FD Calculator

A Fixed Deposit is one of the safest investment instruments in India where you deposit a lump sum amount with a bank or NBFC for a fixed tenure at a predetermined interest rate. The returns are guaranteed and not affected by market fluctuations.

FDs are insured up to ₹5 lakh per depositor per bank under DICGC (Deposit Insurance and Credit Guarantee Corporation), making them one of the most secure investment options available.

FD interest can be calculated using simple or compound interest formulas:

Compound Interest: A = P × (1 + r/n)^(n×t)

• A = Maturity amount
• P = Principal deposit amount
• r = Annual interest rate (in decimal)
• n = Compounding frequency (4 for quarterly, which is most common in India)
• t = Tenure in years

Most Indian banks compound FD interest quarterly, which yields slightly higher returns than simple interest calculation.

• Step 1: Enter your deposit amount (e.g., ₹5,00,000)
• Step 2: Input the annual interest rate offered by your bank
• Step 3: Select the tenure and compounding frequency
• Step 4: View the maturity amount and total interest earned

• Regular FD: Standard fixed deposit with flexible tenure (7 days to 10 years)
• Tax-Saving FD: 5-year lock-in FD that qualifies for Section 80C deduction up to ₹1.5 lakh
• Senior Citizen FD: Offers 0.25-0.50% higher interest rate for those aged 60+
• Cumulative FD: Interest is compounded and paid at maturity
• Non-Cumulative FD: Interest is paid out monthly, quarterly, or annually

Interest earned on fixed deposits is fully taxable as per your income tax slab. Key tax rules include:

• TDS: Banks deduct TDS at 10% if annual interest exceeds ₹40,000 (₹50,000 for senior citizens)
• Form 15G/15H: Submit these forms if your total income is below the taxable limit to avoid TDS
• Tax-Saving FD: Only the principal (up to ₹1.5 lakh) gets Section 80C deduction; the interest is still taxable