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🐖 RD Calculator

Calculate recurring deposit maturity amount and see how your monthly savings grow over time

💼 RD Details
Monthly Deposit ?₹5,000
₹100₹50K₹1L
₹
Tenure (Months) ?24 Months
6 M5 Yrs10 Yrs
📈 RD Results
Maturity Amount
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Total Invested
—
Interest Earned
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Investment vs Returns
Monthly Growth
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Enter RD Details

Set your monthly deposit, interest rate, and tenure to calculate maturity value.

Formula

RD Maturity Calculation

Recurring deposits use quarterly compounding by default in India

RD Maturity Formula
M = R × [(1+r/4)^(4n/12) - 1] / (1-(1+r/4)^(-1/3))

Simplified approach (monthly compounding):
M = P × n + P × n × (n+1) × r / (2 × 12 × 100)

Where R = Monthly deposit, r = Annual rate, n = Tenure in months
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Regular Savings Habit

RD enforces a disciplined savings habit. A fixed monthly debit ensures you save consistently, making it ideal for building an emergency fund or saving for a specific goal.

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RD vs FD vs SIP

RD suits goal-based savings with monthly deposits. FD is for lump-sum investment. SIP offers market-linked returns but with volatility. RD offers certainty with competitive bank rates.

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RD Tips

  • Post Office RD offers 6.7%/yr (2025) — safe and reliable
  • Banks offer 6–7.5% for 1–3 year tenure
  • Interest is taxable — include in income tax returns
  • Automate RD with standing instructions for discipline
FAQ

Frequently Asked Questions

Common questions about recurring deposits

What is the minimum RD tenure?
Most banks offer RD with minimum tenure of 6 months and maximum of 10 years. Post Office RD has a fixed tenure of 5 years. Some banks also offer flexible tenure in multiples of 3 months.
Can I withdraw RD amount before maturity?
Yes, premature closure is allowed but attracts a penalty of 1–2% on the contracted rate. The interest will be recalculated at the rate applicable for the period held, minus penalty charges.
Is RD interest taxed?
Yes. RD interest is added to your income and taxed at your slab rate. TDS is deducted if total interest across all deposits exceeds ₹40,000 per year (₹50,000 for seniors). You can submit Form 15G/15H if your income is below taxable limit.
What happens if I miss an RD installment?
Missing installments attracts a penalty fee (typically ₹1–₹2 per ₹100 per month). Most banks allow a grace period of 15–30 days. If installments are missed for 4+ consecutive months, the RD may be automatically closed with reduced interest.

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