FD Calculator
Estimate fixed deposit maturity, interest payouts, effective yield, TDS, income tax, purchasing power and premature withdrawal value for regular and senior-citizen deposits.
Last Updated: July 22, 2026Calculate Fixed Deposit Returns
Use your bank's quoted rate and deposit terms. The projection separates gross interest, TDS and estimated final tax.
Enter valid figures and select Calculate FD.
| Period | Gross value | Interest to date | Estimated TDS to date | After estimated tax | Today's value |
|---|
TDS is a tax credit, not the final tax on FD interest. The calculator displays TDS and estimated income tax separately. Do not subtract both from your proceeds when estimating final wealth.
What Is an FD Calculator?
An FD calculator estimates the maturity amount and interest from a fixed deposit, also called a term deposit. You enter the principal, annual rate, tenure and interest-crediting option. The tool then applies the selected calculation method.
A cumulative FD reinvests credited interest. Future interest applies to principal plus earlier interest, so compounding raises the maturity value. A non-cumulative FD pays interest monthly, quarterly, half-yearly or yearly. The principal normally stays unchanged and returns at maturity.
This calculator also separates TDS from final income tax. That distinction matters because a bank's deduction does not settle your tax liability. Your interest remains taxable under the applicable rules, and the TDS reported against your PAN acts as credit when you file your return.
How to Use This FD Calculator
- Enter the lump-sum amount you plan to place in the deposit.
- Add the bank's quoted annual rate. Select senior citizen and enter the extra rate only when the product grants it.
- Enter tenure in months. Sixty months represents five years.
- Select cumulative growth or the required payout interval.
- Match the compounding frequency with the deposit terms. Indian cumulative bank FDs often use quarterly compounding, but policies differ.
- Select the TDS setting and a simplified marginal income-tax rate.
- Enter inflation for a purchasing-power estimate.
- For the early-closure illustration, add the shorter-tenure rate and penalty disclosed by your bank.
- Select Calculate FD and review gross value, tax estimates and the year-wise table.
Use the bank's official deposit receipt or rate card for the most reliable inputs. Promotional rates, callable and non-callable deposits, bulk deposits and special tenures may follow different terms.
Fixed Deposit Formula
For a cumulative deposit, the calculator uses the compound-interest formula:
A = P × (1 + r ÷ n)n × t
- A is gross maturity value.
- P is the original deposit.
- r is the nominal annual rate as a decimal.
- n is the number of compounding periods per year.
- t is tenure in years.
For a payout deposit, the gross-interest estimate is P × r × t. The payout per interval divides one year's interest by the number of payouts per year. Actual banks may calculate monthly payouts at a discounted rate or use their own day-count and rounding method.
Worked Example
Assume a regular resident deposits ₹5,00,000 for five years at 7% annual interest compounded quarterly.
- Principal: ₹5,00,000
- Tenure: 60 months
- Compounding periods: 4 per year
- Gross maturity value: about ₹7,07,390
- Gross interest: about ₹2,07,390
- Effective annual yield: about 7.19%
At a simplified 20% income-tax rate, estimated tax on the total interest is about ₹41,478, excluding cess and surcharge. This does not mean the bank deducts the same amount as TDS. TDS depends on interest credited in each tax year, the depositor category, PAN status and valid declarations.
Cumulative FD vs Interest Payout FD
| Feature | Cumulative FD | Payout FD |
|---|---|---|
| Interest handling | Reinvested | Paid at selected intervals |
| Maturity receipt | Principal plus compounded interest | Principal, after periodic interest payments |
| Typical purpose | Future lump-sum goal | Regular cash flow |
| Compounding benefit | Yes | Limited because interest leaves the deposit |
| Liquidity during tenure | No regular income | Scheduled interest income |
A cumulative option usually produces a higher total value when you do not spend or reinvest the payouts elsewhere. A payout FD may suit a person who wants predictable income. Compare the product's stated payout amount instead of assuming it equals the nominal annual rate divided evenly.
FD Interest, TDS and Income Tax
FD interest is generally taxable according to the depositor's applicable income-tax treatment. From April 1, 2026, Section 393 of the Income-tax Act, 2025 consolidates TDS provisions, including interest other than interest on securities. The bank, co-operative bank or notified post-office threshold is ₹50,000 for a person other than a senior citizen and ₹1,00,000 for a senior citizen. These limits were introduced from April 1, 2025 under the former Section 194A framework and continue under the current law. The threshold applies to aggregate interest credited or paid during the tax year, not the amount by which interest exceeds the limit.
The applicable standard TDS rate is 10% when PAN is furnished. A higher 20% setting remains useful for estimating deduction where PAN is not furnished. Under the Income-tax Rules, 2026, eligible taxpayers with nil estimated tax use consolidated Form 121 for a no-deduction declaration. Form 121 replaces the former Forms 15G and 15H. Review the official Income Tax Department Section 393 table and Form 121 guidance before relying on a declaration.
The calculator divides tenure into rolling 12-month blocks because it does not know the deposit start date or your bank's financial-year credit entries. Therefore, its TDS figure is an approximation. Other deposits with the same bank may push aggregate interest above the threshold.
