FD calculator
Fixed deposit maturity and compound interest
Worked example
Using the default values, fd calculator gives a maturity value of ₹1,40,255.
| Item | Value |
|---|---|
| Tenure | 5 years |
| Matures around | 2031 |
| Growth multiple | 1.4× |
| Effective yield | 7.0% p.a. |
| Maturity value | ₹1,40,255 |
What you need
- Principal
- Interest rate
- Tenure
- Compounding
- The interest is
Questions
Is FD interest taxable?
Yes, at your slab rate, in the year it accrues rather than when you receive it. Banks deduct TDS at 10% once interest crosses ₹50,000 a year, or ₹1,00,000 for senior citizens.
Does compounding frequency matter much?
A little. On ₹1 lakh at 7% for five years, monthly compounding gives roughly ₹1,500 more than yearly. Most Indian banks compound quarterly.
Important
Interest is taxable at your slab rate in the year it accrues, whether or not you receive it — so a cumulative deposit still creates a liability each year. Banks deduct TDS at 10% once interest crosses ₹50,000 a year, or ₹1,00,000 for senior citizens. Submit Form 15G or 15H if your total income is below the taxable limit.