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Finance & Investment · Bank Deposits

FD Calculator — Fixed Deposit Interest & Maturity

Calculate the maturity amount and interest on a fixed deposit (or certificate of deposit) the way banks do: quarterly compounding for complete quarters, simple interest for the remaining days, simple interest on deposits under six months — plus monthly or quarterly payout options, the senior-citizen rate, TDS and your post-tax return.

Your inputs

Quick start — try a typical case

₹ 5 lakh

% a year

Your result Live

Maturity Amount

₹6,15,720

₹5,00,000 + ₹1,15,720 interest at 7.00% for 3 years

Interest Earned
₹1,15,720
Effective Annual Yield
7.19%
TDS Deducted (estimate)
None — yearly interest is below ₹50,000
  • Deposit · 81%₹5,00,000
  • Interest · 19%₹1,15,720
Value at the end of each year

Year by year

3 rows
YearInterest that yearValue at year end
1₹35,930₹5,35,930
2₹38,511₹5,74,441
3₹41,279₹6,15,720

Interest on FDs is fully taxable at your slab rate each year (as it accrues), even in a cumulative FD. A 5-year tax-saver FD qualifies for 80C in the old regime.

How this is calculated

A = P × (1 + r/n)^k × (1 + r × (t − k/n)), k = complete compounding periods · under 6 months: A = P × (1 + r × t)

P, r, t
Deposit, yearly rate and tenure in years (days ÷ 365)
n
Compounding periods a year (4 = quarterly, the norm for Indian banks)
Monthly payout
P × ((1 + r/4)^(1/3) − 1) — the monthly rate equivalent to quarterly compounding

Banks compound FD interest every quarter: each quarter's interest is added to the deposit and earns interest itself. For a tenure that isn't a whole number of quarters, the last part earns simple interest. If you choose a monthly or quarterly payout instead, the interest is paid to your account and doesn't compound.

Assumptions & sources

  • Fixed rate for the whole tenure; no premature withdrawal penalty.
  • TDS estimate: 10 % of a year's interest when it exceeds ₹50,000 (₹1,00,000 for seniors) at one bank, 20 % without PAN; checked 2026-10-12.
  1. 1TDS on interest other than interest on securities (section 194A / section 393 of the Income-tax Act, 2025) — thresholds from 1 April 2025 — Income Tax Department
  2. 2Interest rates on deposits — Master Direction — Reserve Bank of India
  3. 3CFA Program Curriculum — Quantitative Methods: The Time Value of Money — CFA Institute

Calculator ID BANK-FD-001 · version 1.0.0

Common questions

How is FD interest calculated?

Most banks compound quarterly: A = P(1 + r/4)^(4t). ₹5 lakh at 7 % for 3 years grows to about ₹6.16 lakh.

Is FD interest taxable?

Yes — it's added to your income and taxed at your slab rate every year, even if you only receive it at maturity. Banks deduct 10 % TDS when a year's interest from them crosses ₹50,000 (₹1 lakh for senior citizens).

Monthly payout or cumulative?

Cumulative grows more because interest compounds. Choose a payout if you need regular income — for example, retirees covering monthly expenses.