Free FD Maturity Calculator India — Fixed Deposit Maturity Amount

A fixed deposit (FD) pays a set interest rate for locking money away for a chosen term — safe and predictable. The detail people miss is compounding frequency: interest added quarterly earns slightly more than the same rate added annually, because you start earning interest-on-interest sooner. This tool computes your exact maturity amount, Effective Annual Yield (EAY), and a year-by-year breakdown for cumulative FDs, or a payout schedule for non-cumulative (monthly/quarterly) FDs.

How to use

  1. Enter the Principal — the amount you are depositing, in rupees.
  2. Enter the Interest Rate as a percentage per annum (e.g., type 7.1 for 7.1%).
  3. Enter the Tenure and select the unit — Years, Months, or Days.
  4. Optionally enter a Start Date — the tool will display the maturity date.
  5. Select the Payout Type — Cumulative (interest compounds), Monthly Payout, or Quarterly Payout.
  6. For cumulative FDs, select the Compounding Frequency — Quarterly is standard for most bank FDs.
  7. Optionally tick the Senior Citizen checkbox and edit the premium (default +0.50%) to match your bank's offer.
  8. Click Calculate. The results panel shows Principal, Interest, Maturity Amount, Effective Annual Yield, and Total Return %. Scroll down for the year-by-year breakdown (cumulative) or payout schedule (non-cumulative).

How it works

Cumulative FD (compound interest)

M = P × (1 + r/n) ^ (n × t)
  • M = Maturity Amount
  • P = Principal
  • r = Annual rate as decimal (7.1% → 0.071)
  • n = Compounding periods per year (quarterly → 4)
  • t = Tenure in years

Interest Earned = M − P

Effective Annual Yield (EAY) = (1 + r/n)^n − 1

EAY shows the true annual return accounting for intra-year compounding — it is the number to use when comparing FDs with different compounding frequencies.

Total Return % = Interest Earned ÷ Principal × 100 — this is the total gain over the full tenure, not an annual figure.

Non-cumulative payout

Monthly payout = P × r ÷ 12 per month Quarterly payout = P × r ÷ 4 per quarter

This is the standard P × r/n simple-interest-on-principal convention. Note that some banks use a slightly different "discounted rate" to equate the effective annual yield with the stated cumulative rate; this tool uses the simpler P × r/n convention shown in most term sheets.

Worked example (tool output: ₹1,00,000 @ 7.1%, 2 years, quarterly)

Input Value
Principal ₹1,00,000
Interest Rate 7.1% p.a.
Tenure 2 years
Compounding Quarterly (n = 4)

Calculation:

r/n = 0.071 ÷ 4 = 0.01775
M   = 1,00,000 × (1.01775)^8
    = 1,00,000 × 1.151142
    = ₹1,15,114.20
Result Value
Principal ₹1,00,000
Interest Earned ₹15,114.20
Maturity Amount ₹1,15,114.20
Effective Annual Yield 7.29%
Total Return % 15.11%

The EAY (7.29%) is the annualised return per year. The Total Return (15.11%) is the gain over the full 2-year tenure — these are intentionally different and both are shown.

Year-by-Year Breakdown (from tool):

Year Opening Balance Interest Earned Closing Balance
1 ₹1,00,000 ₹7,291.28 ₹1,07,291.28
2 ₹1,07,291.28 ₹7,822.92 ₹1,15,114.20

Year 2 earns ₹531.64 more than Year 1 — that is compounding.

Compounding frequency comparison (tool output: ₹1,00,000 @ 7.1%, 2 years)

Compounding Maturity Amount Effective Annual Yield
Annual ₹1,14,704.10 7.10%
Semi-Annual ₹1,14,974.20 7.23%
Quarterly ₹1,15,114.20 7.29%
Monthly ₹1,15,209.45 7.34%
Daily ₹1,15,256.07 7.36%

Use the EAY column — not the nominal rate — when comparing FDs across different compounding frequencies.

Common mistakes when comparing FDs

Comparing nominal rates across different compounding frequencies. A bank advertising 7.1% quarterly offers a higher effective rate than one advertising 7.1% annually. Use Effective Annual Yield.

