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Savings & investments

Recurring Deposit Calculator

Calculate recurring deposit maturity from your monthly instalment, rate and tenure in months, with quarterly compounding and a full instalment breakdown.

Your recurring deposit

Tenures are in months — an RD instalment is monthly, so odd day counts have no final payment.

Paid at the start of each month.

%
months

About 2 years.

Quarterly is the Indian bank standard.

Tax deducted at source

Editable, because thresholds change most years. TDS is withheld at source, not your final liability.

Maturity value

₹1,29,098.90

₹1,20,000.00 deposited over 24 months, plus ₹9,098.90 interest.

You deposit

₹1,20,000.00

Interest earned

₹9,098.90

Why an RD returns less than an FD

Each instalment only earns for the months remaining after it is paid.

  • First instalment — invested 24 months₹5,744.41
  • Last instalment — invested 1 month₹5,029.00

The same ₹1,20,000.00 placed in a fixed deposit on day one would earn more, because all of it is invested for the whole term. An RD wins when you do not have that lump sum yet — which is usually the actual situation.

Figures are indicative. Banks round at different points in the calculation and some use a 366-day year throughout, so your bank's own maturity figure may differ by a few rupees. Tax shown is withholding, not your final liability.

About the rd calculator

A recurring deposit pays noticeably less than a fixed deposit of the same total, and people are often surprised by that. The reason is simple: in an RD your money arrives a month at a time, so the final instalment earns interest for a single month while only the first earns for the whole term. Half your money is invested for less than half the tenure.

This calculator works instalment by instalment rather than applying a single formula, so you can see exactly what each month contributes. The first instalment in a two-year RD grows for 24 months; the last grows for one. The schedule makes that visible, which is usually the moment the lower return stops feeling like a mistake.

Interest compounds quarterly, matching the Indian bank standard, with each instalment credited for the fraction of a compounding period it was actually invested. Tenures are in months because that is how recurring deposits are sold — the instalment is monthly, so a tenure in odd days has no coherent final payment. Enter 6, 12, 24, 60 or anything between.

There is an optional TDS calculation on the same terms as the fixed deposit tool: editable rate and threshold, because those change and a hard-coded figure quietly goes stale.

If you are weighing an RD against a lump sum you already hold, run the same money through the fixed deposit calculator. The FD will win on returns; the RD wins when you do not have the lump sum yet and the discipline of a monthly transfer is the actual point.

Frequently asked questions

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