FD Calculator

Estimate the maturity value, interest earned and effective yield on your Fixed Deposit. Toggle between cumulative and non‑cumulative payouts, switch compounding frequency, and account for senior‑citizen and tax‑saving FDs.

Deposit Details

Total Deposit Amount

₹

₹1,000₹1 Cr

Interest Rate (p.a.)

1%15%

Investment Duration

1 Mo10 Yr

Compounding Frequency

Invested Amount

₹1,00,000

Interest Earned

₹41,478

Maturity Amount

₹1,41,478

Effective Yield

7.19%

Good

Maturity Date

24-Jun-2031

Tenure

5 Yr 0 Mo(60 months)

Compounding

Quarterly(4× / year)

Calculation Used

Formula: A = P × (1 + r / n)^(n × t)

P = ₹1,00,000 · r = 0.0700 · n = 4 · t = 5.0000 yr

A = ₹1,00,000 × (1 + 0.017500)^20.00 = ₹1,41,478

// learn

Understanding Fixed Deposits

What is a Fixed Deposit?

A Fixed Deposit (FD) is a term investment offered by banks and NBFCs where you park a one-time amount for a pre-decided period at a contracted rate of interest. Unlike a savings account balance — which can move freely — the principal in an FD is locked for the chosen tenure, ranging anywhere from 7 days to 10 years.

Because the rate is fixed at the time of booking, an FD’s returns are insulated from day-to-day market movements. That predictability is the whole point: you know exactly what you’ll receive on maturity the moment you open the deposit.

How an FD calculator helps you

Working out FD maturity by hand sounds simple, but compounding quietly multiplies the math — especially when interest is added quarterly or monthly. An online calculator removes the friction: you put in deposit, rate and tenure, and you instantly see the maturity value, total interest, and effective annual yield.

Removes manual error from compounding math
Lets you compare different tenures and compounding modes side by side
Helps you decide between cumulative (re-invested interest) and non-cumulative (regular payout) options
Makes it easy to model senior-citizen rates and 80C tax-saving deposits

The math behind FD maturity

Simple interest FD (non-cumulative)

When interest is paid out at regular intervals instead of being re-invested, the maturity is computed on a simple-interest basis: M = P + (P × r × t) — where P is the principal, r is the annual rate (as a decimal), and t is the tenure in years.

Example: a ₹1,00,000 deposit at 7% for 5 years pays ₹1,00,000 + (1,00,000 × 0.07 × 5) = ₹1,35,000 — that is, ₹35,000 of interest spread across the period.

Compound interest FD (cumulative)

When interest is added back to the principal, the maturity formula becomes A = P × (1 + r / n)^(n × t), where n is the number of compounding cycles per year. The more frequent the compounding, the higher the final value — even for the same headline rate.

Example: the same ₹1,00,000 at 7% for 5 years compounded quarterly grows to roughly ₹1,00,000 × (1 + 0.07/4)^(20) ≈ ₹1,41,478 — about ₹6,478 more than the simple-interest version above.

How to use this calculator

Pick Cumulative or Non-Cumulative depending on whether you want interest re-invested or paid out.
Enter your deposit amount — use the slider for fast adjustments or type a precise figure.
Set the interest rate offered by the bank or NBFC. Enable the senior-citizen toggle for the extra 0.5% benefit.
Choose the tenure in years and months. Switch on Tax-Saving FD if it’s under Section 80C — the tenure will lock to 5 years.
For cumulative FDs, pick how often interest should compound. For non-cumulative, choose the payout frequency.
Read off the maturity amount, interest earned, effective yield and projected growth chart — all updated in real time.

Why traders & investors still use FDs

Capital preservation.FDs sit outside market volatility — useful as the “ballast” portion of a portfolio.
Predictable yield. The rate you book today is the rate you keep, regardless of where bond yields drift later.
Cash-flow planning. Non-cumulative FDs throw off regular interest you can route into SIPs, margin top-ups, or expenses.
DICGC cover. Deposits up to ₹5 lakh per bank per depositor are insured by RBI’s DICGC, which adds a layer of safety on the principal.

Things to watch out for

Interest from FDs is fully taxable at your slab rate. Banks deduct TDS once interest crosses ₹40,000 in a financial year (₹50,000 for senior citizens).
Premature withdrawal usually attracts a 0.5%–1% penalty on the applicable rate, which can quietly eat into your yield.
Tax-saving FDs under 80C come with a hard 5-year lock-in — no partial withdrawals, no loans against deposit.
In high-inflation phases, real (post-inflation) returns from FDs can be very thin or even negative — model that in before committing long tenures.

Frequently asked questions

Is the FD calculator free to use?

Yes — this calculator is free, unmetered, and runs entirely in your browser. Nothing you enter is sent anywhere.

Cumulative vs non-cumulative — which one should I choose?

Choose cumulative if you don’t need the interest right now and want maximum maturity value. Choose non-cumulative if you want a steady monthly or quarterly payout to support cash flow.

Does the compounding frequency really matter?

It does, but the gap narrows at longer tenures. Monthly compounding will always edge out yearly at the same rate, yet the difference is typically a few thousand rupees per lakh over five years.

Are FD returns guaranteed?

The contracted rate is guaranteed by the issuer for the booked tenure. Additionally, DICGC insures deposits up to ₹5 lakh per bank per depositor, which covers most retail holdings.

Why does the calculator show an “Effective Yield” that differs from my rate?

The headline rate is the nominal annual rate. Effective yield accounts for compounding — so a 7% rate compounded quarterly actually delivers an effective yield of about 7.19% per year.

Can senior citizens always get a higher rate?

Most banks offer 0.25%–0.75% over the standard rate for senior citizens (60+). This calculator uses a +0.5% default — verify with your specific bank before booking.