Confusing Total Return % with Effective Annual Yield. A 2-year FD at 7.29% EAY shows 15.11% total return. The 15.11% is the cumulative gain — not an annual figure.

Using Annual for Post Office TD. Post Office Time Deposits compute interest quarterly. Select Quarterly compounding.

Ignoring the TDS threshold for multi-year FDs. Under s.194A (Finance Act 2025, from 1 Apr 2025), TDS applies when annual interest from a single bank branch exceeds ₹50,000 (general) or ₹1,00,000 (senior citizens). If your Year-by-Year table shows annual interest near these limits, consider submitting Form 15G or 15H.

How to use the Year-by-Year table for planning

Tax planning: Identify when annual interest first crosses ₹50,000 / ₹1,00,000. File Form 15G/15H before that FY starts if your total taxable income is below the exemption limit.

Rollover planning: When an FD matures, re-enter the maturity amount as the new principal and calculate a fresh term at the current rate. Compare the EAY of the new rate against your old rate.

Laddering: Split the corpus across FDs maturing at 1, 3, and 5 years. Use the tool to total the maturity amounts and compare with a single-FD scenario. Laddering reduces reinvestment risk at a small yield cost.

Sources

  • Income Tax Act, 1961 — s.194A (TDS on interest income), as amended by Finance Act 2025; thresholds ₹50,000 (general), ₹1,00,000 (senior citizens), effective 1 April 2025 — incometaxindia.gov.in
  • India Post / NSI — Post Office Time Deposit: quarterly compounding, annual credit — indiapost.gov.in
  • Reserve Bank of India — Master Direction on Interest Rate on Deposits — rbi.org.in

Last updated: October 2026

Frequently Asked Questions

What is the FD interest calculation formula?
For cumulative FDs: Maturity Amount = P × (1 + r/n)^(n×t), where P is principal, r is the annual interest rate as a decimal, n is the number of compounding periods per year, and t is the tenure in years.
What compounding options are available?
The cumulative mode supports five compounding frequencies: Annual (n=1), Semi-Annual (n=2), Quarterly (n=4), Monthly (n=12), and Daily (n=365). Most Indian bank FDs compound quarterly.
How do I enter tenure in months or days instead of years?
Use the Tenure unit selector to switch between Years, Months, or Days. The tool converts the tenure to a decimal number of years internally.
What is Effective Annual Yield and how does it differ from Total Return?
Effective Annual Yield (EAY) = (1 + r/n)^n − 1. It is the annualised return accounting for intra-year compounding — always ≥ the nominal rate. For a 7.1% quarterly FD, EAY = 7.29%. Total Return % = (Interest Earned ÷ Principal) × 100 — it is the cumulative return over the entire tenure (e.g., 15.11% for a 2-year FD). Both are shown in the results.
What is the senior citizen rate premium?
Banks typically offer an additional 0.25%–0.75% interest rate to senior citizens (age ≥ 60). The premium varies by bank. The tool defaults to +0.50%, which you can edit to match your bank's actual offer. This is indicative — verify with your bank.
What is the difference between cumulative and non-cumulative FDs?
Cumulative FDs compound the interest and pay everything at maturity. Non-cumulative FDs pay out interest periodically (monthly or quarterly) while returning only the principal at maturity. Monthly/quarterly payout modes show the periodic interest payment using the P × r/n convention.
What is the TDS threshold on FD interest?
With effect from 1 April 2025 (Finance Act 2025 amendment to s.194A, Income Tax Act 1961), banks deduct TDS when annual interest from a single bank branch exceeds ₹50,000 for general depositors and ₹1,00,000 for senior citizens. Submit Form 15G (general) or Form 15H (senior citizens) to avoid TDS if your total income is below the taxable limit.
How does the Post Office Time Deposit compound interest?
Post Office Time Deposits (National Savings Time Deposits) compound quarterly but credit interest annually at maturity. When using this tool, select Quarterly compounding.
Does the tool show TDS-adjusted returns?
No. The tool shows gross interest before TDS. Your bank statement or Form 26AS will show the net interest after TDS deduction.