FD Calculator
Compute a fixed deposit's maturity value at a chosen compounding frequency.
- Principal
- Value
- Principal
- ₹1.00L
- Interest earned
- ₹41.48K
Assumes a constant 7% annual rate, compounded quarterly.
Independent · No commissions · No fund-house data — how the numbers are computed
How it works
A fixed deposit (FD) is a lump sum placed with a bank or NBFC for a fixed tenure at a rate contracted upfront — the rate cannot change mid-term, whatever happens to market rates. Indian banks conventionally compound cumulative FDs quarterly, though payout FDs pay interest out monthly or quarterly instead of compounding it.
This calculator computes a cumulative FD's maturity value and interest earned. The rate defaults to 7% — a representative bank FD rate, fully editable since every bank sets its own — with quarterly compounding preselected as the Indian convention, and the frequency switchable between monthly, quarterly, half-yearly and annual to match your bank's terms.
FD interest is fully taxable at your slab rate, which is what the headline rate hides: at a 30% slab, a 7% FD yields about 4.9% after tax, often below inflation. That gap — safety and certainty against post-tax real return — is the actual decision an FD calculator helps you see.
A = P × (1 + r/n)^(n×t)P is the deposit, r the annual rate as a decimal, n the number of compounding periods per year (4 for the usual quarterly convention), and t the tenure in years. A is the maturity amount; interest earned is A − P.
Frequently asked questions
Is FD interest taxable?
Yes, fully — FD interest is added to your income and taxed at your slab rate. Banks deduct TDS at 10% when interest across a bank crosses the annual threshold (₹50,000 for most depositors and ₹1 lakh for senior citizens from FY 2025-26); if your total income is below the taxable limit, Form 15G/15H stops the deduction. TDS is not the final tax — the balance is settled at filing.
How often is FD interest compounded?
Quarterly, at almost all Indian banks, for cumulative FDs — which is why this calculator preselects quarterly compounding. Payout (non-cumulative) FDs pay the interest out monthly or quarterly instead, so nothing compounds and the maturity value is just the principal. The frequency selector here lets you match whatever your bank's terms actually say.
Can I withdraw an FD before maturity?
Usually yes, for ordinary FDs: the bank pays interest for the period the deposit actually ran, at the rate applicable to that shorter tenure, and typically levies a penalty of around 0.5–1% on that rate. Tax-saver FDs are the exception — their 5-year lock-in bars premature withdrawal entirely. Some banks also offer non-callable FDs at higher rates that cannot be broken.
Is my fixed deposit insured if the bank fails?
Up to ₹5 lakh per depositor per bank, covering principal and interest together, under DICGC deposit insurance. The limit applies across all your accounts (savings, current, FDs, RDs) at that bank in the same capacity — not per deposit. Deposits at different banks are insured separately, which is why depositors holding large amounts often spread them across banks.
What is a tax-saver FD?
A 5-year FD, offered by banks, whose principal qualifies for Section 80C deduction up to ₹1.5 lakh a year under the old tax regime. The trade-offs: a strict 5-year lock-in with no premature withdrawal and no loan against it, and the interest remains fully taxable like any other FD. It competes with NSC, which has the same term and 80C benefit but a government-set rate.
Go further
The same deposit math for a monthly instalment instead of a lump sum.
The full FD-versus-funds comparison — returns, tax, liquidity, risk.
The market-linked alternative FDs are most often weighed against.
Screen low-volatility debt funds to compare against your FD rate.
The same formula with the frequency dial pushed to any setting.