RD Calculator

Recurring Deposit (Quarterly Compounding)

⚠️ Important Legal Notice
  • Rates Vary: RD interest rates differ across banks and post offices. Verify current rates before starting.
  • Compounding Method: Interest compounding frequency varies by institution. Actual maturity may differ.
  • Not Financial Advice: This is an educational estimate only.
Confirm exact terms with your bank or post office before investing.
A Recurring Deposit (RD) lets you save a fixed amount every month at a guaranteed interest rate. It's perfect for building savings discipline. Interest is compounded quarterly, and at maturity you get Principal + Interest.
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Yr
Maturity Value
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Total Deposited -
Interest Earned -
💡 Systematic Savings

RD helps build savings discipline. Interest is typically compounded quarterly.

Growth Chart
📋 Assumptions Used v1.0

View full assumptions changelog →

  • Interest Rate (Default 7%): Typical bank RD rate. Varies by bank and tenure.
  • Compounding: Quarterly compounding (standard for most banks).
  • Deposits: Monthly deposits, assumed at month start.
  • Tax: RD interest is taxable as "Income from Other Sources".
  • Missed Installment: Not modeled. Banks charge penalty for missed payments.

Data verified: January 2026

🧮 How This Calculator Works

Inputs:

  • Monthly Deposit (P): Amount deposited each month
  • Interest Rate (r): Annual rate
  • Time Period (n): Number of years

Formula (Quarterly Compounding on RD):

A = P × [(1 + r/4)4n - 1] / (r/4) × (1 + r/4)

Interpretation:

  • Maturity Value: Total received at the end.
  • Total Deposited: P × 12 × n = sum of all monthly payments.
  • Interest Earned: Maturity - Deposited = compounded growth.

Each monthly deposit earns interest for its remaining tenure.