FD Calculator
Calculate fixed deposit maturity amount, interest earned and effective annual rate based on principal, rate, tenure and compounding frequency.
✓ Runs in your browser · Updated 2026-03-31Enter values and click Calculate Maturity to see results
How to Use the FD Calculator
Enter your deposit amount, the annual interest rate offered by your bank, the tenure in months and the compounding frequency. Click Calculate to see your maturity amount, total interest earned and the effective annual rate after compounding.
What Is a Fixed Deposit?
A Fixed Deposit (FD) is one of the safest investment options in India. You deposit a lump sum with a bank or NBFC for a fixed period at a predetermined interest rate. At maturity you receive the principal plus accumulated interest. FDs are insured up to ₹5,00,000 per depositor per bank under DICGC.
FD Interest Formula
The maturity amount of a fixed deposit with compound interest is calculated as:
A = P × (1 + r/n)n×t
- P — Principal (deposit amount)
- r — Annual interest rate (decimal)
- n — Compounding frequency per year
- t — Tenure in years
The effective annual rate accounts for compounding and is higher than the nominal rate when compounding is more frequent.
TDS on Fixed Deposits
Interest earned on FDs is fully taxable. Banks deduct TDS at 10% if total FD interest in a financial year exceeds ₹40,000 (₹50,000 for senior citizens). You can submit Form 15G/15H if your total income is below the taxable limit to avoid TDS. Use our TDS Calculator to estimate the deduction.
Tips for Better FD Returns
- Compare rates across banks — small finance banks often offer 0.5–1% higher rates.
- Senior citizens get an additional 0.25–0.50% on most bank FDs.
- Consider a Recurring Deposit if you want to invest monthly instead of a lump sum.
- For equity-linked growth, compare with a SIP investment.
Frequently Asked Questions
How is FD interest calculated in India?
Most Indian banks compound FD interest quarterly. The formula is A = P × (1 + r/n)^(n×t), where P is principal, r is annual rate, n is compounding frequency, and t is tenure in years.
Is FD interest taxable?
Yes. FD interest is fully taxable under 'Income from Other Sources'. Banks deduct TDS at 10% if annual interest exceeds ₹40,000 (₹50,000 for senior citizens).