Recurring Deposit Calculator

RD calculator helps calculate the maturity amount, estimate interest earned, plan monthly contributions, and track overall recurring deposit growth efficiently.
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6 mins
29-August-2025

What is RD?

A Recurring Deposit (RD) is a savings option that allows you to deposit a fixed amount every month for a set tenure. Over time, these small contributions grow into a sizeable corpus with interest. RDs are best suited for individuals who prefer disciplined, consistent savings.

Unlike FDs, where you invest a lump sum, RDs are perfect if you want to save gradually without straining your budget.

If you want higher interest with flexible payouts, a Bajaj Finance FD can be a smarter choice. You can invest from Rs. 15,000 and earn assured returns up to 7.30% p.a., making it ideal for both short- and long-term goals. Open FD.

Fixed Deposit

  1. Trusted by over 5 lakh customers
  2. Fixed Deposits worth more than Rs. 50,000 crore booked
  3. Rated CRISIL AAA/STABLE and [ICRA]AAA(STABLE)
  4. Up to 0.35% p.a. extra interest offered for senior citizens
  5. Flexible interest payout options available - Monthly, Quarterly, Half-yearly, Annually or at Maturity

By proceeding, you agree to our Terms and Conditions

How can an RD calculator help you?

An RD deposit calculator simplifies the process of determining the returns on your investment. By eliminating the need for manual computations, the calculator enables you to accurately determine the precise amount your deposits will accumulate over the specified period.

While the calculator handles most calculations, one factor that requires manual consideration is the TDS deduction. Under the latest RBI regulations, RDs are subject to TDS deduction. However, the implementation of these deductions may vary across financial institutions, and this inconsistency is why RD calculators typically do not incorporate them.

Unlike RDs, where TDS applies, interest from a Bajaj Finance FD is predictable and transparent. You can even choose non-cumulative FD options to get monthly or quarterly payouts for extra cash flow. Check latest rates.

Despite this minor caveat, an RD amount calculator offers several advantages:

Enhanced financial planning

By providing an accurate projection of your investment's maturity value, the calculator empowers you to plan your future finances with greater clarity.

Time-saving convenience

Instead of spending valuable time on complex calculations, the calculator offers a quick and convenient way to determine your RD returns.

Unwavering accuracy

The precision of these calculators ensures that you receive reliable estimates, which are crucial for effective financial planning.

Pro tip

Bajaj Finance offers attractive Fixed Deposit interest rates of up to 6.95% p.a. for non-senior citizens, and up to 7.30% p.a. for senior citizens, inclusive of an additional rate benefit of up to 0.35% p.a.

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A formula to determine RD maturity

The calculation of the RD maturity amount involves three key variables, which are processed by an RD account calculator using a standard recurring deposit formula to determine the precise maturity amount.

The formula for RD maturity is

A = P*(1+R/N)^(Nt)

Where:

Variable

Meaning

A

Maturity amount

P

Monthly RD instalment

N

Compounding frequency (number of quarters)

R

RD Interest rate (as a percentage)

T

Tenure


This formula serves as the universal method for calculating RD maturity amounts, irrespective of the invested amount or the investment duration. All that's required is to input the specific values.

For example, let us calculate the maturity amount of an RD considering the monthly deposit amount of Rs. 7,000 and an interest rate of 8.50%.

Using the above mentioned formula, here A will be the “Maturity Amount”, P will be “Monthly RD Instalment” (Rs. 7,000), N will be “Compounding Frequency” (number of quarters), R will be “RD Interest Rate” (8.50% or 0.085) and T will be “Tenure” (1 year, equivalent to 4 quarters).

Hence

A = P*(1+R/N)^(Nt)
= 7000*(1+0.085/4)^(4*12/12)
= Rs. 7,671.40

A = P*(1+R/N)^(Nt)
= 7000*(1+0.085/4)^(4*11/12)
= Rs. 7,521.88

A = = P*(1+R/N)^(Nt)
= 7000*(1+0.085/4)^(4*1/12)
= Rs. 7,049.37

For this specific investment scenario, summing up this series, the total maturity value, i.e., A, equals Rs 85,947.42.

Manually solving such equations can be quite challenging. A Recurring Deposit Calculator swiftly provides you with the exact figure in seconds.

Fixed deposit variants

Highest Credit Ratings | Trusted with over 1.4 million Deposits | Assured Returns on FD
Recommended

Fixed Deposit - 60 Months

INTEREST RATES UP TO
7.30% p.a.
Invest Online

Fixed Deposit - Senior Citizen

INTEREST RATES UP TO
7.30% p.a.
Invest Online

Fixed Deposit - Age below 60

INTEREST RATES UP TO
6.95% p.a.
Open FD

Fixed Deposit - Minor

INTEREST RATES UP TO
6.95% p.a.
Open FD

Fixed Deposit - HUF

INTEREST RATES UP TO
6.95% p.a.
Open FD

Fixed Deposit - Sole Proprietor

INTEREST RATES UP TO
6.95% p.a.
Open FD

How to use the Bajaj Finance RD Calculator online?

Utilising RD interest calculator is a simple and user-friendly procedure. To help you get started, here's a step-by-step guide:

Step 1: Input your "Monthly Investment Amount (in rupees)."

Step 2: Specify the "Time Period” (in months).

Step 3: Provide the "Rate of Interest (in %)" offered by your RD provider.

