FD Calculator

About FD Calculator

An FD Calculator turns a few inputs — principal, annual rate, tenure and compounding — into the three numbers Indian depositors actually need before booking a Fixed Deposit: the maturity amount, the total interest, and the post-tax interest after applying their slab. This tool defaults to quarterly compounding because that is the standard schedule used by every major Indian bank — SBI, HDFC, ICICI, Axis, Kotak, and the cumulative variant of India Post Time Deposit — and reproduces those banks' published maturity figures to the rupee. You can switch to monthly, half-yearly or annual compounding to model special offers or NRE/FCNR products quoted on a different basis.

Why use FD Calculator

• Quarterly Compounding by Default: Every nationalised and private bank in India compounds rupee FDs once a quarter. Tools that default to annual compounding underestimate maturity by 1–3% over multi-year tenures. This calculator matches your bank's FD advice to the rupee on the same inputs.
• Post-Tax Interest, Not Just Headline Rate: Indian FD interest is taxable at your slab as Income from Other Sources. A 7.5% FD held by a 30%-slab depositor effectively yields ~5.25%. The post-tax row makes that real and makes inflation comparisons honest.
• TDS Threshold Alert: Section 194A requires banks to deduct 10% TDS once aggregate annual FD interest from one bank crosses ₹40,000 (or ₹50,000 if you are a senior citizen). The tool warns you when your annualised interest will breach that line, so you can plan a Form 15G/15H or simply expect TDS in your AS26.
• Effective Annualised Yield: When you compare a 7.0% quarterly-compounded FD against a 7.05% annually-compounded FD, the effective yield is the apples-to-apples figure. The tool computes it as (Maturity ÷ Principal)^(1/years) − 1 and shows it next to the headline rate.
• Tenure in Years OR Months: Banks quote short FDs in days or months and long FDs in years. The unit toggle handles both natively — no conversion arithmetic on your side, no off-by-one errors.
• 100% In-Browser, Zero Tracking: Numbers like principal, rate, slab and senior-citizen status are personal financial data. This calculator never sends a single byte to any server; the entire computation happens locally in your browser.

How to use FD Calculator

1. Enter the deposit amount in rupees in the Principal field — for example 1,00,000 for one lakh
2. Set the annual interest rate exactly as quoted by the bank, for example 7.10 for 7.10% p.a.
3. Enter the tenure as a number, then choose Years or Months from the unit dropdown to match the deposit term
4. Pick the compounding frequency — Quarterly is correct for almost every Indian rupee FD; switch only for special products
5. Choose your tax slab to see the post-tax interest, and toggle the Senior Citizen flag to apply the higher ₹50,000 TDS threshold
6. Read the maturity amount, total interest, post-tax interest and effective annualised yield in the result cards
7. Watch the TDS notice below — it tells you whether the bank will deduct tax at source on this deposit

When to use FD Calculator

• Before booking a Fixed Deposit at SBI, HDFC, ICICI, Axis, Kotak or any cooperative bank to confirm the maturity figure on the deposit slip
• When comparing two FD offers with different compounding frequencies — convert both to effective yield first
• When deciding between a Tax-Saving FD and an ELSS or PPF, by comparing the post-tax effective yield over five years
• When projecting the post-retirement income from a Senior Citizen Savings Scheme alternative or a fixed-income ladder
• When advising parents or grandparents on whether to file Form 15H to skip TDS on their FD interest
• When sanity-checking a bank's FD advice or interest-credit entry in your savings statement

Examples

Tips

• Indian bank FDs almost always compound quarterly — switch the default only if the deposit terms explicitly say monthly or annual
• Submit Form 15G (under-60) or Form 15H (senior, total income below basic exemption) at every bank where you hold FDs, at the start of the financial year, to prevent TDS
• Spread large deposits across multiple banks to keep the per-bank annual interest below ₹40,000 / ₹50,000 if you want to avoid the TDS workflow entirely
• For comparison shopping, always compute the effective annualised yield — a 7.0% quarterly FD beats a 7.10% annual FD
• Tax-Saving FDs lock funds for five years and qualify for §80C; if you are already maxed out on EPF + PPF + ELSS, a regular FD is more flexible
• Senior citizens get a 0.50%-point rate bonus at most banks plus the higher ₹50,000 TDS threshold and a ₹50,000 §80TTB deduction on bank interest

Frequently Asked Questions

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Glossary

Principal (P)

The amount of money you deposit at the start of an FD. The maturity amount A grows from P at the deposit's contractual rate over the chosen tenure.

Compounding Frequency (n)

The number of times per year interest is added to the FD balance. Indian banks use n = 4 (quarterly) by default, which means interest is credited every three months and starts earning interest on itself from the next quarter.

Effective Annualised Yield

The actual annual return after intra-year compounding. Formula: (1 + r/n)^n − 1. Always equal to or greater than the nominal rate r when n > 1; the gap widens with larger n.

Section 194A

The Income Tax Act provision that requires banks to deduct 10% TDS on FD interest once it crosses ₹40,000 in a financial year (₹50,000 for senior citizens). Rate is 20% if PAN is not submitted.

Form 15G / 15H

Self-declarations submitted to a bank by depositors whose total income is below the basic exemption limit, requesting non-deduction of TDS on interest. 15G is for non-seniors, 15H for senior citizens.

Cumulative vs Non-Cumulative FD

A cumulative (reinvestment) FD pays the entire interest at maturity along with the principal. A non-cumulative FD pays interest periodically — monthly, quarterly or annually — and is preferred by retirees who need a regular income stream. The maturity formula here assumes a cumulative FD.

Tax-Saving FD

A Fixed Deposit with a mandatory 5-year lock-in that qualifies for a §80C deduction up to ₹1.5 lakh in the old regime. Cannot be broken early, cannot be pledged for a loan, and the interest remains fully taxable.