FD & RD Calculator
Fixed and recurring deposit maturity with quarterly compounding, plus the effect of TDS.
Formula
FD: A = P(1 + r/4)^(4t) · RD compounds each instalment quarterly
Tips
- FD interest is fully taxable at your slab rate, which is why a 7% FD returns under 5% after tax for someone in the 30% bracket.
- Banks deduct TDS once interest exceeds the annual threshold, but TDS is not the final tax — the balance is still due at your slab rate.
- Most banks compound quarterly, which is what this uses. Some products pay simple interest or pay out monthly; check before comparing.
- Breaking an FD early usually costs a penalty of 0.5% to 1% on the applicable rate.
Frequently asked questions
Why is my RD maturity lower than an FD of the same total?
Because each RD instalment is invested for a shorter period. The first earns interest for the full term, the last for barely a month, so the average holding period is roughly half the tenure.