FD Calculator
Calculate your Fixed Deposit maturity amount, total interest and estimated returns instantly. Compare cumulative and non-cumulative FD options with our free online calculator.
Tax is optional and is shown separately as an estimate.
FD Return Breakdown
See how much of your maturity amount comes from your original deposit and how much comes from estimated interest.
Year-wise FD Growth
| Year | Opening Balance | Interest | Cumulative Interest | Closing Balance |
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What is a Fixed Deposit?
A Fixed Deposit, commonly called an FD, is a financial product in which you deposit a lump sum with a bank or other eligible financial institution for a predetermined period at an agreed interest rate.
Unlike market-linked investments, a traditional fixed deposit generally provides a predetermined interest rate according to the terms of the deposit. The actual rate, tenure, premature withdrawal conditions and interest calculation method depend on the financial institution and FD product.
What is an FD Calculator?
An FD Calculator is an online financial calculator that estimates the maturity amount and interest earned on a fixed deposit.
You normally need the investment amount, interest rate, tenure and compounding frequency to calculate the estimated FD maturity value.
How Does an FD Calculator Work?
For a cumulative FD, the calculator applies the selected annual interest rate at the selected compounding frequency over the investment period.
A = Maturity amount
P = Principal / initial deposit
r = Annual interest rate in decimal form
n = Number of compounding periods per year
t = Investment period in years
This formula is useful for estimating the value of a compounding deposit. Actual bank calculations may use product-specific rules, day-count conventions, rounding and other terms.
What is a Cumulative FD?
A cumulative FD generally accumulates interest during the deposit period and pays the principal plus accumulated interest at maturity, according to the bank’s product terms.
Cumulative deposits can be useful for investors who do not need regular interest payouts and want their interest to accumulate until maturity.
What is a Non-Cumulative FD?
A non-cumulative FD generally provides periodic interest payouts. Depending on the product, interest may be paid monthly, quarterly, half-yearly or annually.
Non-cumulative FDs may be useful for investors who want regular interest income rather than waiting until maturity.
Cumulative vs Non-Cumulative FD
- Cumulative FD: Interest is generally accumulated until maturity.
- Non-cumulative FD: Interest is generally paid periodically.
- Cumulative FDs may be more suitable when your goal is wealth accumulation.
- Non-cumulative FDs may be useful when regular income is more important.
What Factors Affect FD Returns?
- Initial deposit amount
- FD interest rate
- Investment tenure
- Compounding frequency
- Cumulative or non-cumulative structure
- Premature withdrawal conditions
- Applicable tax and TDS rules
Why Does Compounding Frequency Matter?
When interest is compounded, previously accumulated interest can itself earn interest during subsequent compounding periods. Therefore, the compounding frequency can affect the final maturity value.
However, the exact result depends on the bank’s product terms. You should always compare the quoted rate and maturity amount supplied by the bank before opening an FD.
Is FD Interest Taxable?
FD interest can form part of taxable income, depending on the applicable tax rules and your circumstances. This calculator therefore shows gross interest separately and provides an optional tax-rate field for an approximate after-tax illustration.
The tax calculation in this tool is only a simplified estimate. It does not determine your actual income-tax liability or TDS obligation.
FD Calculator Example
Suppose you invest ₹5,00,000 in a five-year FD at an assumed annual interest rate of 7%. If the FD compounds quarterly, the calculator estimates the maturity amount using the selected compounding frequency.
The actual maturity amount should always be checked against the bank’s FD receipt or official maturity illustration because banks may apply product-specific calculation and rounding rules.
Important Things to Check Before Opening an FD
- Compare the interest rate offered by different banks.
- Check the minimum and maximum FD tenure.
- Check premature withdrawal rules and penalties.
- Check whether the FD is cumulative or non-cumulative.
- Check how frequently interest is compounded or paid.
- Check applicable TDS and tax rules.
- Verify the final maturity amount before investing.
