Fixed Deposit (FD) Calculator
Secure your savings with guaranteed returns.
A Fixed Deposit (FD) Calculator helps you estimate the maturity amount and interest you will earn on your savings. FDs are one of the safest investment options in India, offering guaranteed returns unaffected by market volatility. Simply enter your principal amount, interest rate, and tenure to see exactly how much money you will get back.
Total Maturity Value
₹0
Analysis
You will get ₹0 after 5 years.
FDs offer guaranteed safety, but tax eats into your returns. Your post-tax yield is 0%.
Cumulative vs. Non-Cumulative FD: Which is Better?
When booking an FD, you have two choices on how to receive your interest:
- Cumulative FD (Growth): The interest is reinvested (compounded) and paid to you only at maturity along with the principal. This gives you the highest yield because you earn "interest on interest." Choose this if you want to build wealth.
- Non-Cumulative FD (Income): The interest is paid out to your bank account monthly, quarterly, or yearly. Choose this if you need a regular source of income (e.g., for retirees).
⚠️ The Silent Killer: Tax & Inflation
FDs are safe, but they often yield negative "Real Returns." Why? Because FD interest is fully taxable, and inflation eats into your purchasing power.
| Component | Value | Math |
|---|---|---|
| Bank Interest Rate | 7.0% | What bank promises |
| Tax (30% Slab) | -2.1% | Gone to Govt |
| Inflation | -6.0% | Cost of living rise |
| Real Return | -1.1% | You actually LOST wealth |
Solution: Check out our Return After Tax Calculator to see your real gains. For higher inflation-beating returns, consider comparing FDs with Mutual Fund SIPs.
Frequently Asked Questions
Is FD interest taxable?▼
Yes, fixed deposit interest is taxable as per your income tax slab. TDS may apply based on interest thresholds.
What is the difference between cumulative and non-cumulative FD?▼
Cumulative FDs reinvest interest until maturity, while non-cumulative FDs pay interest periodically.