FD Calculator

Q: How much interest will I earn on a ₹1 lakh FD for 5 years?

At an example rate of 7.4% per year with quarterly compounding , ₹1,00,000 grows to about ₹1,44,285 in 5 years. That is roughly ₹44,285 in interest. The math: A = 1,00,000 × (1 + 0.074/4) 4×5 = 1,00,000 × 1.4428. If the rate is lower, say 6.5%, you would earn closer to ₹38,000 instead. SBI's card rate for 5 to 10 years is 6.05%, or 7.05% for senior citizens. 2 At those rates, ₹1,00,000 grows to about ₹1,35,018 and ₹1,41,826 in 5 years with quarterly compounding.

Q: How much monthly income can I get from a ₹10 lakh FD?

Around ₹5,800 to ₹6,200 a month before tax, at rates of 7% to 7.4%. The math is simple: ₹10,00,000 × 7% = ₹70,000 a year, divided by 12 = ₹5,833 a month . This is a non-cumulative FD, so you get your full ₹10 lakh back at the end. SBI pays monthly interest at a discounted rate. 4 The calculator uses the full rate for monthly payouts, so SBI's own monthly figure will be lower.

Q: How long does it take to double your money in a fixed deposit?

Use the Rule of 72 : divide 72 by your FD rate. At 6% → about 12 years At 7% → about 10.3 years At 7.4% → about 9.7 years At 8% → about 9 years This works only for cumulative FDs where interest compounds. If you take payouts, your money never doubles inside the FD.

Q: What is the minimum amount needed to open a fixed deposit?

At SBI the minimum is ₹1,000 and there is no upper limit. 4 Other banks set their own minimums. At most banks a single deposit of three crore rupees or more is a bulk deposit and gets a different rate card. 17

Q: What happens to an FD after it matures if I do nothing?

It depends on what you chose when booking: Auto-renewal on: The bank renews the FD for the same tenure at the current rate. Auto-renewal off: The money is paid out as you instructed. If it is left unclaimed with the bank, it earns the savings account rate or the FD's own rate, whichever is lower. 17 Leaving matured money idle costs you. Check your maturity date and act on it.

Q: Can I take a loan against my fixed deposit?

Yes. SBI lends up to 90% of your deposit's value as a loan or overdraft, at 1% above your deposit's rate . 5 Other banks set their own limits and rates. Your FD keeps earning interest the whole time. This is often cheaper than breaking the FD early, since breaking it pays the rate for the shorter time the deposit ran, not the rate you booked. 17

Q: Can a minor open a fixed deposit?

Yes. A minor of any age can open a term deposit through a natural or legal guardian . Banks may also let an older minor open and run one on their own, from an age the bank sets that is not below 10, and up to limits it sets. 13 When the child comes of age, the bank takes fresh operating instructions and a new specimen signature. 13 Senior citizen rates are for people aged 60 and above, so a minor's deposit earns the public rate. 14 For tax, the interest on a minor's FD is added to the income of the parent whose own income is higher. 12 If the parents' marriage does not subsist, it is added to the income of the parent who maintains the child, and the income of a minor with a disability specified under section 154 is not added at all. 12 The parent can claim an exemption of ₹1,500 or the minor's income added, whichever is less. 12 The new tax regime does not allow this exemption. 9

Introduction

A Fixed Deposit (FD) is one of the safest ways to grow your money. You put in a set amount for a set time, and the bank pays you interest at a fixed rate. This FD Calculator shows you exactly how much your deposit will be worth when it matures, before you invest a single rupee.

Just enter your principal amount, pick your tenure, and choose your customer type. The calculator fills in SBI's card rate for your tenure slab on its own, with the higher senior citizen rate where it applies. Senior citizens get the higher rate automatically on deposits of ₹10,000 or more. Want to test a different rate? Tap Override and set your own.

You can also choose how you want your interest paid. Pick On Maturity to let your interest compound and grow, or choose monthly, quarterly, half-yearly, or yearly payouts for steady income. The calculator handles both, and the comparison table shows you the difference side by side.

Your results include:

Maturity value: total money you get back
Interest earned: your profit in rupees
Effective annual yield: your real return after compounding
Maturity date: the month your FD ends
Payout per period: for non-cumulative FDs, plus any interest for a final part period, paid at maturity

Charts show your principal and interest split, plus how your money grows month by month. A full step-by-step solution walks you through the math, so you can see exactly how each number was found. Everything updates the moment you change an input.

How to use our FD Calculator

Enter your deposit amount, tenure, and a few basic details. The calculator shows your interest earned, total maturity value, maturity date, payout per period, and a full step-by-step breakdown.

