FD Calculator

Fixed Deposit (FD) Calculator – Calculate FD Maturity Online

A Fixed Deposit (FD) Calculator is a powerful online tool that helps you estimate the maturity amount and interest earned from your fixed deposit investment. Whether you’re planning a short-term or long-term FD, our calculator allows you to understand the returns before you invest.

What is a Fixed Deposit (FD)?

A Fixed Deposit is a financial product offered by banks and financial institutions where you invest a lump sum for a fixed duration at a predetermined interest rate. The bank pays interest periodically (monthly, quarterly, annually) or upon maturity. FDs are one of the safest investment options in India with guaranteed returns and capital protection.

How Does the FD Calculator Work?

The FD Calculator uses the compound interest formula to calculate the maturity amount based on:

• Principal Amount – The lump sum you deposit
• Interest Rate – Annual rate offered by the bank
• Tenure – Number of years your money stays invested
• Compounding Frequency – Usually quarterly, though it may vary

The calculator instantly provides:

• Total Invested Amount
• Interest Earned
• Maturity Value

FD Maturity Formula

The formula used by our FD calculator is:

A = P × (1 + r/n)^(nt)

Where:

• A = Maturity Amount
• P = Principal or initial investment
• r = Annual interest rate (in decimal)
• n = Number of times interest is compounded per year
• t = Time in years

Example of FD Calculation

Suppose you invest ₹1,00,000 in an FD at 6.5% interest compounded quarterly for 5 years. Here's how it works:

• Principal (P): ₹1,00,000
• Interest Rate (r): 6.5% = 0.065
• Compounding Frequency (n): 4 (quarterly)
• Time (t): 5 years

Plugging into the formula:

A = 100000 × (1 + 0.065/4)^(4×5) ≈ ₹138,915

So, the total maturity amount is ₹138,915, out of which ₹38,915 is the interest earned.

Why Use an FD Calculator?

• Helps you compare FDs across banks
• Understand how interest grows over time
• Saves time and eliminates manual errors
• Available anytime, anywhere
• Useful for tax-saving FD planning

Types of Fixed Deposits Supported

Our calculator works for all major FD types:

• Regular FD (with quarterly compounding)
• Cumulative FD
• Tax-saving FD (5-year lock-in)
• Senior citizen FD (higher interest)
• Company or Corporate FDs

Benefits of Fixed Deposits

• Capital protection
• Low-risk investment
• Fixed, guaranteed returns
• Flexible tenures (7 days to 10 years)
• Eligible for tax-saving under Section 80C (for 5-year FDs)

Frequently Asked Questions (FAQs)

1. Is the FD Calculator accurate?

Yes, our calculator uses the industry-standard compound interest formula with quarterly compounding, which most banks follow.

2. Is interest earned on FD taxable?

Yes, the interest earned on fixed deposits is taxable under "Income from Other Sources". Banks may also deduct TDS if interest exceeds ₹40,000 per year (₹50,000 for senior citizens).

3. Can I withdraw my FD before maturity?

Yes, most banks allow premature withdrawal with a penalty. However, tax-saving FDs do not allow early exit.

4. What is the compounding frequency in FDs?

It is usually quarterly (every 3 months), but can vary by institution. Our calculator assumes quarterly compounding by default.

5. Which banks offer the highest FD interest rates?

Small finance banks and NBFCs may offer higher interest rates than traditional banks, but ensure they are RBI registered and credit-rated.

Compare FD with Other Investments

Who Should Use an FD Calculator?

The FD calculator is ideal for:

• Salaried professionals planning secure savings
• Retirees wanting steady income
• Parents saving for education or marriage
• Risk-averse investors seeking capital safety

Plan Your FD Smartly

Use this FD calculator to compare multiple banks, check different tenures, and plan your investments smartly. Combine with SIP or mutual fund tools for diversified financial planning.

Try Our Other Calculators

• SIP Calculator
• Lumpsum Calculator
• EMI Calculator
• PPF Calculator

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