100% Guaranteed Returns

Recurring Deposit (RD) Calculator

Calculate your guaranteed maturity value. Uses precise quarterly compounding logic standard across all major banks.

Monthly Deposit Amount
500 1 Lac+
Interest Rate (p.a)
%
1% 15%
Time Period (Years)
Yr
1 Yr 10 Yr
Total Maturity Value
3,59,388
Guaranteed
Returns
Total Invested
3,00,000
Est. Interest
59,388
RD interest is compounded Quarterly. Your monthly deposits accumulate safely.

Recurring Deposit (RD) Calculator: Secure Your Savings (2026)

🏦 2026 Savings Tip: While Equity SIPs offer higher returns, they come with market risks. If you are saving for a short-term goal (like a wedding, paying school fees, or buying a car in the next 1-3 years), a Recurring Deposit (RD) is your safest bet. In 2026, many Indian banks and Post Offices compound RD interest quarterly, ensuring your guaranteed returns grow faster over time.

A Recurring Deposit (RD) is one of the most trusted saving schemes in India, offered by all major public, private banks, and the India Post. It allows you to deposit a fixed amount every month for a pre-determined tenure and earn interest at rates similar to Fixed Deposits (FDs). Our India RD Calculator helps you accurately estimate your total maturity amount and the exact interest you will earn, taking into account the complex quarterly compounding formula used by Indian financial institutions.

How to Calculate Your Guaranteed RD Maturity

Plan your risk-free savings easily with these steps:

  1. Enter Monthly Deposit: This is the fixed amount you commit to saving every month. You can start a Post Office RD with as little as ₹100 per month!
  2. Select the Tenure: RDs are highly flexible. You can open a bank RD for as short as 6 months or as long as 10 years. Post Office RDs typically have a fixed 5-year lock-in period.
  3. Input the Interest Rate: In 2026, standard bank RD rates usually range between 6.5% to 7.5%, depending on the tenure. Bonus: Senior citizens generally get an extra 0.50% interest.
  4. View Your Maturity Amount: The calculator will instantly split your results into ‘Total Investment Amount’ and ‘Total Interest Earned’, giving you a clear picture of your guaranteed payout.

Frequently Asked Questions (RD in India)

1. How is Recurring Deposit (RD) interest calculated in India?
In India, most banks and post offices compound RD interest quarterly. This means the interest earned in the first quarter is added to the principal, and in the next quarter, you earn interest on both your deposit and the previously earned interest. Our calculator automatically applies this quarterly compounding formula.
2. Is RD interest tax-free?
No, the interest earned on an RD is fully taxable. It is added to your annual income and taxed according to your income tax slab. Additionally, if your RD interest exceeds ₹40,000 in a financial year (₹50,000 for senior citizens), the bank will deduct a 10% TDS (Tax Deducted at Source) unless you submit Form 15G/15H.
3. What is the difference between RD and SIP?
An RD (Recurring Deposit) offers fixed, guaranteed returns backed by the bank or government, making it 100% safe but with lower returns. An SIP (Systematic Investment Plan) invests your money in market-linked Mutual Funds, offering higher potential returns but with a risk of short-term losses. RD is best for short-term goals (< 3 years), while SIP is best for long-term wealth creation (> 5 years).
4. Can I withdraw my RD money before maturity?
Yes, banks allow premature withdrawal of RDs, but it comes with a penalty. Usually, the bank will pay you 1% to 2% less than the applicable interest rate for the period the deposit was actually held. It is always better to align your RD tenure with your financial goals to avoid these penalties.
5. Which is better: Bank RD or Post Office RD?
Post Office RDs often provide slightly higher interest rates than regular public sector banks and offer sovereign guarantee (100% backed by the Govt of India). However, they have a strict 5-year tenure. Bank RDs offer more flexibility in tenure (from 6 months to 10 years) and are easier to manage online through net banking.