FD Calculator

Calculate fixed deposit maturity with quarterly compounding.

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This FD calculator estimates what a cumulative fixed deposit will be worth at maturity when interest is compounded every quarter, which is how most Indian banks handle reinvestment deposits. Enter the deposit amount, the annual interest rate and the number of years to see the maturity amount and the interest earned.

The quarterly compounding formula

Maturity = P × (1 + r ÷ 4)^(4 × t), where P is the deposit, r the annual rate as a decimal and t the number of years. Interest earned is maturity minus deposit.

Take ₹1,00,000 at 7% for 5 years. The quarterly rate is 0.07 ÷ 4 = 0.0175, and there are 20 quarters. 1.0175 to the power 20 is 1.414778, so:

Maturity amount: ₹1,41,477.82
Interest earned: ₹41,477.82

A larger example: ₹5,00,000 at 7.25% for 3 years matures at ₹6,20,273.50, earning ₹1,20,273.50.

Why a 7% FD yields a little more than 7%

Because interest is added every quarter and then earns interest itself, ₹1,00,000 at 7% grows to ₹1,07,185.90 after one year. That is an effective annual yield of about 7.19%, the figure banks often print as "annualised yield" next to the headline rate.

Match the calculator to your deposit

Cumulative or reinvestment FD: interest stays in the deposit until maturity. This is exactly what the calculator models.
Non-cumulative FD with payouts: interest is paid to your account and does not compound. A quarterly payout on ₹1,00,000 at 7% is about ₹1,750 each quarter; monthly payouts are usually slightly less than one-twelfth of the yearly interest because banks discount them.
Very short deposits: many banks pay simple interest on terms under six months, so the result here will be marginally high.
Tenure in months or days: the Years field takes decimals. Enter 1.5 for 18 months, or 444 ÷ 365 = 1.216 for a 444-day special scheme.
Monthly deposits: a recurring deposit adds a fixed amount every month rather than one lump sum, so use the RD Calculator for bank and post office RDs.

Tax, TDS and deposit insurance

FD interest is taxable at your income-tax slab rate. Banks deduct TDS once your yearly interest from that bank crosses the threshold, even on cumulative deposits where nothing is paid out until maturity. If your total income is below the taxable limit, you can give the bank the prescribed self-declaration form so that no TDS is deducted. In the 30% slab, a 7% FD earns roughly 4.9% after tax, before cess. PPF interest, by contrast, is tax-free, and the PPF Calculator shows what yearly deposits grow to over its 15-year term.

Deposits are insured by DICGC up to ₹5 lakh per depositor per bank, covering principal and interest together. Senior citizens are commonly offered 0.25 to 0.50 percentage points extra, so enter the exact rate your bank quotes. These results are estimates, not investment advice.

To see what the maturity amount will be worth after rising prices, run it through the Inflation Calculator; for yearly or monthly compounding instead of quarterly, use the Compound Interest Calculator.

Frequently asked questions

Why is my bank's maturity amount slightly different?

Banks count the exact number of days, may round interest each quarter, and use simple interest for some short tenures. The difference is usually a few rupees to a few hundred.

Does this work for monthly interest payout FDs?

No. Payout deposits send the interest to your account instead of compounding it, so their total return is lower than the cumulative figure shown here.

How do I enter a tenure in months or days?

Convert it to years: divide months by 12 or days by 365. Eighteen months is 1.5 and 400 days is about 1.096.

Is FD interest taxable in India?

Yes, at your slab rate, and banks deduct TDS once interest crosses the yearly threshold. If your total income is below the taxable limit, a self-declaration submitted to the bank can prevent the deduction.

What does ₹1 lakh become in 5 years at 7%?

With quarterly compounding it becomes ₹1,41,477.82, which means ₹41,477.82 of interest before tax.