A fixed deposit locks a lump sum with a bank for a set period at a guaranteed rate. This calculator shows the maturity amount with quarterly, monthly or yearly compounding, and the payout if you choose regular interest instead.
The FD formula
Maturity = P × (1 + r ÷ n)^(n × t)P = deposit, r = yearly rate ÷ 100, n = compounding periods a year (4 for quarterly), t = yearsMost Indian banks compound FD interest quarterly. If you choose monthly or quarterly payouts, interest is paid out instead of compounding, so you earn simple interest.
Worked example
Example: ₹5 lakh for 3 years at 7%, compounded quarterly
Maturity value: ₹6,15,720, interest of ₹1,15,720.
With a quarterly payout instead, you'd get ₹8,750 every quarter and ₹1,05,000 in total, about ₹10,700 less.
Tax and safety
- FD interest is added to your income and taxed at your slab rate, every year, even if you don't withdraw it.
- Banks deduct 10% TDS if your interest from that bank crosses ₹50,000 in a year (₹1 lakh for senior citizens). Submit Form 15G/15H if your total income is below the taxable limit.
- Deposits are insured up to ₹5 lakh per bank by DICGC, covering principal and interest together.
- A 5-year tax-saver FD counts for 80C in the old regime, but can't be broken early.
For a regular monthly deposit instead of a lump sum, use the RD calculator.
How to use this calculator
- Enter the amount, rate and term.
- Choose how often interest compounds (quarterly for most banks).
FAQs
Is FD interest taxable?
Yes, at your slab rate. Banks deduct TDS once interest crosses a yearly threshold.
Results are estimates for resident individuals under 60 and aren't tax, legal or financial advice. For your own return, check with a chartered accountant. Spotted a mistake? Tell us.