RD Calculator
Work out the maturity value and total interest on a recurring deposit. Enter your monthly deposit, interest rate, tenure and compounding frequency to see how your savings grow.
Most Indian banks compound recurring deposit interest quarterly. Adjust the frequency to match your bank or scheme.
Frequently Asked Questions
How is RD interest compounded?
Indian banks usually compound recurring deposit interest quarterly, so the default here is quarterly. Each monthly deposit then earns interest for the remaining months until maturity. You can switch to monthly, half-yearly or annually to match your bank or scheme.
Is RD interest taxable?
Yes. Recurring deposit interest is taxable as income, added to your total and taxed at your applicable slab rate. Banks may also deduct TDS once interest crosses the threshold. The figures shown here are gross interest before any such tax.
Can I use this outside India?
Yes. The calculator is currency-aware and works for any recurring savings plan. Just enter your own monthly deposit, interest rate, tenure and the compounding frequency your bank uses.
Understanding the RD Calculator
A recurring deposit (RD) lets you invest a fixed amount every month and earn compound interest until maturity. This RD calculator shows exactly what your monthly savings will grow into. Enter your monthly deposit, the annual interest rate, the tenure, and how often interest compounds, and it instantly returns your maturity value, the total amount you deposited, and the interest you earned. Because each installment is invested at a different time, every deposit earns interest for a different length of time, which is tricky to work out by hand. The calculator is fully currency-aware, so it works for Indian RDs as well as recurring savings plans anywhere in the world.
How it works
You provide four inputs: the monthly deposit, the annual interest rate, the tenure (in months or years), and the compounding frequency. Indian banks typically compound RD interest quarterly, so that is the default. The tool steps through the schedule month by month: at the start of each month it adds your deposit to the running balance, then applies interest for that month using a monthly rate derived from your chosen compounding frequency. Earlier deposits therefore compound for longer than later ones. After the final month it reports the maturity value, separates out how much you contributed versus how much is interest, and plots a year-by-year growth chart so you can see the balance pulling ahead of your deposits over time.
Worked example
Suppose you deposit 5,000 a month for 24 months at 7% annual interest, compounded quarterly. Over two years you contribute 5,000 × 24 = 120,000. Because each installment keeps earning until maturity, the balance grows to roughly 129,100 — meaning you earn about 9,100 in interest on top of your deposits. A longer tenure or higher rate widens that gap further, since the earliest deposits compound for the most months.
Tips & common mistakes
- Indian banks usually compound RD interest quarterly — keep the default quarterly setting unless your bank states otherwise.
- Starting earlier or extending the tenure boosts maturity more than a small rate increase, because early deposits compound the longest.
- RD interest is taxable as income at your slab rate, and banks may deduct TDS once interest crosses the threshold — the figures here are gross, before tax.
- Missing or delaying an installment usually attracts a penalty and reduces your maturity value, so automate the monthly transfer.
- Outside India, match the compounding frequency to your own bank's recurring-savings terms before relying on the result.
- Compare the maturity here against a SIP or fixed deposit for the same amount to see which suits your risk and liquidity needs.
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Reviewed by the TopOpenTools editorial team · Last updated June 2026. These tools provide general estimates for educational purposes only and are not financial, tax, insurance, investment, or medical advice. Verify important decisions with a qualified professional.