Within moments, you'll receive instant results, displaying the total investment value and the accrued interest amount.

If you would rather invest a lump sum instead of monthly contributions, try the Bajaj Finance FD Calculator. It shows exactly how much you will earn at maturity, helping you plan with confidence.

Advantages of using an RD maturity calculator

Using an online RD calculator India offers several key advantages for depositors:

  • Quick and Efficient: It calculates your maturity amount within seconds, saving time. The entire process—from visiting the site to viewing results—takes just 1–2 minutes.
  • Accurate Results: As long as the inputs are correct, the calculator provides error-free and reliable results every time.
  • Unlimited & Free Use: You can use the RD amount calculator multiple times with different combinations of deposit amount, tenure, and interest rate—completely free.
  • Smart Comparison Tool: RD is a safe investment option, and the calculator helps you compare its returns with other financial instruments, enabling informed decision-making.

While RD calculators help you estimate returns, Bajaj Finance FDs offer flexibility in tenure (12–60 months), so you can match investments to your financial goals more easily. Check latest FD rates offered by Bajaj Finance and invest now!

Tax benefits on RD

Recurring Deposit (RD) schemes, like many other savings instruments, are subject to taxation. If the total interest earned from RDs exceeds Rs. 10,000 in a financial year, a 10% TDS (Tax Deducted at Source) is applicable.

In comparison, SIPs (Systematic Investment Plans) offer better long-term tax advantages. For example, SIPs investing in ELSS (Equity Linked Saving Schemes) are exempt from tax on long-term gains if held for over a year, making them more tax-efficient than RDs.

For better flexibility and higher assured returns, you can complement your RD savings with a Bajaj Finance FD. Backed by AAA/STABLE ratings from CRISIL and ICRA, Bajaj Finance FDs give you the security of guaranteed returns, liquidity through early withdrawals, and competitive interest rates up to 7.30% p.a. Open FD.

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Frequently Asked Questions

What is a RD?

Recurring Deposit (RD) is a type of term deposit offered by banks, post office and financial institutions in India. It allows you to save a fixed amount of money every month for a predetermined period and earn interest on it.

How is recurring deposit interest calculated?

The interest on RD is calculated based on the principal amount, the rate of interest, and the tenure of the deposit. The interest is compounded quarterly, and the formula used to calculate the maturity amount is A = P*(1+R/N)^(Nt)

Where:

A = Maturity Amount
P = Monthly RD Instalment
N = Compounding Frequency (number of quarters)
R = RD Interest Rate as a percentage
T = Tenure

Is RD better than an FD?

The choice between RD (Recurring Deposit) and FD (Fixed Deposit) depends on your financial goals and investment horizon. If you have a lumpsum amount to invest, FD is a better option as it offers higher interest rates. If you want to save a fixed amount every month, RD is a better option as it instils financial discipline and offers a higher interest rate than savings accounts.

What is the maturity amount in recurring deposit?

The maturity amount in RD depends on the principal amount, the rate of interest, and the tenure of the deposit. You can use our online RD calculator to determine the maturity amount of your investment.

Is TDS applicable on RD?

Starting from June 1, 2015, the Finance Bill has enforced mandatory TDS (Tax Deducted at Source) on all recurring deposits. It's important to emphasize that this requirement solely pertains to the interest earned on the RD.

What is the minimum amount to start an RD account?

The minimum amount to start an RD account varies from bank to bank. It can range from Rs. 100 to Rs. 10,000.

Can I break my RD prematurely?

Yes, you have the option to prematurely terminate your RD account. In such cases, interest will be disbursed up to the closure date, and it's essential to note that your financial institution may levy a penalty fee.

What is RD’s range of tenure?

Normally, the RD duration initiates at 6 months and can extend up to 10 years. You have the flexibility to opt for a tenure in increments of 3 months following the initial 6 months, allowing for options such as 9 months, 12 months, 15 months, and so forth.

Is 5 year RD tax free?

No, the interest earned on a 5-year RD is not tax-free.

Can I skip RD for one month?

Missing an RD instalment may attract penalty charges and could disrupt your interest calculation.

What is Rs. 10,000 RD for 5 years?

A monthly deposit of Rs. 10,000 in the Post Office RD scheme can grow to approximately Rs. 7.04 lakh over a 5-year period. If you choose to extend the RD for another 5 years, your total savings can grow to around Rs. 16.6 lakh by the end of 10 years, thanks to the power of compounding.

How much will I get if I invest Rs. 5,000 per month in RD for 5 years?

If you deposit Rs. 5,000 monthly into a Recurring Deposit for 5 years, your maturity amount may range between Rs. 3,56,800 and Rs. 3,59,600, based on the applicable interest rate and the bank's RD terms.

Is the maturity amount of an RD taxable?

Yes, the interest earned on an RD is fully taxable. If the total interest exceeds Rs. 10,000 in a financial year, a 10% TDS is usually deducted, unless Form 15G/15H is submitted (if eligible).

Can I withdraw money from my RD before maturity?

Premature withdrawal is allowed in most RD schemes, but it may attract a penalty and a lower interest rate than originally promised.

Is RD a good investment option?

RDs are considered a safe and disciplined savings option, ideal for conservative investors looking for fixed returns. However, they may not offer the same long-term returns or tax benefits as mutual fund SIPs or ELSS.

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