FD calculator
Principal amount
Interest rate (p.a.)
Tenure (years)
Tenure (months)
Compounding frequency
Tax slab
Expected inflation rate (p.a.)
Disclaimer: This is a pre-tax maturity estimate. Post-tax value accounts for TDS on interest earned.
Frequently Asked Questions
How is the maturity amount of a fixed deposit calculated?
How is the maturity amount of a fixed deposit calculated?
A fixed deposit earns compound interest. The maturity amount is calculated using the formula:
Where
A = Maturity amount
P = Principal (deposit) amount
r = Annual interest rate (as a decimal)
n = Number of times interest is compounded per year
t = Tenure in years
Say you deposit ₹ 1,00,000 at 7% p.a. compounded quarterly for 5 years:
Principal (P) ₹ 1,00,000
Interest rate (r) 7%
Compounding (n) 4 times a year
Tenure (t) 5 years
Plugging these values into the formula, your deposit grows to about ₹ 1,41,478, earning roughly ₹ 41,478 in interest.
What does the Goal-Based FD calculator do?
What does the Goal-Based FD calculator do?
It works backwards from a target amount. You enter the amount you want to reach and the time you have, and it calculates how much you need to invest today in a fixed deposit to get there.
How does compounding frequency affect FD returns?
How does compounding frequency affect FD returns?
The more frequently interest is compounded, the higher the maturity amount for the same interest rate. Monthly compounding yields slightly more than quarterly, which yields more than half-yearly or yearly, because interest starts earning interest sooner.
Is FD interest taxable?
Is FD interest taxable?
Yes. Interest earned on a fixed deposit is added to your income and taxed as per your income tax slab. Banks also deduct TDS on FD interest above the prescribed threshold. This calculator estimates your post-tax returns based on the tax slab you select.
What are real returns after inflation?
What are real returns after inflation?
Real returns show the purchasing power of your maturity amount in today's money. It adjusts the maturity amount for the expected inflation rate over the tenure, so you can see what your FD is actually worth after rising prices are taken into account.
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