FD Calculator — India (₹)

Calculate your Fixed Deposit maturity amount, total interest earned, TDS liability, and effective annual rate. Compare quarterly, monthly, half-yearly, and annual compounding options.

🏦 FD Details
Maturity Amount₹1,42,175
Principal Invested₹1,00,000
Total Interest Earned₹42,175
Effective Annual Rate7.29%
⚠️ TDS at 10%: ₹4,217 (Interest exceeds ₹40,000/year threshold)
📊 Year-wise Growth
YearBalanceInterest Earned
1₹1,07,291₹7,291
2₹1,15,114₹15,114
3₹1,23,508₹23,508
4₹1,32,513₹32,513
5₹1,42,175₹42,175
💡 FD Tips
• Interest over ₹40,000/year: Bank deducts 10% TDS (Submit Form 15G/15H to avoid if income below threshold)
• Tax-saving FD: 5-year lock-in, 80C deduction up to ₹1.5L
• Senior citizens: Usually get 0.25–0.5% extra interest

What is a Fixed Deposit (FD)?

A Fixed Deposit (FD) is a savings instrument offered by banks and NBFCs where you deposit a lump sum for a fixed tenure at a predetermined interest rate. FDs are one of the safest investments in India — deposits up to ₹5 lakh per depositor per bank are insured by DICGC (Deposit Insurance and Credit Guarantee Corporation), a subsidiary of RBI.

Most bank FDs in India compound interest quarterly, though some offer monthly and annual options. The effective annual return (EAR) is slightly higher than the nominal rate due to quarterly compounding. FDs are ideal for parking short-to-medium term savings (3 months to 5 years) with guaranteed returns, regardless of market conditions.

How to Use This FD Calculator

  • Principal Amount: Enter the deposit amount (e.g., ₹1,00,000).
  • Rate of Interest: Enter the annual interest rate offered by your bank (e.g., 7.1% for SBI 5-year FD).
  • Tenure: Enter years and months (e.g., 5 years 0 months).
  • Compounding Frequency: Most banks compound quarterly (standard). Select the option that matches your FD certificate.
  • TDS alert: If your interest exceeds ₹40,000/year (₹50,000 for seniors), the calculator warns you about TDS deduction.

Key Factors That Affect FD Returns in India

  • Interest Rate: Varies by bank, tenure, and customer type. Senior citizens get 0.25–0.5% higher rates. Small Finance Banks offer 8–8.5% vs 6.5–7% at PSU banks.
  • Compounding Frequency: More frequent compounding = higher effective return. Monthly compounding at 7% gives EAR of 7.23% vs 7.19% for quarterly.
  • Tenure: Longer tenure may not always offer higher rates — check the rate chart. In a falling rate environment, short tenures allow you to reinvest at prevailing rates.
  • TDS & Tax: FD interest is fully taxable at your slab rate. At 30% slab, a 7% FD effectively earns only 4.9% post-tax. For those in higher tax brackets, PPF or ELSS may be more tax-efficient.

Tips to Get the Best FD Returns in India

  • Compare Small Finance Banks: AU Small Finance, ESAF, Ujjivan, and Jana Small Finance offer 8–8.5% FD rates — 1%+ higher than major PSU banks. Your deposits are equally protected up to ₹5L under DICGC.
  • Ladder your FDs: Instead of one large FD, split into multiple FDs with staggered maturities (3 months, 6 months, 1 year, etc.). This ensures regular liquidity without premature withdrawal penalties.
  • Senior citizen FD for higher rates: If a family member is above 60, book FDs in their name — they earn 0.25–0.5% more AND get ₹50,000 TDS threshold instead of ₹40,000.
  • Submit Form 15G/15H: If your total income is below the taxable limit, submit Form 15G (non-senior) or 15H (senior citizens) to prevent TDS deduction and simplify tax filing.

Disclaimer: FD interest rates shown are for illustration. Actual rates change frequently and vary by bank, tenure, and customer category. Always verify current rates with your bank before booking a Fixed Deposit.