FD Calculator
Estimate your fixed deposit maturity amount and interest. Actual payout may vary by bank rules, compounding frequency, tax, and tenure.
What is a fixed deposit?
A fixed deposit, or FD, is a deposit where you keep money with a bank or financial institution for a fixed period. In return, you earn interest at a rate decided when you open the FD.
How FD maturity is calculated
This calculator estimates maturity using annual compounding: maturity amount = principal x (1 + rate / 100) ^ years. Some banks compound quarterly, monthly, or at a different frequency, so the actual maturity amount may be slightly different.
Example: Rs. 1,00,000 FD for 5 years
If you invest Rs. 1,00,000 for 5 years at an assumed 7% annual interest rate, the estimated maturity value is about Rs. 1.40 lakh. The final amount can vary based on bank compounding, tax, and withdrawal rules.
FD vs SIP: short comparison
FD
Usually more stable, offers fixed interest, and works well for short-term goals or conservative savings.
SIP
Market-linked, better suited for long-term wealth building, and returns can move up or down.
FD taxation note
FD interest is taxable as per your income tax slab. Banks may deduct TDS if your yearly interest crosses the applicable limit. Please verify the latest limit from official income tax or bank sources.
Common mistakes beginners make
- Comparing only the interest rate and ignoring premature withdrawal rules.
- Forgetting that FD interest is taxable as per your income tax slab.
- Putting all emergency money into long lock-in deposits.
- Not checking senior citizen rates if eligible.
- Ignoring deposit insurance limits and bank-specific terms.
Important disclaimer
Rupeely provides calculators and educational information only. We do not provide investment, tax, or legal advice. Please check the latest bank terms and consult a qualified advisor before making financial decisions.
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Frequently Asked Questions
1. What is a fixed deposit?
A fixed deposit is a bank deposit where you invest money for a fixed time and earn interest at a fixed rate.
2. Are FD returns guaranteed?
FD interest is fixed by the bank for the chosen tenure, but you should still check bank rules, insurance limits, and premature withdrawal conditions.
3. Is FD interest taxable?
Yes. FD interest is taxable as per your income tax slab. Banks may deduct TDS if your yearly interest crosses the applicable limit.
4. Can I break an FD before maturity?
Most banks allow premature withdrawal, but they may reduce the interest rate or charge a penalty. Check your bank's terms first.
5. How accurate is this FD calculator?
This calculator gives an estimate based on the principal, interest rate, and tenure you enter. Actual bank payout may vary due to compounding frequency, tax, or bank rules.