FD Calculator – Fixed Deposit Interest & Maturity

FD Calculator – Fixed Deposit Maturity & Interest Calculator

This free FD calculator tells you the maturity amount and interest earned on a fixed deposit in seconds. Enter the deposit amount, the interest rate offered by your bank or post office and the tenure in years, months and days. The calculator uses the same quarterly compounding method that SBI, HDFC Bank, ICICI Bank, Axis Bank and most Indian banks follow, and also handles monthly, half-yearly and yearly compounding as well as non-cumulative FDs that pay interest every month or quarter.

Along with the maturity value you get the effective annual yield, the maturity date, a year-wise growth table and a TDS check that tells you whether the bank will deduct tax at source under the current limits of ₹50,000 (₹1,00,000 for senior citizens) per year.

How to Use the FD Calculator

1. Enter the deposit amount – the principal you want to invest, for example ₹1,00,000.
2. Enter the interest rate – check the latest card rate of your bank for the chosen tenure; senior citizens usually get 0.25% to 0.75% extra.
3. Enter the tenure in years, months and days – banks offer FDs from 7 days to 10 years.
4. Choose the FD type – cumulative (interest added to the deposit) or non-cumulative (interest paid out monthly or quarterly).
5. Tick "senior citizen" if you are 60 or older so the correct TDS limit is used.
6. Tap "Calculate Maturity" to see the maturity amount, total interest, yield, maturity date and year-wise table.

FD Maturity Formula

For a cumulative FD the maturity amount is calculated with the compound interest formula:

A = P × (1 + r / n)^{n × t}

• A = maturity amount
• P = principal (deposit amount)
• r = annual interest rate in decimal (7% = 0.07)
• n = number of compounding periods per year (4 for quarterly)
• t = tenure in years

Banks compound interest only for complete quarters. For the remaining days they add simple interest on the compounded amount, and for deposits shorter than three months they pay simple interest. The calculator follows this practice, so the result matches your bank's FD receipt closely.

FD Calculation Example

You invest ₹1,00,000 for 5 years at 7% per year, compounded quarterly. The deposit grows for 20 quarters at 1.75% per quarter: ₹1,00,000 × (1.0175)²⁰ = ₹1,41,478. You earn ₹41,478 as interest, which is an effective annual yield of 7.19%. If you chose monthly payouts instead, you would receive about ₹580 every month and get your ₹1,00,000 back at maturity.

Deposit ₹1,00,000 at 7% (quarterly)	Maturity amount	Interest earned
1 year	₹1,07,186	₹7,186
2 years	₹1,14,888	₹14,888
3 years	₹1,23,144	₹23,144
5 years	₹1,41,478	₹41,478
10 years	₹2,00,160	₹1,00,160

FD Maturity Value at Different Interest Rates

Maturity value of a ₹1,00,000 deposit with quarterly compounding:

Interest rate	1 year	3 years	5 years
6.0%	₹1,06,136	₹1,19,562	₹1,34,686
6.5%	₹1,06,660	₹1,21,341	₹1,38,042
7.0%	₹1,07,186	₹1,23,144	₹1,41,478
7.5%	₹1,07,714	₹1,24,972	₹1,44,995
8.0%	₹1,08,243	₹1,26,824	₹1,48,595

Cumulative vs Non-Cumulative FD

	Cumulative FD	Non-cumulative FD
Interest	Added to the deposit and compounded	Paid out monthly, quarterly or yearly
Maturity amount	Principal + compounded interest	Principal only
Best for	Wealth building, goals like education or marriage	Regular income – retirees, pensioners
Returns	Higher, due to compounding	Slightly lower effective return

For monthly payout FDs, banks pay a slightly discounted monthly rate so that the total is equivalent to quarterly compounding. The calculator uses this discounted method.

Monthly Interest on FD – Quick Table

Interest paid by a non-cumulative FD at 7% per year (monthly payout uses the discounted rate):

Deposit	Monthly payout	Quarterly payout
₹1,00,000	₹580	₹1,750
₹2,00,000	₹1,160	₹3,500
₹5,00,000	₹2,900	₹8,750
₹10,00,000	₹5,800	₹17,500
₹25,00,000	₹14,499	₹43,750

Retirees often combine a monthly-payout FD with a Senior Citizens' Savings Scheme account to create a regular pension-like income.

