FD Calculator

Calculate the maturity value of your fixed deposit. See exactly how much interest you earn, how compounding frequency changes the outcome, and how your money grows year by year.

A fixed deposit of ₹5,00,000 at 7% for 5 years grows to about ₹7.07 L at maturity — earning you roughly ₹2.07 L in interest.

₹
₹1K ₹1Cr
%
1% 12%
Yr
1 30
Compounding frequency
Maturity value Principal
₹0₹1.77 L₹3.54 L₹5.31 L₹7.07 LY1Y2Y3Y4Y5

How the FD Calculator works

A fixed deposit locks a lump sum with a bank for a chosen tenure at a fixed interest rate. Unlike market-linked investments, the return is guaranteed at the time of booking. Interest is usually compounded quarterly and either paid out periodically or reinvested until maturity. This calculator assumes the cumulative (reinvested) option, where interest itself earns interest.

The compound interest formula

  • A = P × (1 + r/n)n×t
  • P — principal deposited
  • r — annual interest rate (as a decimal)
  • n — compounding periods per year (1, 2, 4 or 12)
  • t — tenure in years

Tax on FD returns

FD interest is fully taxable at your income-tax slab rate as Income from Other Sources. Banks deduct TDS at 10% once your annual interest crosses ₹40,000 (₹50,000 for senior citizens); submit Form 15G/15H if your income is below the taxable threshold. A 5-year tax-saving FD additionally qualifies for an 80C deduction up to ₹1,50,000 under the old regime, though its interest stays taxable.

Frequently asked questions

How is FD interest calculated?
Most banks compound fixed deposit interest quarterly. The maturity value is A = P × (1 + r/n)^(n×t), where P is the principal, r is the annual rate, n is the number of compounding periods per year, and t is the tenure in years. Compounding more frequently — monthly versus yearly — produces a slightly higher maturity value for the same rate.
Is FD interest taxable in India?
Yes. Interest from fixed deposits is fully taxable as "Income from Other Sources" at your slab rate. Banks deduct TDS at 10% if your annual FD interest exceeds ₹40,000 (₹50,000 for senior citizens). If your total income is below the taxable limit, submit Form 15G/15H to avoid TDS.
What is a tax-saving FD?
A 5-year tax-saving fixed deposit qualifies for a deduction up to ₹1,50,000 under Section 80C (old regime only). It has a mandatory 5-year lock-in and does not allow premature withdrawal or loans against it. The interest earned, however, remains taxable.
Are senior citizens offered higher FD rates?
Yes. Banks typically offer senior citizens an extra 0.25–0.75% over the standard FD rate. Senior citizens can also claim a deduction up to ₹50,000 on interest income under Section 80TTB.
Is my FD money safe if my bank fails?
Deposits in scheduled banks are insured by DICGC, an RBI subsidiary, up to ₹5,00,000 per depositor per bank — covering principal plus interest combined across all your accounts in that bank. To protect a larger corpus, spread FDs across different banks rather than holding everything in one. This insurance does not cover corporate or NBFC deposits.
What penalty applies on premature FD withdrawal?
Breaking an FD before maturity usually costs a penalty of 0.5–1% on the interest rate, and the bank pays interest only at the rate applicable for the period the deposit actually ran. Tax-saving 5-year FDs cannot be withdrawn prematurely at all. Consider a sweep-in or laddering strategy if you may need the money early.
What is a sweep-in FD?
A sweep-in (or auto-sweep) facility links your savings account to an FD: balances above a threshold automatically move into a fixed deposit to earn higher interest, and funds sweep back when you need them for a withdrawal. You earn FD-level returns while keeping liquidity, and only the swept-out portion loses the higher rate. It suits those wanting both returns and ready access.
FD or debt mutual fund — which is better?
An FD gives a guaranteed return and capital safety, with interest taxed at your slab rate every year. A debt mutual fund is market-linked with no guarantee, and since April 2023 its gains are also taxed at slab rates regardless of holding period. FDs suit conservative savers and short horizons; debt funds can offer better liquidity and potential returns for those comfortable with mild risk.

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The results shown are estimates for illustration only, based on the inputs and assumptions you provide. Actual returns, interest, and tax depend on market conditions, prevailing rates, and applicable laws, which change over time. This is not investment, tax, or financial advice — please consult a qualified advisor before making decisions.

Maturity value
₹7,07,389
Interest earned
₹2.07 L