Fixed Deposit Calculator
Calculate FD maturity amount with compound interest
Fixed Deposit Details
💡 Tip: Click value to edit directly. Supports shorthand (5L, 2.5Cr) or exact numbers (725000)
Maturity Amount
Principal
Interest Earned
Effective Annual Rate
Investment Period
Investment Breakdown
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Year-wise FD Growth
Year-wise Growth Projection
Understanding Fixed Deposits
Fixed Deposits are one of the safest investment options offering guaranteed returns with flexible tenure options.
How FDs Work
- • Deposit money for a fixed period
- • Earn guaranteed interest rate
- • Interest compounds based on frequency
- • Receive maturity amount at end of term
- • Early withdrawal may have penalties
Benefits
- • Capital Protection: Principal amount is guaranteed
- • Fixed Returns: Know exact returns upfront
- • Flexible Tenure: 7 days to 10 years options
- • Tax Benefits: 5-year tax-saving FDs available
Compound Interest Formula
A = P(1 + r/n)^(nt)Impact of Compounding Frequency
Annually
Once per year
Half-Yearly
Twice per year
Quarterly
Four times per year
Monthly
Twelve times per year
Higher compounding frequency leads to higher returns due to the compounding effect.
Frequently Asked Questions
What's the difference between simple and compound interest FDs?
Simple interest FDs pay interest only on the principal. Compound interest FDs add earned interest back to principal, earning interest on interest. Most FDs use compound interest, resulting in higher returns.
How does compounding frequency affect returns?
More frequent compounding leads to higher returns. Monthly compounding gives better returns than quarterly, which is better than annual. However, the difference decreases as frequency increases beyond monthly.
Are FD returns taxable?
Yes, FD interest is taxable as per your income tax slab. Banks deduct TDS if interest exceeds ₹40,000 per year (₹50,000 for senior citizens). Tax-saving FDs have lock-in of 5 years but offer tax deduction under Section 80C.