RD Calculator
India Uses Indian income-tax and TDS rules for investments and deposits. Figures are in rupees.
Recurring deposit calculator: maturity with quarterly compounding as banks and the Post Office do it, a yearly schedule, TDS and interest after tax.
Educational estimate only. Not a lending decision. Your numbers stay in this browser.
Results
How to read this: the verdict describes how much room your numbers leave, not a decision or an offer. Change any input to see how much the result moves.
Assumptions and formula
Each instalment is paid at the start of its month and compounds quarterly for the time it is in the account: the first for the whole term, the last for one month. That is exactly what the banks’ RD formula, M = R × ((1 + i)ⁿ − 1) ÷ (1 − (1 + i)^(−1/3)), works out, with i the quarterly rate and n the number of quarters.
Tax: RD interest is added to your income and taxed at your slab rate every year as it accrues, plus 4% cess. The bank withholds TDS of 10% when a year’s interest from all your FDs and RDs with it exceeds ₹50,000, or ₹1 lakh for senior citizens, from 1 April 2025. The today’s-money figure discounts the deposits plus after-tax interest by the inflation rate over the term. Every instalment is assumed to be paid on time.
Worked example
₹5,000 a month for 5 years at 7% matures at ₹3,59,664: ₹3 lakh deposited and ₹59,664 of interest. At the 30% slab you keep ₹41,049 of the interest, and in today’s money at 5% inflation the whole amount is worth about ₹2,67,221. Reaching ₹10 lakh in 5 years at 7% takes ₹13,902 a month.
Frequently asked questions
What does ₹5,000 a month in an RD become in 5 years?
About ₹3,59,664 at 7% compounded quarterly: ₹3 lakh deposited and ₹59,664 of interest. At the 30% tax slab you keep ₹41,049 of that interest, and in today’s money at 5% inflation the whole amount is worth about ₹2,67,221.
How is RD maturity calculated?
Each monthly instalment earns interest compounded quarterly for the time it is in the account: the first for the whole term, the last for one month. Banks write this as M = R × ((1 + i)ⁿ − 1) ÷ (1 − (1 + i)^(−1/3)), with i the quarterly rate and n the number of quarters; the two give exactly the same answer. ₹5,000 a month for 5 years at 7% matures at ₹3,59,664.
Why do RD calculators give different answers?
Because many print one formula and calculate with another. The lump-sum FD formula, A = P(1 + r/n)^(nt), does not apply to an RD, where every instalment is deposited on a different date. Of the RD calculators we checked, four printed worked examples that their own stated method does not reproduce. This calculator uses the banks’ quarterly method and shows the result year by year.
Is RD interest taxable?
Yes, at your income tax slab rate every year, plus 4% cess, even though you receive it at maturity. ₹5,000 a month for 5 years at 7% earns ₹59,664; at the 30% slab you keep ₹41,049. Adjusted for 5% inflation the deposits and that interest are worth about ₹2,67,221 in today’s money, less than the ₹3 lakh you put in.
When is TDS deducted on RD interest?
When the interest a bank pays you in a financial year, across all your FDs and RDs with it, is over ₹50,000, or ₹1 lakh for senior citizens, from 1 April 2025. Older pages still quote ₹10,000, which is out of date. TDS is 10% with a PAN and is credited against your tax.
How much RD do I need for ₹10 lakh?
About ₹13,902 a month for 5 years at 7%, compounded quarterly. Enter your own target, rate and months and the calculator gives the monthly deposit needed.
Does this work as a post office RD calculator?
Yes. The Post Office 5-year recurring deposit also compounds quarterly, so enter its notified rate and 60 months. This recurring deposit calculator, RD interest calculator and RD account calculator uses the same method for a bank RD or a post office one; only the rate differs. Use it as an RD deposit calculator or recurring calculator for any bank or post office RD.
Is this an RD return calculator?
Yes: an RD return calculator that shows the maturity amount, the interest earned and the return for monthly deposits, with an annual table of how the balance builds year by year.
Sources
Sources reviewed 3 October 2026: checked against their current editions on that date.
- Memorandum explaining the provisions in the Finance Bill 2025, Union Budget 2025-26: TDS on interest from banks, co-operative banks and post offices only above ₹50,000 a financial year, and ₹1,00,000 for senior citizens, from 1 April 2025; recurring deposit interest counts toward the same threshold.
- The bank recurring deposit maturity formula M = R × ((1 + i)ⁿ − 1) ÷ (1 − (1 + i)^(−1/3)), quarterly compounding, as published by Indian banks; reproduced exactly by compounding each instalment for its own term.
This page is an educational estimate, not personal financial or tax advice. Eligibility and individual circumstances can change the result.