TDS Is Not Final Tax
If your marginal tax on interest exceeds TDS, you may owe the difference. If valid tax is lower than TDS, you may claim credit and seek a refund through your return, subject to assessment. Check Form 16A, Form 26AS and the Annual Information Statement against your records.
Resident senior citizens may qualify for a deduction of up to ₹50,000 on eligible deposit interest under Section 153 of the Income-tax Act, 2025, subject to its conditions. This corresponds to former Section 80TTB. This calculator does not apply deductions, rebates, cess, surcharge, regime-specific rules or advance-tax provisions.
Senior Citizen FD Rates
Many banks quote a higher rate for eligible senior citizens, often through an additional spread over the regular card rate. The amount and eligible tenure depend on the bank and scheme. Enter the actual extra rate instead of assuming every bank offers 0.50%.
Selecting senior citizen in this tool changes two inputs. It adds the entered rate benefit and uses the ₹1,00,000 bank-interest TDS threshold. It does not automatically claim the Section 153 deposit-interest deduction, Form 121 eligibility or any income-tax rebate.
Premature Withdrawal Estimate
A premature closure usually applies the rate available for the period the deposit remained with the bank, then reduces that rate by the bank's stated penalty. It may not use the original contracted rate. The Reserve Bank of India says banks have freedom to determine their penal rates for premature withdrawal. Review the RBI term-deposit guidance and your bank's own policy.
This calculator applies: effective premature rate = shorter-tenure rate minus penalty, floored at 0%. It compounds the deposit to the chosen closure month. The output excludes TDS, tax, already paid interest, special lock-ins and recovery adjustments. A tax-saving five-year FD normally has a statutory lock-in and should not be treated like an ordinary callable deposit.
Effective Annual Yield and Inflation
The nominal rate is the advertised annual rate before the effect of within-year compounding. Effective annual yield uses:
Effective annual yield = (1 + r ÷ n)n − 1
At 7% nominal interest compounded quarterly, the effective annual yield is about 7.19%. A payout FD's effective yield equals its simple stated rate in this calculator because payouts are not reinvested.
Inflation-adjusted value divides the gross end value by (1 + inflation)years. This shows purchasing power in today's rupees. If an FD earns 7% and inflation averages 6%, the real growth before tax is small. Tax may reduce it further.
What to Check Before Opening an FD
- Compare the effective yield, not only the headline rate.
- Confirm whether the rate is cumulative, payout, callable, non-callable or tied to a special tenure.
- Check premature withdrawal rules and the shorter-tenure rate method.
- Review auto-renewal, nomination and maturity instructions.
- Check whether interest credits from all deposits at the bank cross the TDS threshold.
- Keep PAN and tax records updated.
- Understand deposit insurance coverage and avoid treating every issuer as equally safe.
- Match the maturity date with your planned expense.
A corporate deposit, non-banking finance company deposit or small-finance-bank deposit may offer a higher rate but carries its own credit, liquidity and coverage considerations. Rate alone does not establish safety.
Limitations of This FD Calculator
The tool assumes a fixed rate for the full tenure. It does not model changes after renewal, leap years, exact deposit dates, broken-period interest, day-count conventions, bank-specific rounding or discounted payout methods.
The TDS estimate uses rolling 12-month blocks and only this deposit. The tax estimate multiplies total interest by the selected marginal rate. It excludes cess, surcharge, deductions, rebates, relief, other income, multiple deposits and jurisdiction-specific rules. Non-resident deposits follow different tax and TDS provisions and are outside this tool's scope.
The premature value is an illustration based on your shorter-tenure rate and penalty inputs. The bank's final settlement statement controls the actual amount.
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Frequently Asked Questions
How accurate is this FD calculator?
The arithmetic follows the entered rate, tenure and selected method. Actual maturity may differ because banks use product-specific crediting, rounding, tax, day-count and premature-closure rules.
How is cumulative FD maturity calculated?
The calculator uses A = P × (1 + r ÷ n) raised to n × t, where principal, rate, compounding frequency and tenure determine gross maturity.
What is the FD TDS threshold for 2026?
Under Section 393 of the Income-tax Act, 2025, the bank, co-operative bank or notified post-office threshold is ₹50,000 for a person other than a senior citizen and ₹1,00,000 for a senior citizen.
Is TDS the final tax on FD interest?
No. TDS is tax credit. Final liability depends on taxable income, applicable regime, deductions, rebates and other rules. You may owe more or claim excess credit.
Does selecting senior citizen claim the deposit-interest deduction?
No. It only adds the entered rate benefit and applies the higher bank-interest TDS threshold. The calculator does not apply the current Section 153 deduction or any other deduction.
Which is better, cumulative or monthly payout FD?
Cumulative FD suits a future lump sum and compounds interest. Monthly payout FD suits regular cash flow but usually provides less compounding benefit.
What happens if the FD rate is 0%?
The gross end value equals principal. Interest, effective yield, TDS and estimated tax are zero.
How does premature FD withdrawal work?
A bank often applies the rate for the actual run period and a stated penalty. Exact treatment depends on its deposit terms and the product's lock-in rules.
Does the calculator include deposit insurance?
No. It calculates returns only. Verify the institution's eligibility and current insurance coverage separately before depositing money.