Principal Amount: Type the money you want to deposit, or drag the slider. It must be from ₹1,000 to ₹2,99,99,999, since the SBI rates used are for deposits below ₹3 crore.

Annual Interest Rate: The rate fills in on its own based on your tenure and customer type. Click "Override" if you want to type your own rate from 1% to 15%.

Tenure: Enter how long you want to keep the money in the FD. Pick Years or Months from the drop-down. The range is 1 to 10 years (12 to 120 months).

Customer Type: Choose Regular, Senior Citizen, Minor, HUF, or Sole Proprietor. Senior citizens get a higher rate on deposits of ₹10,000 or more.

Payout Frequency: Pick "On Maturity" to let your interest grow, or choose Monthly, Quarterly, Half-Yearly, or Yearly to get interest paid out to you.

Compounding Frequency: Choose how often interest is added back to your deposit (Monthly, Quarterly, Half-Yearly, Annually, or Simple Interest). This works only for "On Maturity" deposits.

Click Calculate to see your results, or Reset to Defaults to start over.

What Is a Fixed Deposit (FD)?

A fixed deposit is a savings plan where you give a bank a lump sum of money for a set time. The bank pays you interest at a fixed rate. When the time is over, you get your money back plus the interest. The rate does not change during the term, even if market rates fall. That is why FDs are one of the safest ways to grow savings.

How FD Interest Is Worked Out

There are two ways banks add interest to your deposit:

Simple interest: Interest is paid only on the money you put in. Formula: Interest = P × r × t ÷ 100.
Compound interest: Interest is added back to your deposit, so you earn interest on your interest. Formula: A = P (1 + r ÷ (100 × n))^n×t.

Here P is your deposit, r is the yearly rate, t is the number of years, and n is how many times a year interest is added. At SBI, a cumulative FD of 6 months or more compounds interest every quarter.³ More compounding means a higher final amount.

Cumulative vs Non-Cumulative FDs

A cumulative FD keeps all the interest inside the deposit until the end. You get one big payment at maturity. This grows your money the fastest because of compounding.

A non-cumulative FD pays interest out to you every month, quarter, half-year, or year. Your deposit stays the same size, and you get your principal back at the end. This suits people who need steady income, like retirees. You earn less in total than on a cumulative FD because the interest is paid out instead of compounding.

What Changes Your FD Rate

Tenure: Rates move in slabs. SBI's card for deposits below ₹3 crore was revised from 15 December 2025.² Of the card's tenure slabs, 2 years to less than 3 years pays the public the most, 6.40%, while senior citizens get the most from 5 to 10 years, 7.05%.² SBI's 444 day Amrit Vrishti deposit pays the public a little more, 6.45%.²
Age: At SBI, senior citizens (60 and above) get a higher rate on deposits of ₹10,000 or more.¹⁴ On SBI's card they get 6.75% to 6.90% for 1 year to less than 5 years, against 6.25% to 6.40% for the public, and 7.05% for 5 to 10 years, against 6.05%.² The 7.05% includes an extra 50 basis points under SBI's We-care scheme, and those aged 80 and above get a further 10 basis points under SBI Patrons.² That is 0.50% extra below 5 years and 1.00% extra from 5 to 10 years. The extra rate is only for resident senior citizens, and not on deposits they hold as Karta of an HUF, as guardian of a minor, or in a joint account where they are not the first holder.¹⁴
Bank type: Each bank sets its own rates, so compare a few before you book.
Amount: Very large deposits (bulk deposits) can have their own rate card.¹⁷

Tax on FD Interest

FD interest counts as income and is taxed at your income tax slab rate.⁹ Under the Income-tax Act, 2025, a bank cuts TDS when the interest it pays you in a tax year passes ₹50,000, or ₹1,00,000 for a senior citizen.⁷ If the tax on your estimated total income for the year is nil, you can give the bank Form No. 121, which replaced Forms 15G and 15H, to stop the TDS.⁸ If you are under 60, the incomes you declare on it must also stay within the amount that is not taxed.⁸

Things to Know Before You Book an FD

Breaking early costs you: If you withdraw before the term ends, the bank pays the rate for the time the deposit actually ran, not the rate you booked, less any penalty it told you about when you opened it.¹⁷ At SBI that rate is cut by 0.50% on deposits up to ₹5 lakh and by 1% on larger ones.³
Deposits are insured: DICGC covers up to ₹5 lakh per person per bank, including principal and interest.¹ Deposits with NBFCs are not covered.¹
Laddering helps: Splitting money across several FDs with different end dates gives you cash at regular points without breaking one big deposit.
Watch inflation: If prices rise faster than your FD rate, your real return is small. FDs protect your money, but they are not a fast growth tool.

