RD calculator

A recurring deposit adds a fixed amount every month. This shows the maturity value as banks work it out, and what it is worth after tax and inflation.
Your recurring deposit
Your income-tax slab
Maturity value: ₹4,01,373
₹3,60,000 deposited, ₹41,373 interest. Effective yearly rate 7.19%.
₹3,92,338
after about ₹9,035 of income tax at 20% plus cess
₹3,38,916
the after-tax amount in today's rupees, at 5% inflation
0.66%
yearly growth after tax and inflation (the real return)

How it is worked out

Each monthly instalment earns interest compounded quarterly for the months it stays deposited: the first instalment for the whole tenure, the last for one month. The maturity is the sum of all of them, which is how most Indian banks calculate RDs; small differences from a bank's figure come from rounding and exact day counts.

RD interest is taxed at your slab every year, like FD interest. The after-tax and today's-rupees figures are worked out the same way as on the FD calculator.

Questions

How is RD maturity calculated?

Each monthly deposit earns interest compounded quarterly for the time it stays deposited, and the maturity is the total. ₹5,000 a month for 12 months at 7% matures to about ₹62,300.

Is RD interest taxable?

Yes, at your income-tax slab, every year it accrues. TDS applies above the yearly threshold.

RD or SIP: which grows more?

An RD pays a stated interest rate. A SIP in a fund has no stated return and can fall as well as rise. See past SIP results for real companies on the Past SIP page; past results do not indicate future ones.

Educational calculator only, not financial, tax or investment advice. Results follow the formulas and the assumptions you enter; actual amounts depend on your lender, bank, employer and the rules that apply to you. Past performance does not indicate future results. Read the Disclaimer.