About the Fixed deposit calculator
A fixed deposit (FD) keeps a sum with a bank or other lender for a fixed term at an agreed interest rate. In a cumulative FD the interest is reinvested and paid with the principal at maturity.
Indian banks usually compound FD interest every quarter, which is what this calculator does.
How the Fixed deposit calculator works
A = P × (1 + r ÷ 4)^(4 × t)
- A
- Maturity amount
- P
- Deposit
- r
- Annual interest rate ÷ 100
- t
- Years
Enter the deposit, the rate your bank quotes and the term in years. The result is a generic cumulative estimate, not a bank quote.
Worked example
- Starting amount
- ₹1,00,000
- Annual interest rate
- 7%
- Time period
- 5 years
Example inputs
- Estimated value
- ₹1,41,477.82
- Total contributed
- ₹1,00,000
- Growth / interest
- ₹41,477.82
Calculated result
Why use a Fixed deposit calculator?
- Compare FD offers at different rates and terms.
- See the interest you would earn before tax.
- Plan when a deposit will reach a target amount.
Fixed deposit calculator FAQs
Is FD interest taxable?
Yes. It is added to your income and taxed at your slab rate. Banks deduct TDS when interest crosses the yearly threshold, and eligible depositors can submit Form 15G or 15H to avoid it.
Are bank FDs insured?
Deposits in insured banks are covered by DICGC up to ₹5 lakh per depositor per bank, including principal and interest.
Can I withdraw an FD before maturity?
Usually yes, with a penalty that lowers the interest rate applied. Tax-saving FDs have a five-year lock-in and cannot be broken early.
What is the difference between cumulative and payout FDs?
A cumulative FD reinvests interest until maturity. A payout FD pays interest monthly, quarterly or yearly, so it earns less in total.
Why does my bank’s figure differ?
Banks may use the exact number of days, different compounding for short terms, or a senior-citizen rate. Use your bank’s quote for the actual figure.