Fixed Deposit (FD) Calculator 2026

Calculate quarterly compounded bank FD interest and the maturity amount of a cumulative fixed deposit

FD Deposit Amount

₹

Quick Presets:

₹1,000₹1.00 Cr

FD Annual Interest Rate (%)

3%12%

Time Period

Yrs

1 Yr10 Yrs

Final value: ₹1.41 L
Your money becomes: 1.4×; of what you put in over 5 years.

Invested vs Interest

Total invested: ₹1.00 L
Interest earned: ₹41,478

Interest is 29.3% of final value

Year-by-year breakdown

Show as

1
Total contributed
₹1.00 L
Interest earned
₹7,186
Value
₹1.07 L
2
Total contributed
₹1.00 L
Interest earned
₹7,702
Value
₹1.15 L
3
Total contributed
₹1.00 L
Interest earned
₹8,256
Value
₹1.23 L
4
Total contributed
₹1.00 L
Interest earned
₹8,849
Value
₹1.32 L
5
Total contributed
₹1.00 L
Interest earned
₹9,485
Value
₹1.41 L

Year	Total contributed	Interest earned	Value
1	₹1.00 L	₹7,186	₹1.07 L
2	₹1.00 L	₹7,702	₹1.15 L
3	₹1.00 L	₹8,256	₹1.23 L
4	₹1.00 L	₹8,849	₹1.32 L
5	₹1.00 L	₹9,485	₹1.41 L

Growth over time

The gap between the two lines is the interest earned — and it widens every year.

The formula, with your numbers

Standard Formula

A = P × (1 + i)^N, where i = r ÷ n and N = n × t

Live Calculation (Plugging Your Values)

FD Deposit Amount (P):₹1,00,000

Interest rate (r):7%

Compounded (n):quarterly (4 times a year)

Time (t):5 years

Rate per period (i):0.0175

Number of periods (N):20

Total you will have invested (C):₹1,00,000

Interest earned (I):₹41,478

Substituted Equation:

₹1,00,000 × (1 + 0.0175)^20 = ₹1,41,478

Maturity value:₹1,41,478

One deposit compounds for the whole term. Each compounding period adds interest on the interest already credited, which is why the final figure is more than simple interest would give.

About Fixed Deposit (FD) Calculator

A fixed deposit locks a lump sum with a bank for a set tenure, at an interest rate fixed on the day you book it. In a cumulative FD the interest is not paid out: it is added back to the deposit every quarter and earns interest itself, and the whole amount comes back at maturity.

This calculator works out the maturity value, and the interest earned each year, for a cumulative FD compounded quarterly. A non-cumulative FD pays the interest out monthly or quarterly instead, so nothing compounds and it earns less than the figure shown here. All figures are before tax: the calculator does not deduct TDS or income tax.

How it Works

The calculator takes three inputs:

FD deposit amount: the lump sum you place in the fixed deposit.
Annual interest rate: the rate printed on your FD receipt for your tenure and age group.
Duration: the tenure in whole years.

Benefits of Fixed Deposits

Guaranteed return: the rate is fixed when you book, so later rate cuts or market falls do not change your maturity amount.
Deposit insurance: DICGC insures up to ₹5 lakh per depositor per bank, principal and interest together, pooled across all your accounts in that bank.
Flexible tenure and payout: choose a tenure from 7 days to 10 years, and a cumulative or a monthly or quarterly payout.
Higher rate for senior citizens: most banks pay 0.50% to 0.75% more to depositors aged 60 and above.
Cash without breaking it: most banks lend against an FD, so the deposit keeps earning while you borrow.
Tax to plan for: interest is taxed at your slab rate as income from other sources. A bank deducts 10% TDS under Section 194A once your deposit interest from that bank crosses ₹50,000 in a financial year (₹1,00,000 for senior citizens), or 20% if it does not have your PAN. Form 15G (15H for senior citizens) stops TDS if the tax on your total income for the year is nil.
Tax-saver FD: a 5-year tax-saver FD qualifies for Section 80C (up to ₹1.5 lakh) only under the old regime. The new regime under Section 115BAC, which is the default, allows no 80C deduction.

References

How these numbers are checked →

Fixed Deposit (FD) FAQs

How is Fixed Deposit interest compounded in Indian banks?

Quarterly compounding is the common market practice, but it is a contractual term in your FD receipt, not an RBI mandate — the RBI quarterly rule applies to savings account interest. Cumulative FDs compound the interest back into the deposit and pay everything at maturity, using A = P x (1 + r/4)^(4n). Non-cumulative FDs pay interest out monthly or quarterly instead, so nothing compounds. Always read the rate and payout basis on the receipt.

Is FD interest taxable in India?

Yes. Fixed deposit interest is fully taxable under Income from Other Sources at your applicable income tax slab rates. Banks deduct 10% TDS under Section 194A if annual interest exceeds ₹50,000 (₹1,00,000 for senior citizens), the thresholds in force from 1 April 2025.

Do senior citizens get higher FD interest rates?

Yes. Almost all Indian banks offer an additional 0.50% to 0.75% interest rate on fixed deposits for senior citizens aged 60 and above.

Should I pick a cumulative or non-cumulative FD?

Pick cumulative if you do not need the money in between — interest is added back every quarter and the whole amount comes at maturity, so Rs 5,00,000 at 7% for 5 years grows to about Rs 7,07,000. Pick non-cumulative if the FD is your income source: the bank pays interest out monthly or quarterly at the same rate but nothing compounds. Most senior citizens buy the monthly-payout version to replace a salary.

What penalty applies if I break an FD before maturity?

The bank re-prices the deposit to the rate applicable for the period you actually held it, then deducts a penalty of about 0.50% to 1.00% from that rate. Break a 5-year FD booked at 7% after 11 months and you are paid the 6-month to 1-year card rate minus the penalty, not 7%. Some banks waive the penalty on senior citizen deposits or on FDs booked for 7 to 14 days. Check the terms before you book.

Is a 5-year tax-saver FD worth it compared with PPF or ELSS?

Only if you are on the Old Regime, because the new regime under s.115BAC gives no 80C deduction at all. Even then a tax-saver FD is the weakest of the three: interest is taxed every year at slab rate, so 7% nets about 4.9% at the 30% slab, against PPF at a fully tax-free 7.1% and ELSS with a shorter 3-year lock-in. The FD is locked for 5 years with no premature exit and no loan against it.

Are my fixed deposits insured if the bank fails?

Yes, up to Rs 5,00,000 per depositor per bank under DICGC cover, and that figure includes both principal and interest. It is aggregated across every account you hold in the same bank and in the same right and capacity — savings, current, FD and RD all count together, so five FDs of Rs 3,00,000 in one bank are still covered only to Rs 5,00,000. Spreading deposits across different banks raises your covered amount.

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