Recurring Deposit Calculator

Recurring Deposit Calculator India 2025

Calculate your RD maturity, interest, and returns instantly for any bank or tenure.

Monthly Discipline

Safe Investment

Compound Returns

Monthly Investment Amount

₹

₹500₹1,00,000

Minimum amount varies by bank (typically ₹100 - ₹500)

Investment Period

years

1 year10 years

Minimum period: 1 month (30 days). RDs are designed for regular monthly savings.

Annual Interest Rate

Current RD rates: 6.0% - 8.5%

Your Personal Income Tax Rate (%)

Your Tax Slab Rate

Used to calculate actual tax on RD interest

Select 0% if income below ₹3L

RD Maturity Summary

Premature Closure Analysis

Close RD after (months)

6 months2 years 0 months11 months

RD Benefits

Monthly Discipline

Encourages regular saving habits with monthly investments

Capital Safety

Principal amount is completely safe with guaranteed returns

Low Entry Barrier

Start with as low as ₹500 per month investment

Recurring Deposit Calculation Formulas

Understand the mathematical formulas used to calculate RD maturity amounts and interest.

RD Maturity Amount

Calculate the maturity amount for Recurring Deposits using the RD formula.

Maturity Amount = P × [((1 + r)^n - 1) / r]

Example:

₹5,000 monthly RD at 6% p.a. for 2 years

5,000 × [((1 + 0.005)^24 - 1) / 0.005]

= ₹1,27,320

Variables:

P - Monthly installment amount

r - Monthly interest rate (Annual rate ÷ 12)

n - Number of monthly installments

RD Interest Calculation

Calculate the total interest earned on Recurring Deposits.

Interest Earned = Maturity Amount - Total Investment

Example:

For ₹5,000 × 24 months = ₹1,20,000 total investment

1,27,320 - 1,20,000

= ₹7,320

Variables:

Maturity Amount - Total amount at maturity

Total Investment - Sum of all monthly installments

These formulas provide the mathematical foundation for the calculations. Actual results may vary based on rounding, compounding frequency, and specific lender policies.

When to Choose Recurring Deposit

Choose RD When:

Building Savings Habit
When you want to develop disciplined monthly saving habits
Regular Income
Perfect for salaried individuals with steady monthly income
Medium-term Goals
For goals like vacation, gadgets, or small purchases in 1-5 years
Small Investment Amounts
When you can't invest large lump sums but can save monthly

Consider Alternatives When:

Seeking Higher Returns
Consider SIP in mutual funds for potentially higher long-term returns
Have Lump Sum
If you have bulk amount, FD might give better returns than RD
Long-term Wealth Building
For retirement planning, equity SIPs may offer better inflation-adjusted returns
Irregular Income
If income is irregular, flexible SIPs or lump sum investments work better

RD vs SIP: Quick Comparison

Aspect	Recurring Deposit (RD)	SIP in Mutual Funds
Investment Type	Monthly fixed deposit	Monthly investment in mutual funds
Returns	6% - 8% (fixed, guaranteed)	10% - 15% (market-linked, not guaranteed)
Risk	Very low, principal protected	Market risk, principal not protected
Liquidity	Low, premature withdrawal penalty	High, can redeem anytime
Best For	Conservative savers, short/medium-term goals	Long-term wealth creation, inflation-beating returns

Quick Decision Guide

Scenario	Choose RD if you...	Choose SIP if you...
Risk Appetite	Want capital safety & guaranteed returns	Can take market risk for higher returns
Goal Duration	Short/medium-term goals (1-5 years)	Long-term goals (5+ years)
Investment Experience	New to investing, want simplicity	Comfortable with market ups & downs
Flexibility	Prefer fixed monthly commitment	Want to change amount/frequency anytime

Calculate Returns

BOI

Bank of India

7.0%

Best Rate

Min Amount

₹10K

Calculate Returns

Compare All Banks

Verified RD Rates

All RD rates are sourced directly from official bank websites for maximum accuracy

SBI Verified

HDFC Verified

ICICI Verified

Axis Verified

Kotak Verified

PNB Verified

BOB Verified

IOB Verified

IndusInd Verified

Union Bank Verified

Canara Verified

Recurring Deposit Calculator FAQs

Everything you need to know about Recurring Deposits, RD interest rates, and systematic savings planning

What is a Recurring Deposit (RD)?

A Recurring Deposit is a special term deposit where you invest a fixed amount every month for a predetermined period at a fixed interest rate. It helps build a savings habit while earning interest.

How is RD interest calculated?

RD interest is calculated using compound interest on each monthly deposit. Each installment earns interest for its respective period, and the formula considers the varying duration of each deposit.

What is the minimum amount for RD?

The minimum RD amount varies by bank, typically ranging from ₹500 to ₹1,000 per month. Some banks allow amounts as low as ₹100 for specific schemes.

Can I miss an RD installment?

Most banks allow a grace period of 15 days for RD installments. Missing installments may result in penalty charges, and multiple defaults could lead to account closure.

Is RD interest taxable?

Yes, RD interest is taxable as per your income tax slab. TDS is deducted if interest exceeds ₹40,000 per year (₹50,000 for senior citizens).

Which banks offer the best RD rates?

Small finance banks and some private banks often offer higher RD rates (7-8%) compared to public sector banks (6-7%). Consider the bank's credibility and DICGC insurance coverage.

Can I increase my RD amount?

Most banks don't allow changes to RD installment amounts. You would need to open a new RD account for different amounts or close the existing one.

What happens if I miss multiple RD payments?

Missing multiple payments (usually 3-6 months) may lead to RD account closure. Banks typically convert it to a term deposit with applicable interest rates.

Related Calculators

Explore more financial calculators to make comprehensive financial planning decisions

Crorepati Calculator

Calculate how to become a crorepati with strategic investment planning. Get multiple investment options and wealth building strategies for your financial freedom.

Portfolio Rebalancing Calculator

Optimize asset allocation, calculate rebalancing frequency, and maintain portfolio diversification for better risk-adjusted returns

Emergency Fund Calculator

Calculate emergency fund requirement based on monthly expenses, employment type, and family situation. Plan your financial safety net with personalized recommendations.

SWP Calculator

Calculate Systematic Withdrawal Plan returns and plan your retirement income with tax-efficient withdrawals

ELSS Calculator

Calculate ELSS returns with tax benefits under Section 80C. Compare SIP vs lump sum investments with 3-year lock-in period

NPS Calculator

Calculate National Pension System returns with Tier 1 & Tier 2 benefits, tax savings, and retirement planning

Need More Calculators?

Explore our complete collection of financial calculators for all your planning needs

View All Calculators More Personal Finance Tools