FD Calculator

Fixed deposit maturity, interest and payout for any bank rate and tenure.

Deposit amount

₹1,00,000

Interest rate

Tenure

1 yr

Compounding

Senior citizen (+0.5%)

FD Calculator

Maturity amount₹1,07,186

Principal₹1,00,000
Interest @ 7%₹7,186
Maturity amount₹1,07,186

Principal vs interest

Principal ₹1,00,000
Interest ₹7,186

How is FD interest calculated?

A fixed deposit locks a lump sum with a bank or NBFC for a chosen term at a rate agreed on the day you book it. Unlike a loan, where the balance shrinks, your deposit only grows: the bank pays interest on the principal and then on the interest already added, so every compounding step builds on the one before it.

Indian banks almost always add FD interest every quarter — this is the market standard, and it is what this calculator uses by default. Monthly compounding lifts the maturity a touch, yearly compounding trims it, and a plain simple-interest deposit adds no compounding at all. You can switch between all four above.

M = P × (1 + r ÷ 4)^(4t)

where P = deposit amount (principal); r = annual interest rate as a decimal (7% = 0.07); t = tenure in years; dividing by 4 and raising to 4t applies quarterly compounding — the Indian bank standard

FD maturity for ₹1 lakh, ₹5 lakh and ₹10 lakh

Maturity scales in direct proportion to what you put in, so a ₹5,00,000 deposit earns exactly five times the interest of a ₹1,00,000 deposit at the same rate and tenure. Time is what really moves the needle: at 7% a one-year deposit adds about ₹7,186 per lakh, while a five-year deposit adds over ₹41,000 per lakh as quarterly compounding gathers pace.

FD maturity at 7%, quarterly compounding
₹1,00,000 · 1 year	₹1,07,186
₹1,00,000 · 3 years	₹1,23,144
₹1,00,000 · 5 years	₹1,41,478
₹5,00,000 · 5 years	₹7,07,389
₹10,00,000 · 5 years	₹14,14,778

Senior citizen FD rates

Most banks pay depositors aged 60 and above an extra 0.50% on the very same deposit. A ₹5,00,000 five-year FD booked at 7.5% instead of 7% earns roughly ₹17,583 more by maturity, and a few banks add a further super-senior bonus for those above 80. Turn on the senior-citizen toggle above to fold this 0.5% into the rate automatically.

The higher rate applies only to deposits held in the senior citizen’s own name. It does not carry over to a joint deposit where the first holder is younger than 60.

Senior citizen FD: ₹5,00,000 for 5 years
Regular rate 7.0%	₹7,07,389
Senior rate 7.5%	₹7,24,972
Extra interest earned	₹17,583

FD vs RD vs savings account

A fixed deposit suits money you already have and won’t touch for a while, a recurring deposit is for money you set aside month by month, and a savings account is for cash you may need at any moment. The trade-off is return: a savings account typically pays 2.5%–4%, well below the roughly 7% a fixed deposit offers, while an RD lands near the FD rate but earns on a balance that builds up gradually rather than all at once.

If you have a lump sum sitting idle in a savings account, shifting it to an FD is usually the single easiest way to earn more without taking on any market risk.

Frequently asked questions

Is FD interest taxable?

Yes. FD interest is fully taxable as Income from Other Sources, added to your total income and taxed at your slab rate. That holds whether or not the bank has deducted TDS, so you must still declare the full interest when you file your return.

What is TDS on FD interest and when is it deducted?

Banks deduct TDS at 10% once your interest from that bank crosses ₹50,000 in a financial year (₹1,00,000 for senior citizens). Without an updated PAN the rate becomes 20%. TDS is not an extra tax — it is adjusted against your final liability, and you can submit Form 15G or 15H to stop it if your income is below the taxable limit.

Can I withdraw my FD before maturity?

Almost always, yes. The bank levies a premature-withdrawal penalty, usually 0.5% to 1%, and pays interest at the rate that applied for the period you actually held the deposit rather than the originally booked rate. Tax-saver FDs are the exception — they carry a hard five-year lock-in and cannot be broken early.

Does the senior citizen rate apply automatically?

The 0.5% bonus applies only when the first or sole depositor is 60 or older, and the bank confirms age from your records. In this calculator, switch on the senior-citizen toggle to add it to your rate.

Which compounding option gives the highest maturity?

Monthly compounding gives the most, then quarterly, then yearly, with simple interest the lowest. The gaps are small — on a one-year deposit, monthly versus quarterly is only a few rupees per lakh — so most people simply use the quarterly option banks apply by default.

Guides that use this calculator

Where should money sit for 1, 3, 5 and 10+ years?The best investment is a function of when you need the money back. A horizon-by-horizon map for Indian savers — savings, FD, RD, debt, PPF, equity — with computed numbers and the two mistakes that cost the most.
How big should your emergency fund be — and where should it sit?Six months of expenses is the standard answer; your actual number depends on how replaceable your income is. Where you park it matters almost as much: the same ₹3.6 lakh earns ₹10,900 in a savings account and ₹25,100 in an FD over a year.
FD laddering: lock rates without locking yourself outSplitting one deposit into several maturities solves the two problems every FD investor faces — needing money mid-tenure and reinvesting everything at whatever rate prevails on one arbitrary day. How to build a ladder, with the premature-withdrawal math.