Formulas used

Compound Interest Maturity Value (Cumulative FD)

A = P\left(1 + \frac{r}{n \times 100}\right)^{n t}

Interest Earned (Cumulative FD) ¹⁵

I = A - P

Simple Interest ¹⁵

I = \frac{P \times r \times t}{100}

Tenure in Years from Months

t = \frac{\text{months}}{12}

Interest paid per period (non-cumulative deposits)

I_{\text{period}} = \frac{P \times r}{100 \times m}, \quad m = \text{payouts per year}

Number of Payouts and Interest Paid at Maturity

N = \left\lfloor \frac{\text{months} \times m}{12} \right\rfloor, \quad \text{Paid at maturity} = I - N \times I_{\text{period}}

Effective Annual Yield

EAY = \left[\left(1 + \frac{r}{n \times 100}\right)^{n} - 1\right] \times 100

Principal / Interest Share of Total Value

\text{Principal \%} = \frac{P}{P + I} \times 100, \quad \text{Interest \%} = 100 - \text{Principal \%}

Frequently asked questions

How much interest will I earn on a ₹1 lakh FD for 5 years?

At an example rate of 7.4% per year with quarterly compounding, ₹1,00,000 grows to about ₹1,44,285 in 5 years. That is roughly ₹44,285 in interest.

The math: A = 1,00,000 × (1 + 0.074/4)^4×5 = 1,00,000 × 1.4428.

If the rate is lower, say 6.5%, you would earn closer to ₹38,000 instead.

SBI's card rate for 5 to 10 years is 6.05%, or 7.05% for senior citizens.² At those rates, ₹1,00,000 grows to about ₹1,35,018 and ₹1,41,826 in 5 years with quarterly compounding.

How much monthly income can I get from a ₹10 lakh FD?

Around ₹5,800 to ₹6,200 a month before tax, at rates of 7% to 7.4%.

The math is simple: ₹10,00,000 × 7% = ₹70,000 a year, divided by 12 = ₹5,833 a month.

This is a non-cumulative FD, so you get your full ₹10 lakh back at the end.

SBI pays monthly interest at a discounted rate.⁴ The calculator uses the full rate for monthly payouts, so SBI's own monthly figure will be lower.

How long does it take to double your money in a fixed deposit?

Use the Rule of 72: divide 72 by your FD rate.

At 6% → about 12 years
At 7% → about 10.3 years
At 7.4% → about 9.7 years
At 8% → about 9 years

This works only for cumulative FDs where interest compounds. If you take payouts, your money never doubles inside the FD.

What is the minimum amount needed to open a fixed deposit?

At SBI the minimum is ₹1,000 and there is no upper limit.⁴

Other banks set their own minimums.

At most banks a single deposit of three crore rupees or more is a bulk deposit and gets a different rate card.¹⁷

Is FD interest compounded monthly or quarterly in India?

SBI compounds the interest on its cumulative FDs of 6 months or more quarterly (four times a year).³ Other banks set their own terms.

More frequent compounding means slightly more money. On ₹1 lakh at 7.4% for 5 years:

Yearly: about ₹42,900
Quarterly: about ₹44,285
Monthly: about ₹44,600

What happens to an FD after it matures if I do nothing?

It depends on what you chose when booking:

Auto-renewal on: The bank renews the FD for the same tenure at the current rate.
Auto-renewal off: The money is paid out as you instructed. If it is left unclaimed with the bank, it earns the savings account rate or the FD's own rate, whichever is lower.¹⁷

Leaving matured money idle costs you. Check your maturity date and act on it.

Can I take a loan against my fixed deposit?

Yes. SBI lends up to 90% of your deposit's value as a loan or overdraft, at 1% above your deposit's rate.⁵ Other banks set their own limits and rates. Your FD keeps earning interest the whole time.

This is often cheaper than breaking the FD early, since breaking it pays the rate for the shorter time the deposit ran, not the rate you booked.¹⁷

What is a tax-saving FD and how is it different?

A tax-saving FD is a deposit for a fixed period of at least five years with a scheduled bank, under a scheme the Central Government has notified.¹⁶ At SBI it has a fixed 5-year lock-in.⁶ What you deposit counts toward the yearly tax deduction for eligible savings and investments.¹⁶ That deduction is capped at one and a half lakh rupees a year in total.¹⁰ The new tax regime does not allow this deduction, so it helps only if you choose the old regime.⁹

At SBI the rules are stricter than for a normal FD:

No premature withdrawal before 5 years, except on the depositor's death⁶
No loan against it during the lock-in⁶
Maximum ₹1,50,000 a year⁶

The interest you earn is still fully taxable.

Is FD interest taxed every year or only when the FD matures?

