FD Calculator
Estimate the maturity value of a fixed deposit with quarterly compounding — how most Indian banks compute it.
How FD interest is calculated
Most Indian banks compound FD interest quarterly:
where P is the deposit, r the annual rate and t the tenure in years. Some banks/pay-out options compound annually or pay monthly interest at a discounted rate — your actual maturity may differ slightly.
FAQ
Is FD interest taxable?
Yes. FD interest is added to your income and taxed at your slab rate. Banks deduct TDS at 10% if total interest in a year crosses the threshold (₹40,000; ₹1,00,000 for senior citizens as per recent rules). Interest income must be reported under "Income from Other Sources".
What happens if I break an FD early?
Most banks pay interest at the rate applicable for the period actually held, minus a 0.5–1% penalty. Some small-finance banks differ — read the terms before breaking.
Quarterly vs annual compounding — how much difference?
At 6.5% for 5 years on ₹2 lakh: quarterly compounding yields about ₹7,700 more than simple annual interest. Small, but free.