TDS on FD Interest (FY 2025-26 onwards)

• Banks deduct 10% TDS when the total FD and RD interest from one bank in a financial year exceeds ₹50,000 (₹1,00,000 for senior citizens). These limits were raised in Budget 2025.
• If PAN is not linked, TDS is deducted at 20%.
• If your total income is below the taxable limit, submit Form 15G (below 60) or Form 15H (senior citizens) to the bank to avoid TDS.
• TDS is not the final tax. FD interest is fully taxable at your slab rate under "Income from Other Sources", and you can claim credit for TDS in your ITR.
• Senior citizens can claim a deduction of up to ₹50,000 on interest under Section 80TTB in the old regime.

Real Return After Tax

Because FD interest is taxed at your slab rate, the return you actually keep is lower than the rate printed on the receipt. On a 7% FD, the post-tax return (including 4% cess) is about 6.64% in the 5% slab, 5.54% in the 20% slab and 4.82% in the 30% slab. Compare this with tax-free options like PPF (7.1%) before locking money in long-term FDs, and remember that with inflation around 4–5%, the real gain on an FD in the higher slabs is small.

Senior Citizen FD

Most banks pay senior citizens (60 years and above) an additional 0.25% to 0.75% on FDs, and some offer special schemes with even higher rates for select tenures. Senior citizens also get a higher TDS limit of ₹1,00,000 per bank per year, can submit Form 15H if their tax liability is nil, and can claim up to ₹50,000 of interest as a deduction under Section 80TTB in the old tax regime. Enter the senior citizen rate of your bank and tick the senior citizen box in the calculator to see the exact maturity value and TDS position.

Types of Fixed Deposits

• Regular FD: tenure from 7 days to 10 years, with cumulative or payout options.
• Tax-saving FD: 5-year lock-in with Section 80C benefit in the old regime.
• Senior citizen FD: higher rates for depositors aged 60 and above.
• Flexi or sweep-in FD: linked to a savings account; surplus balance moves into an FD automatically and breaks when you need money.
• NRE / NRO / FCNR FD: deposits for Non-Resident Indians with different tax rules.
• Corporate FD: offered by NBFCs and companies at higher rates, but not covered by DICGC insurance – check the credit rating first.

Tax-Saving FD

A 5-year tax-saving FD qualifies for a deduction of up to ₹1,50,000 under Section 80C in the old tax regime. It has a lock-in of 5 years, no premature withdrawal and no loan facility, and the interest is taxable. Under the new tax regime there is no 80C benefit, so a normal FD may give more flexibility.

How to Get Higher FD Returns

• Compare rates: small finance banks and some private banks offer higher rates than large banks, and deposits up to ₹5 lakh per bank are insured by DICGC.
• Choose cumulative FDs if you do not need regular income – compounding increases returns.
• FD laddering: split your money into FDs of 1, 2, 3, 4 and 5 years. One FD matures every year, giving liquidity and protection against rate changes.
• Use senior citizen rates: open the FD in the name of a parent aged 60+ where appropriate.
• Avoid premature withdrawal: banks usually cut 0.5% to 1% from the rate if you break an FD early.

How to Open an FD Online

1. Log in to your bank's net banking or mobile app.
2. Go to "Deposits" or "Open FD" and choose fixed deposit.
3. Enter the amount, tenure and interest payout option (cumulative or monthly/quarterly).
4. Choose the maturity instruction – credit to savings account or auto-renew.
5. Add a nominee and confirm with OTP. The FD receipt is available instantly.

You need a savings account with the bank, PAN and completed KYC. Senior citizens should make sure their date of birth is updated with the bank so the higher rate is applied.

Premature Withdrawal – Example

Suppose you open a 5-year FD of ₹1,00,000 at 7% and break it after 2 years, when the bank's rate for a 2-year deposit is 6.8% and the penalty is 1%. The bank recalculates interest at 5.8% (6.8% − 1%) for 2 years with quarterly compounding, so you receive about ₹1,12,206 instead of the ₹1,14,888 you would have got at 7% for the same period. Always check the premature withdrawal rules before choosing a long tenure.

FD vs Other Safe Investments

Option	Typical return	Lock-in	Tax on returns
Bank FD	6% – 8% (varies by bank)	7 days – 10 years	Taxable
Post Office Time Deposit	Fixed by government each quarter	1, 2, 3, 5 years	Taxable (5-year eligible for 80C)
PPF	7.1%	15 years	Tax-free
Recurring Deposit	Similar to FD	6 months – 10 years	Taxable

Frequently Asked Questions

Sources: RBI and bank FD interest calculation practice; Income Tax Department – Section 194A TDS limits (Finance Act 2025); DICGC deposit insurance.