FD Calculator – Calculate Your Fixed Deposit Returns Instantly

What is a Fixed Deposit (FD)?

A Fixed Deposit (FD) is one of the safest and most popular investment options in India. Offered by banks, post offices, and NBFCs, an FD allows you to deposit a lump sum amount for a fixed period at a predetermined interest rate.

FD Interest Calculation Formula

A = P × (1 + r/n)^(n×t)

Where A = Maturity amount, P = Principal, r = Annual interest rate (decimal), n = Compounding frequency per year, t = Tenure in years.

Types of Fixed Deposits in India

1. Cumulative FD

Interest is compounded and reinvested. You receive the principal along with all accumulated interest at maturity.

2. Non-Cumulative FD

Interest is paid out at regular intervals — monthly, quarterly, half-yearly, or annually.

3. Tax-Saving FD

5-year lock-in period. Qualifies for deduction under Section 80C up to ₹1.5 lakh per year.

4. Senior Citizen FD

Most banks offer an additional 0.25% to 0.50% interest rate to senior citizens (aged 60+).

Tips to Maximise Your FD Returns

• Choose quarterly compounding over annual compounding for higher effective yield
• Ladder your FDs across different tenures to balance liquidity and returns
• Senior citizens should always book FDs under their name for the extra interest rate benefit
• Submit Form 15G/15H to avoid TDS deduction if your income is below the taxable limit

Also try: Use our SIP Calculator to compare FD returns with mutual fund investments, or our EMI Calculator to plan your loan repayments.

Frequently Asked Questions

1. What is a Fixed Deposit (FD)?

A Fixed Deposit is a financial instrument where you deposit a lump sum with a bank or NBFC for a fixed period at a predetermined interest rate.

2. Is FD interest taxable in India?

Yes. FD interest is fully taxable as per your income tax slab. Banks deduct TDS at 10% if annual interest exceeds ₹40,000 (₹50,000 for senior citizens).

3. Can I withdraw my FD before maturity?

Yes, most banks allow premature withdrawal with a small penalty — usually a 0.5% to 1% reduction in the applicable interest rate.