest earned, with a choice of how often FD interest compounds.
How it helps you
- Know your maturity amount before you book a deposit.
- Compare monthly, quarterly, half-yearly and yearly compounding for FDs.
- See the effective yearly rate after compounding.
How it is calculated
FD: A = P × (1 + r ÷ k)^(k × t); RD: A = Σ R × (1 + r ÷ 4)^(4 × months left ÷ 12)
- P
- FD amount
- R
- RD monthly instalment
- r
- Yearly interest rate ÷ 100
- k
- Times interest compounds in a year (12, 4, 2 or 1)
- t
- Tenure in years
An FD of ₹5,00,000 for 5 years at 7%, compounded quarterly; and an RD of ₹10,000 a month for 5 years at 7%.
- 1FD: A = 5,00,000 × (1 + 0.07 ÷ 4)²⁰ ≈ ₹7,07,389 (effective rate ≈ 7.19%)
- 2RD: 60 deposits of ₹10,000 = ₹6,00,000
FD maturity ≈ ₹7,07,389; RD maturity ≈ ₹7,19,328 (before tax).
How to use the FD & RD Calculator
- 1Choose Fixed deposit or Recurring deposit.
- 2Enter the amount, interest rate and tenure.
- 3For an FD, choose how often interest compounds.
- 4Read the amount deposited, interest earned and maturity value.
Frequently asked questions
Is FD interest taxable?
Yes, interest is added to your income and taxed at your slab rate. Banks may deduct TDS if interest crosses the threshold for the year.
Are bank deposits insured?
Deposits in insured banks are covered by DICGC up to ₹5 lakh per depositor per bank, including interest.
What is the effective yearly rate?
It is the actual yearly return after compounding. With quarterly compounding, 7% a year works out to about 7.19%.
Can I break an FD early?
Usually yes, but banks may pay a lower rate or charge a penalty for premature withdrawal.