Fixed Deposit (FD) & Recurring Deposit (RD) Calculator

Model cumulative bank FD and monthly RD returns with quarterly compounding, senior citizen perks, and threshold-aware TDS.

📅 Updated: October 2026 • 📐 Standard: IBA Quarterly Compounding • 🔍 Verified by: KitnaPaisa

Total Deposit Amount

₹

₹1 Lakh

Base Interest Rate (p.a)

Time Period

Compounding Frequency

Senior Citizen (+0.50% Extra)

Deduct Income Tax / TDS

Applicable Tax Bracket

TDS only applies once total interest crosses ₹40,000/year (₹50,000 for seniors) — below that, no TDS is deducted here even with this box checked.

Total Invested

₹0

Total Interest Earned

₹0

Maturity Amount
₹0

TDS Deducted

₹0

No TDS applicable

Effective Annual Rate

7.00%

Base rate

Principal vs Interest Ratio

Deposit Growth Trajectory

Your Rate vs Other Debt Instruments (Historical Averages)

Benchmarks are long-run historical approximations, not guarantees — equity figures are shown only as an opportunity-cost reference, not a like-for-like risk comparison with FD/RD.

Yearly Breakdown Schedule

Year	Opening Principal	Yearly Deposit	Interest Accrued	Closing Maturity

Sensitivity: Maturity Value Across Rate & Duration

Years \ Rate

Highlighted cell matches your current inputs (pre-tax, FD-style lump sum for a like-for-like comparison).

📐 Mathematical Methodology & Verification

FD: A = P × (1 + r / f)^(f × t)
where P = principal, r = annual rate, f = compounding frequency per year, t = years

RD: each month's deposit is added to a running balance, and the running balance is compounded quarterly at r/4 —
there is no single closed-form formula because every installment earns interest for a different length of time

TDS Threshold: the calculator only deducts TDS if projected total interest in a year exceeds ₹40,000 (₹50,000 for senior citizens), matching Section 194A — checking the tax box does not force a deduction below that threshold.
Client-Side Execution: All calculations run locally in your browser. No financial data is transmitted.
Senior Citizen Rate: the +0.50% premium is a common industry norm, not a regulated minimum — confirm the exact figure with your bank.

Researched & Maintained by the KitnaPaisa Financial Team

KitnaPaisa provides free, transparent financial tools for Indian retail investors, adhering to standard compounding formulas and regulatory norms.

Understanding Bank Fixed & Recurring Deposits

A Fixed Deposit (FD) involves depositing a lump-sum amount for a fixed tenure at an agreed interest rate. A Recurring Deposit (RD) allows you to deposit a predetermined monthly installment, ideal for building capital systematically with zero market volatility.

Frequently Asked Questions

When is TDS actually deducted on FD/RD interest? ▼

Under Section 194A, banks deduct 10% TDS only once your total interest income from that bank crosses ₹40,000 in a financial year (₹50,000 for senior citizens). Below that threshold, no TDS is deducted even if the box is checked here. You can also submit Form 15G/15H to avoid TDS if your total income is below the taxable limit.

How is Recurring Deposit interest different from Fixed Deposit interest? ▼

An FD compounds a single lump-sum for the full tenure. An RD adds a fresh monthly deposit and compounds the running balance quarterly, so each installment earns interest for a different length of time depending on when it was deposited — the two cannot share one formula.

What is the Senior Citizen FD/RD rate advantage as of August 2026? ▼

Indian resident senior citizens (60 and above) are generally offered an additional 0.50% interest on regular bank FD and RD tenures, on top of whatever base rate the bank is currently offering. Confirm the exact premium with your bank since it varies by institution.