FD Calculator – Fixed Deposit Maturity & Interest Calculator
Calculate fixed deposit maturity value and interest earned for any compounding frequency.
FD Calculator
What is an FD calculator?
A fixed deposit (FD) is one of the most popular savings products in India. You deposit a lump sum with a bank, small finance bank or NBFC for a fixed tenure at a fixed interest rate. Our FD calculator tells you the maturity value and the total interest you will earn, so you can compare banks, tenures and compounding options before you book a deposit.
FD maturity formula
Indian banks usually compound FD interest quarterly for cumulative deposits. The formula is:
A = P × (1 + r / m)^m × t
- A – maturity amount
- P – principal deposited
- r – annual interest rate (as a decimal)
- m – compounding periods per year (4 for quarterly, 12 monthly, 2 half-yearly, 1 yearly)
- t – tenure in years
Example: ₹1,00,000 for 5 years at 7% compounded quarterly gives A = 1,00,000 × (1.0175)^20 = ₹1,41,477.82, so the interest earned is ₹41,477.82.
How to use the FD calculator
- Enter the deposit amount.
- Enter the interest rate offered by your bank. Senior citizens usually get 0.25–0.50% extra.
- Choose the tenure in years (quarters are allowed, e.g. 2.25 years).
- Select the compounding frequency – quarterly is the default for most banks.
Example: ₹1 lakh FD for 5 years
The table compares the maturity of a ₹1,00,000 five-year FD at different rates, all compounded quarterly. The last column shows the effective annual yield, which is slightly higher than the quoted rate because of compounding.
| Interest rate | Maturity value | Interest earned | Effective yield |
|---|---|---|---|
| 6% | ₹1,34,686 | ₹34,686 | 6.14% |
| 6.5% | ₹1,38,042 | ₹38,042 | 6.66% |
| 7% | ₹1,41,478 | ₹41,478 | 7.19% |
| 7.5% | ₹1,44,995 | ₹44,995 | 7.71% |
| 8% | ₹1,48,595 | ₹48,595 | 8.24% |
Cumulative vs non-cumulative FD
In a cumulative FD, interest is reinvested and paid at maturity – this is what the calculator shows. In a non-cumulative FD, interest is paid out monthly, quarterly or yearly, so there is no compounding and the total interest is lower. Choose non-cumulative only if you need regular income.
Tax on FD interest
- FD interest is added to your income and taxed at your slab rate.
- Banks deduct TDS at 10% if interest exceeds ₹50,000 a year (₹1,00,000 for senior citizens). Submit Form 15G/15H if your income is below the taxable limit.
- A 5-year tax-saver FD qualifies for deduction under Section 80C in the old tax regime, but cannot be broken early.
Tips to earn more from FDs
Ladder your deposits across several tenures so that some money matures every year, compare small finance bank rates (deposits are insured up to ₹5 lakh per bank by DICGC), and lock in longer tenures when rates are high. If you are saving every month rather than investing a lump sum, try our RD calculator; for market-linked growth, compare with the SIP calculator. Planning a purchase on credit instead? Check the personal loan EMI calculator.
Using the FD calculator to compare offers
Two banks quoting the same rate may still pay slightly different amounts if they compound at different frequencies. Switch the compounding option to see the effect: monthly compounding pays a little more than quarterly, and quarterly pays more than yearly. When rates differ, compare the effective annual yield shown under the result rather than the headline rate. For senior citizens, add the extra rate offered to see the higher maturity value, and remember that interest above the TDS threshold will be reported in your Form 26AS and AIS. Always check the minimum deposit, premature withdrawal rules and auto-renewal terms before booking.
Frequently asked questions
Which compounding frequency do banks use for FDs?
Most Indian banks compound cumulative FD interest quarterly. Some NBFCs and corporate FDs compound yearly or monthly. Select the option your institution uses.
Is the maturity amount shown before or after tax?
The calculator shows the pre-tax maturity value. Interest is taxable at your income slab, and TDS may be deducted by the bank.
What happens if I break my FD early?
Banks usually pay the rate applicable for the period the deposit actually ran, minus a penalty of 0.5–1%. Your actual return will be lower than the calculator shows.
Are fixed deposits safe?
Deposits in scheduled banks are insured by DICGC up to ₹5 lakh per depositor per bank, covering principal and interest. Corporate FDs are not covered, so check their credit rating.