RD Calculator
Get your recurring deposit maturity value and interest with quarterly compounding — plus a year-by-year schedule and a TDS estimate.
Maturity value
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Total deposited
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Total interest
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Maturity value
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TDS estimate
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Balance over time
Deposits vs interest
- Total deposited ₹0
- Total interest ₹0
- Maturity value ₹0
Year-by-year breakdown
Your deposits and quarterly-compounded interest each year.
| Year | Deposited | Interest | Balance |
|---|
How a recurring deposit works
A recurring deposit (RD) lets you invest a fixed amount every month at a guaranteed interest rate, making it perfect for building savings gradually. Interest is compounded quarterly — the standard used by banks and post offices — and each monthly installment earns interest for the rest of the tenure. So your first deposit works the hardest, and the total interest grows faster in the later years, exactly as the chart and year-by-year table above show.
RD interest calculation, explained
Because RD interest compounds quarterly while you deposit monthly, the maturity value adds up each installment’s compounded growth:
- Maturity = P × Σ (1 + i)(n − k + 1) for each month k
where P is the monthly deposit, n the number of months and i the monthly-equivalent of the quarterly rate. You don’t need to compute this by hand — the calculator simulates every month so the figure matches your bank or post office exactly.
TDS on recurring deposits
Banks deduct 10% TDS on RD interest once your interest in a financial year crosses ₹40,000 (₹50,000 for senior citizens); it is 20% without a PAN. TDS is advance tax and your final liability depends on your slab — verify it with the income tax calculator, and submit Form 15G/15H if your income is below the taxable limit.
RD vs FD and SIP
Choose an RD to save a fixed sum monthly at a guaranteed rate, a fixed deposit for a one-time lump sum, or a market-linked SIP for potentially higher long-term returns. RDs are ideal for short, safe goals; SIPs suit long-term wealth building. Compare the numbers side by side using the calculators.
Frequently asked questions
How is RD interest calculated?
A recurring deposit earns interest that is compounded quarterly, the standard used by banks and post offices. Because you deposit every month, each installment earns interest for the remaining months of the tenure. The first installment compounds for the full tenure while the last one compounds for just a month, so the earlier you start, the more interest each rupee earns. This calculator runs the full month-by-month compounding for you.
What is the RD interest calculation formula?
The maturity value is M = P × Σ (1 + i)^(n − k + 1) for each installment k from 1 to n, where P is the monthly deposit, n the number of months and i the monthly-equivalent rate derived from the quarterly rate. In practice the calculator simulates every month with quarterly compounding, which gives the exact bank/post-office figure without you needing the formula.
How much will I get from a Rs 5,000 monthly RD?
Depositing Rs 5,000 a month for 5 years (60 months) at 7% compounded quarterly grows to about Rs 3,58,000 at maturity, of which Rs 3,00,000 is your deposits and roughly Rs 58,000 is interest. Enter your own monthly amount, rate and tenure above to see the exact figure and the year-by-year schedule.
Is TDS deducted on RD interest?
Yes. Like fixed deposits, banks deduct 10% TDS on recurring-deposit interest if your total interest in a financial year exceeds Rs 40,000 (Rs 50,000 for senior citizens); it is 20% without a PAN. TDS is advance tax — your final liability depends on your slab, and you can submit Form 15G/15H if your income is below the taxable limit. The calculator shows an estimate based on your interest.
What is the minimum and maximum RD tenure?
Bank recurring deposits typically run from 6 months to 10 years, in multiples of 3 months, while a post-office RD has a fixed 5-year term. You can choose any tenure in years and months above to match your bank’s options.
RD vs FD vs SIP — which is better?
An RD is best when you want to save a fixed amount every month at a guaranteed rate. An FD suits a one-time lump sum, while an SIP invests monthly in mutual funds for potentially higher but market-linked returns. Many people use an RD for short-term, safe goals and an SIP for long-term wealth. Compare them using our FD and SIP calculators.