Fixed Deposit (FD) Calculator
Estimate the maturity amount of your one-time Fixed Deposit. Enter your investment amount, interest rate & tenure to calculate your guaranteed returns.
Assumes standard quarterly compounding.
Maturity Amount
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Total Investment
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Total Returns
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Growth
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Break-up of Maturity Amount
Total Invested
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Total Returns
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Understanding FD & RD Investments
Fixed Deposits (FD) and Recurring Deposits (RD) are among the safest and most popular guaranteed-return investment options offered by banks and post offices. They provide financial security and assured returns irrespective of market fluctuations. Use the toggle above to switch between FD and RD modes to plan your investments.
Fixed Deposit (FD)
A Fixed Deposit involves investing a lumpsum amount for a predetermined tenure at a fixed rate of interest. It's ideal for setting aside a corpus that you don't need immediately.
- Guaranteed Returns: The interest rate remains locked throughout the tenure.
- Quarterly Compounding: Banks generally calculate compound interest on a quarterly basis, resulting in a slightly higher effective annual yield.
- High Liquidity: Most FDs allow premature withdrawal, though maybe subject to a small penalty.
Recurring Deposit (RD)
A Recurring Deposit is similar to a SIP but for guaranteed deposits. You deposit a fixed amount every month for a specific tenure, earning interest at FD rates.
- Inculcates Saving Habit: Regular monthly deposits make it easier for salaried individuals to build a corpus.
- Compounding Effect: As with FDs, the interest on an RD compounds quarterly. Every deposit earns interest until the maturity date.
- No Market Risk: Like an FD, an RD guarantees your capital and the predetermined interest.
Calculation Formulas
FD Formula
- A = Maturity Amount
- P = Principal amount
- r = Annual interest rate / 100
- n = Compounding frequency (4 for quarterly)
- t = Time in years
RD Formula
- M = Maturity Amount
- P = Monthly Installment
- r = Annual interest rate / 100
- quarters = Remaining quarters for each installment
Frequently Asked Questions (FAQ)
What is an FD calculator?
An FD (Fixed Deposit) calculator helps you determine the maturity amount and interest earned on your lumpsum investment over a specified tenure. It accounts for compounding frequency (typically quarterly) to give an accurate projection of your assured returns.
What is an RD calculator?
An RD (Recurring Deposit) calculator computes the final maturity value of your systematic monthly deposits. Since each month's deposit earns interest for a different duration, the calculator automates the complex quarterly compounding math for you.
Is FD better than RD?
It depends on your current cash flow. If you have a lumpsum amount (e.g., bonus or sale of an asset), an FD allows the entire amount to compound from day one. If you want to save from your monthly income, an RD is the ideal tool to systematically build a corpus.
How is the interest compounded?
Most banks and financial institutions in India compound interest on FDs and RDs on a quarterly basis. Our calculator assumes standard quarterly compounding to give you realistic bank-like maturity estimates.
Is this calculator free to use?
Yes, the ZeroKhata FD & RD calculator is completely free. No account, sign-up, or login is required. You can try multiple scenarios instantly.
Are FD and RD returns taxable?
Yes, the interest earned on both FDs and RDs is fully taxable according to your income tax slab. Banks may also deduct TDS (Tax Deducted at Source) at 10% if the interest exceeds ₹40,000 in a financial year (₹50,000 for senior citizens). You can submit Form 15G/15H if your total income is below the taxable limit.