FD Calculator
Plan your investments with precision using our Fixed Deposit Calculator.
What is an FD Calculator?
An FD Calculator is a simple online tool that helps you estimate the returns on your Fixed Deposit (FD) investments. Fixed Deposits are one of the safest investment options in India, offering guaranteed returns over a fixed tenure. Whether you are a senior citizen looking for steady income or a young professional saving for a goal, this tool helps you calculate the maturity amount and total interest earned instantly.
How It Works
The calculator uses the compound interest formula to determine your maturity amount. It takes into account your principal amount, the rate of interest, and the tenure of the deposit. Most banks compound interest quarterly, which yields higher returns than simple interest.
Example Calculation
Rahul invests ₹1,00,000 in an FD for 5 years at an interest rate of 7% p.a., compounded quarterly.
- 1.Principal (P) = ₹1,00,000
- 2.Rate (r) = 7% or 0.07
- 3.Tenure (t) = 5 years
- 4.Compounding (n) = 4 (Quarterly)
- 5.Calculation: 100000 * (1 + 0.07/4)^(4*5)
- 6.Maturity Amount = ₹1,41,477
- 7.Interest Earned = ₹41,477
Why This Tool is Useful
- ✓Saves time by performing complex compound interest calculations instantly.
- ✓Helps compare returns from different banks by changing interest rates.
- ✓Assists in financial planning by showing exact maturity values.
- ✓Eliminates manual calculation errors.
- ✓Provides a clear breakdown of principal vs. interest components.
Tips & Comparison
- •Senior citizens usually get 0.5% extra interest. Always check for special rates.
- •FD interest is taxable. If interest exceeds ₹40,000 (₹50k for seniors), TDS is deducted.
- •5-year Tax-Saving FDs offer deductions under Section 80C but have a lock-in period.
- •Cumulative FDs reinvest interest for higher yields, while Non-Cumulative FDs pay out interest regularly.