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- Enter your monthly deposit, interest rate and tenure to see the maturity value.
- Uses quarterly compounding by default, the method Indian banks and India Post follow.
- Shows total deposited, interest earned and the balance at the end of each year.
- Supports INR, USD and GBP, with optional tax on interest.
How to use the RD calculator
Pick a currency
Choose ₹ INR for an Indian bank or post office RD, or $ / £ if you are planning a regular savings account elsewhere.
Enter the monthly deposit
This is the fixed amount you pay into the RD every month, for example ₹5,000.
Add the rate and tenure
Type the yearly interest rate your bank quotes and the tenure in years or months.
Check the advanced options
Change the compounding frequency if your bank uses a different one, and add a tax rate to see the amount after tax on interest.
How RD maturity is calculated
A recurring deposit is a series of small fixed deposits. Every instalment earns interest from the month it is paid until the maturity date, so the first deposit earns interest for the full tenure and the last one for just one month. The calculator adds up the value of every instalment at maturity.
RD maturity formula
Maturity = Σ R × (1 + r/n)n × m / 12
R = monthly deposit, r = yearly rate as a decimal
n = compounding periods per year (4 for quarterly)
m = months that instalment stays invested (N for the first, 1 for the last)
Banks quote the same result as M = R × [(1 + i)q − 1] ÷ [1 − (1 + i)−1/3], where i = r ÷ 4 and q is the number of quarters.
Interest on an RD is compounded, but because money goes in gradually, the interest is much smaller than on a fixed deposit of the same total amount. On average your money is invested for only about half the tenure.
RD calculation examples
Example 1: ₹5,000 a month for 5 years
You open a 5-year RD at 7% a year, compounded quarterly.
About 17% of the maturity amount is interest, even though the rate is 7% a year, because the later instalments are invested for a short time.
Example 2: ₹2,000 a month for one year
A one-year RD at 6.5% compounded quarterly.
Short RDs earn little interest in absolute terms, so they suit goals like a festival budget or an insurance premium due next year.
Reference: ₹1,000 a month at 7% (quarterly)
Maturity value by tenure.
Scale the figures in proportion: ₹5,000 a month gives five times these amounts.
Where an RD calculator helps
Saving for a goal
Find the monthly deposit you need to reach a target such as a down payment or school fees.
Comparing banks
A small change in rate or compounding frequency changes the maturity value; compare offers side by side.
India Post RD
Post office RDs run for 5 years with quarterly compounding, which matches the default settings.
Regular savers abroad
UK regular saver and US automatic savings plans work the same way; switch the currency and compounding.
This calculator gives an estimate based on a fixed rate. Banks round interest, may credit it on different dates and deduct TDS, so the final amount can differ slightly. Check the exact terms with your bank. For investments with market returns, use the SIP calculator.
RD calculator FAQ
What is a recurring deposit?
It is a savings product where you deposit a fixed amount every month for a set tenure and receive the deposits plus interest at maturity. It is offered by Indian banks and India Post.
How is RD interest compounded?
Most Indian banks and the post office compound RD interest every quarter. The calculator uses quarterly by default and lets you choose monthly, half-yearly or yearly.
Why is my RD interest lower than the interest rate suggests?
Each instalment is invested for a different time. The first earns interest for the full tenure, the last for only one month, so overall interest is far lower than rate × total deposited.
Is RD interest taxable?
In India, RD interest is added to your income and taxed at your slab rate, and banks may deduct TDS. Enter your tax rate in the advanced options to see the post-tax figure.
What happens if I miss an RD instalment?
Banks usually charge a small penalty and may close the account after several missed payments. The calculator assumes every instalment is paid on time.
RD or FD: which earns more?
For the same rate, an FD earns more because the full amount is invested from day one. An RD suits people who save from monthly income rather than a lump sum.