Fixed Deposit (FD) Calculator
Calculate your guaranteed returns on Fixed Deposits. Find out the maturity amount and total interest earned instantly.
FD Details
Maturity Details
Understanding Fixed Deposits in India
A Fixed Deposit (FD) is one of the safest investment instruments available in India, offered by banks and Non-Banking Financial Companies (NBFCs). You deposit a lump sum amount for a specific period at a predetermined interest rate, guaranteeing your returns irrespective of market fluctuations.
How FD Interest is Calculated
In India, most banks use the compound interest formula to calculate FD returns, compounding the interest on a quarterly basis. The formula used is:
- A: Maturity Amount
- P: Principal Investment Amount
- r: Annual Interest Rate (in decimal)
- n: Number of times interest is compounded per year (usually 4 for quarterly)
- t: Tenure of the FD in years
Tax Implications on FD Returns
FD interest is generally taxable. From 1 April 2025, the bank-interest TDS thresholds under section 194A are ₹50,000 for other resident payees and ₹1,00,000 for resident senior citizens, subject to the applicable conditions. TDS is withholding, not the final tax owed. This calculator shows a pre-tax estimate. Check the Income Tax Department's section 194A guidance and your own circumstances.
Frequently Asked Questions (FAQ)
What is a Fixed Deposit (FD)?
A Fixed Deposit (FD) is a secure financial instrument offered by banks and NBFCs in India where you deposit a lump sum amount for a fixed tenure at a guaranteed interest rate.
How is interest compounded on an FD?
Most Indian banks compound Fixed Deposit interest on a quarterly basis. Some banks also offer options for monthly or annual payout frequencies.
Is FD interest subject to tax?
FD interest is generally taxable. The maturity shown here is before tax; your final liability depends on your income and applicable rules. A TDS deduction is not a calculation of your final tax.