It depends on the method of accounting you regularly follow. Interest is income from other sources, which is worked out on either the cash or the mercantile system.¹¹ On the mercantile system, interest counts in the year it is earned, even on a cumulative FD that pays no cash until the end. On the cash system, it counts in the year you receive it.

A bank cuts TDS when it credits the interest, and a credit to any account in its own books counts as a credit to you.⁷ So TDS can be cut every year on a cumulative FD. Many people miss this interest in their return and face a tax demand later.

Can a minor open a fixed deposit?

Yes. A minor of any age can open a term deposit through a natural or legal guardian. Banks may also let an older minor open and run one on their own, from an age the bank sets that is not below 10, and up to limits it sets.¹³ When the child comes of age, the bank takes fresh operating instructions and a new specimen signature.¹³

Senior citizen rates are for people aged 60 and above, so a minor's deposit earns the public rate.¹⁴

For tax, the interest on a minor's FD is added to the income of the parent whose own income is higher.¹² If the parents' marriage does not subsist, it is added to the income of the parent who maintains the child, and the income of a minor with a disability specified under section 154 is not added at all.¹² The parent can claim an exemption of ₹1,500 or the minor's income added, whichever is less.¹² The new tax regime does not allow this exemption.⁹

What is the difference between the FD rate and the effective annual yield?

The FD rate is the number the bank advertises. The effective annual yield is what you really earn once compounding is counted.

Example: 7.4% compounded quarterly gives an effective yield of 7.61% a year.

Formula: EAY = (1 + r/n)ⁿ − 1. The yield is higher than the stated rate when interest compounds more than once a year, and equal to it when interest compounds once a year or is paid out.

Is an FD better than a recurring deposit?

They suit different people:

FD: You have a lump sum now. All your money earns interest from day one.
RD: You save a fixed amount each month. Each instalment earns interest only from the month you pay it.

For the same total money and rate, an FD earns more because the cash sits longer. Pick an RD only if you do not have the lump sum yet.

Sources

A Guide to Deposit Insurance. Deposit Insurance and Credit Guarantee Corporation. Accessed September 26, 2026.

Interest Rates On Retail Domestic Term Deposits (Below Rs. 3 Crore). State Bank of India. 2025;Revised rates w.e.f. 15/12/2025. Accessed October 8, 2026.

Deposit Rates. State Bank of India. 2026;Domestic Term Deposits: STDR and TDR interest; penalty for premature withdrawal. Accessed November 10, 2026.

Fixed Deposit. State Bank of India. 2025;Features. Accessed November 10, 2026.

Loan Against Time Deposit. State Bank of India. 2025;Loan amount and interest rate. Accessed November 10, 2026.

SBI Tax Savings Scheme, 2006. State Bank of India. 2025;Features. Accessed November 10, 2026.

Income-tax Act, 2025, Section 393: Deduction of tax at source. Income Tax Department, Government of India. 2026;sub-section (1) Table, Sl. No. 5(ii); sub-section (11). Accessed November 10, 2026.

Form No. 121: Frequently Asked Questions. Income Tax Department, Government of India. 2026;Questions 1 to 3. Accessed November 10, 2026.

Income-tax Act, 2025, Section 202: New tax regime for individuals, Hindu undivided family and others. Income Tax Department, Government of India. 2026;sub-sections (1) and (2). Accessed November 10, 2026.

Income-tax Act, 2025, Section 123: Deduction for life insurance premia, deferred annuity, contributions to provident fund, etc.. Income Tax Department, Government of India. 2026;section 123. Accessed November 10, 2026.

Income-tax Act, 2025, Section 276: Method of accounting. Income Tax Department, Government of India. 2026;sub-section (1). Accessed November 10, 2026.

FAQs on Clubbing of Income. Income Tax Department, Government of India. 2026;income of a minor child. Accessed November 10, 2026.

Reserve Bank of India (Commercial Banks - Responsible Business Conduct) Directions, 2025. Reserve Bank of India. 2025;paragraphs 186 to 188 (Opening of bank accounts in the names of minors). Accessed November 10, 2026.

Facilities for Senior Citizens. State Bank of India. 2024;Term deposits. Accessed November 10, 2026.

Mathematics Class VIII, Chapter 7: Comparing Quantities. National Council of Educational Research and Training. 2024;sections 7.4 and 7.5. Accessed November 10, 2026.

Income-tax Act, 2025, Schedule XV: Deduction in respect of life insurance premia, contribution to provident fund, subscription to certain equity shares, etc.. Income Tax Department, Government of India. 2026;paragraph 1(s). Accessed November 10, 2026.

Reserve Bank of India (Commercial Banks - Interest Rate on Deposits) Directions, 2025. Reserve Bank of India. 2025;paragraphs 6(2), 7(4), 10(2), 11(1), 16 and 23. Accessed November 10, 2026.

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