FD Calculator – Fixed Deposit Maturity
A fixed deposit locks your money with a bank for a fixed tenure at a declared interest rate. Because most Indian banks compound FD interest quarterly, the effective return is higher than the simple rate printed on the brochure — this calculator lets you match any bank’s compounding frequency.
The formula
A = P × (1 + r/n)^(n×t)
FAQ
How is FD interest different from simple interest?
Most Indian banks compound FD interest quarterly, so you earn interest on accrued interest. A ₹5 lakh FD at 7% for 5 years earns about ₹2.07 lakh compounded versus ₹1.75 lakh simple.
Are bank FD returns taxable?
Yes. FD interest is added to your income and taxed at your slab rate, unlike PPF which is tax-free. Senior citizens get higher rates and a larger deduction under section 80TTB.
What is the ideal FD tenure?
Laddering — splitting money across 1, 2 and 3 year FDs — balances liquidity with the better rates offered on longer tenures.