RD Calculator

How it's calculated

Each monthly deposit earns interest, compounded quarterly, for the months it stays in the account. The maturity value is the sum of all deposits with their interest. Tenure is rounded to whole months.

How a recurring deposit grows

A recurring deposit (RD) lets you save a fixed amount every month at an interest rate set when you open it. Banks usually compound RD interest quarterly. Each monthly deposit earns interest for a different length of time, so the early deposits earn the most.

With the example values, ₹10,000 a month for 5 years at 6.5% grows to about ₹7,09,908. You deposit ₹6,00,000 yourself and the rest, about ₹1,09,908, is interest.

Frequently asked questions

How is RD maturity calculated?

Each monthly deposit is compounded quarterly for the months it stays in the account. The maturity value is the total of all deposits with their interest.

How is an RD different from a SIP?

An RD pays a fixed rate and carries little market risk. A SIP in a market-linked fund can earn more or less, with no fixed return.

Is RD interest taxable?

Yes, it is added to your income and taxed at your slab rate. This calculator shows the figure before tax.

How to use the RD Calculator

Enter monthly deposit, interest rate (p.a.), tenure. The calculator updates as you type and shows Maturity amount, along with the figures behind it. It runs in your browser, so nothing you enter is sent anywhere. Use the Reset button to go back to the example values.