RD Calculator

What is RD?

A Recurring Deposit (RD) is a bank product where you deposit a fixed amount every month for a fixed tenure and earn interest. Unlike a Fixed Deposit (FD), you do not need a lump sum upfront; you build savings through regular monthly instalments. At maturity, you get back the sum of all your deposits plus the interest earned. Most banks in India compound RD interest quarterly. RDs are popular among salaried individuals who want to save a fixed amount each month for goals like a vacation, emergency fund, or a short-term target.

RD interest is taxable, similar to FD interest; TDS may apply if interest exceeds the prescribed limit. Tenures typically range from 6 months to 10 years. Use the calculator above to see how much you will get at maturity for your chosen monthly amount, rate, and tenure, and to compare with FD or SIP.

How is RD maturity calculated?

RD maturity is the future value of a series of monthly deposits with compound interest. Banks typically use quarterly compounding: each monthly instalment earns interest from the month it is deposited until maturity, and the interest is compounded every quarter. The formula involves summing the future value of each deposit. The calculator above does this for you—enter your monthly amount, annual rate, and tenure to get the total deposited, maturity amount, and interest earned.

Example: ₹5,000/month, 6%, 5 years

If you save ₹5,000 per month in an RD at 6% per annum for 5 years, your total deposit is ₹3,00,000 (60 × ₹5,000). With quarterly compounding, the estimated maturity is around ₹3.49 lakh, so you earn about ₹49,000 in interest. That is a tidy sum for disciplined monthly saving without needing a lump sum. Use the calculator above with your own monthly amount, the rate your bank offers, and the tenure to get exact figures. You can also try different tenures to see how a longer RD increases the maturity.

Benefits of Using This Calculator

An RD calculator helps you see the maturity amount and interest for a recurring deposit before you start, so you can choose a monthly amount and tenure that fits your budget and goal. It shows total deposited versus maturity, so you know exactly how much your regular savings will grow. Use it to compare with an FD (if you had a lump sum) or a SIP in mutual funds, and to plan short-term savings with disciplined monthly deposits.

You can test different monthly amounts and tenures to find a combination that meets your target (e.g. ₹1 lakh in 2 years). The calculator is free and requires no sign-up—use it as often as you need.

How to Use This Calculator

Enter your monthly RD amount in rupees (the sum you can save every month), the interest rate offered by the bank (e.g. 6 or 6.5), and the tenure (in months or years). The calculator shows total deposited, estimated maturity, and interest earned. Most banks use quarterly compounding for RD; the tool uses the same convention.

Change the inputs to compare different scenarios—e.g. a higher monthly amount or a longer tenure. Use the result to set a savings goal and to see how much you need to save each month to reach a target amount. Remember that RD interest is taxable like FD interest; factor that in when planning post-tax returns.

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