FD Calculator
Calculate Fixed Deposit maturity with monthly, quarterly, half-yearly, or yearly compounding.
Written by Anil Gautam · Updated
How is FD maturity calculated?
The calculator uses A = P × (1 + r/n)^(n × t), where P is the principal, r the annual rate, t the tenure in years and n the number of compounding periods a year: 12, 4, 2 or 1. For ₹1,00,000 at 7% for 5 years compounded quarterly, the rate per quarter is 1.75% across 20 quarters, and 1.0175 raised to the 20th power is about 1.41478. Maturity is ₹1,41,478, of which ₹41,478 is interest.
The same deposit gives ₹1,41,763 with monthly compounding, ₹1,41,060 half-yearly and ₹1,40,255 yearly, a spread of about ₹1,500. Raising the rate to 7.5% with quarterly compounding gives ₹1,44,995, so half a percentage point of rate moves the result more than the compounding choice.
How do you compare FD rates with different compounding?
Convert each one to an effective annual rate: (1 + r/n)^n minus 1. At 7%, quarterly compounding works out to 7.186% a year, monthly to 7.229% and half-yearly to 7.122%, while yearly stays at 7%. One year at 7% compounded quarterly turns ₹1,00,000 into ₹1,07,186, which is that 7.186% in rupees. Comparing effective rates puts deposits with different compounding on the same footing. At 7% compounded quarterly, money roughly doubles in 10 years: ₹1,00,000 grows to ₹2,00,160.
Banks quote different rates for different tenures, so enter the rate for the exact tenure you plan to book. If you qualify for a senior citizen rate, enter that rate, because the calculator has no separate senior option. Closing a deposit early brings the bank's premature withdrawal terms into play, and the maturity shown here no longer applies.
Does the result apply to interest payout FDs?
The calculator assumes a cumulative deposit, where interest stays in the account and earns more interest until maturity. A payout deposit sends interest to your savings account as it falls due, so nothing compounds. At 7% with quarterly payout, ₹1,00,000 earns ₹1,750 a quarter, ₹35,000 over 5 years, and the principal comes back at maturity.
Inputs move in fixed steps: principal from ₹1,000 to ₹1 crore in ₹1,000 steps, rate from 1% to 15% in steps of 0.1, and tenure in whole years from 1 to 20, so tenures such as 444 days or 18 months cannot be entered. All figures are before tax. For monthly deposits, RD Calculator fits better, and PPF Calculator handles a PPF account.