Recurring deposit details
RD maturity estimate
Year-wise growth
| Year | Deposited (total) | Interest (total) | Balance |
|---|
How this RD calculator works
A recurring deposit (RD) lets you save a fixed amount every month and earn a fixed rate of interest. Enter your monthly instalment, the rate and the tenure to see the RD maturity amount, total interest, maturity date, a year-wise table and a TDS estimate. Switch to goal mode to see how much you need to save each month to reach a target, such as ₹5 lakh in 5 years.
Banks and India Post compound RD interest every quarter. Each instalment earns interest for the months it stays in the account, so the first one earns the most and the last one earns the least. The standard formula is M = R × [(1 + i)n − 1] ÷ [1 − (1 + i)−1/3], where R is the monthly instalment, n the number of quarters and i the yearly rate ÷ 400. The calculator adds up each instalment separately, which gives the same answer and also works for tenures that are not whole quarters.
Worked examples (checked against published figures)
| Monthly | Rate | Tenure | Maturity | Published example |
|---|---|---|---|---|
| ₹5,000 | 8% | 1 year | ₹62,647 | ICICI Bank RD calculator page |
| ₹100 | 6.7% | 5 years | ₹7,137 (₹7,136.58) | India Post 5-year RD table (₹7,136) |
| ₹1,000 | 6.7% | 5 years | ₹71,366 | Post Office RD at 6.7% |
| ₹5,000 | 7% | 5 years | ₹3,59,664 | HDFC Bank FAQ (≈ ₹3,59,696) |
Post Office RD vs bank RD
- Post Office RD: a fixed 5-year term, from ₹100 a month in multiples of ₹10, at 6.7% compounded quarterly for October–December 2026. The rate was unchanged in the Finance Ministry's 30 September 2026 review. No TDS is deducted.
- Bank RD: tenures from 6 months to 10 years. The rate depends on the bank and the tenure, and most banks add about 0.50% for senior citizens. TDS applies when your total interest from that bank crosses ₹50,000 in a financial year (₹1,00,000 for seniors).
- Tax: RD interest is added to your income and taxed at your slab rate, even when no TDS is deducted.
Have a lump sum instead? Use the FD calculator. For tax-free long-term savings try the PPF calculator. For market-linked monthly investing see the SIP calculator, and check the tax on your interest with the income tax calculator.
Frequently asked questions
How is RD maturity calculated?
Interest is compounded quarterly. Maturity M = R × [(1+i)^n − 1] ÷ [1 − (1+i)^(−1/3)], where R is the monthly instalment, n the number of quarters and i the yearly rate ÷ 400. For example, ₹5,000 a month at 8% for 1 year gives ₹62,647.
What is the Post Office RD interest rate now?
6.7% a year, compounded quarterly, for the 5-year Post Office RD in October–December 2026. The Finance Ministry kept it unchanged on 30 September 2026.
How much will I get if I deposit ₹1,000 a month in a Post Office RD?
About ₹71,366 after 5 years at 6.7%. You deposit ₹60,000 and earn about ₹11,366 in interest. For ₹100 a month it is about ₹7,136.
How much should I save monthly to get ₹5 lakh?
At 6.7% for 5 years you need about ₹7,007 a month. Switch to 'Find monthly amount for a goal' and enter your own target, rate and tenure.
Is TDS deducted on RD interest?
For bank RDs, yes: 10% (20% without PAN) when your total interest from that bank crosses ₹50,000 in a financial year, or ₹1,00,000 for senior citizens. Post Office RDs have no TDS, but the interest is still taxable.
RD or FD: which gives more?
For the same rate and tenure, an FD earns more because the whole amount earns interest from day one. An RD suits you when you save from your monthly income rather than investing a lump sum.
What happens if I miss an RD instalment?
Banks and post offices charge a small penalty for late instalments, and several missed instalments in a row can lead to the account being closed. Setting up auto-debit avoids this.