Fixed Deposit (FD) Calculator

A Fixed Deposit (FD) is a financial instrument offered by banks and NBFCs where you deposit a lump-sum amount for a predetermined tenure at a fixed interest rate. FDs are one of the safest investment options in India, offering guaranteed returns irrespective of market conditions. At maturity, you receive the principal along with the accrued interest.

Most bank FDs in India compound interest quarterly. The formula is:

A = P × (1 + r/4)^(4t)

Where A is the maturity amount, P is the principal, r is the annual interest rate (as a decimal), and t is the tenure in years. This calculator uses quarterly compounding as the default, which is the standard for most Indian banks.

Yes. FD interest income is added to your total income and taxed as per your applicable income tax slab. Banks deduct TDS (Tax Deducted at Source) at 10% if your interest income exceeds ₹40,000 per year (₹50,000 for senior citizens). You can submit Form 15G/15H to avoid TDS if your total income is below the taxable limit.

In a cumulative FD, the interest compounds over the tenure and is paid at maturity along with the principal — ideal for wealth creation. In a non-cumulative FD, interest is paid out at regular intervals (monthly, quarterly, or annually) — suited for those who need regular income. This calculator computes cumulative FD returns.