Quick examples
Total Deposited
$180,000
Interest Earned
$19,232
Maturity Amount
$199,232
Recurring Deposit (RD) Calculator — Quick Reference
The Recurring Deposit (RD) Calculator is an online tool that calculate maturity value of recurring monthly deposits. Everything for the Recurring Deposit (RD) Calculator is on this page: the interactive calculator, the formula, a worked example, step-by-step guidance, and frequently asked questions — no other pages required.
At a glance
- Main inputs
- Deposit amount
- Interest rate
- Tenure
- Main outputs
- Maturity value
- Interest earned
Direct answers
What is the Recurring Deposit (RD) Calculator?
The Recurring Deposit (RD) Calculator is an online tool that calculate maturity value of recurring monthly deposits.
What formula does the Recurring Deposit (RD) Calculator use?
Maturity = P × [((1 + r)^n − 1) / r] × (1 + r). In this formula, P is monthly deposit; r is monthly rate; n is months.
How does the Recurring Deposit (RD) Calculator work?
Enter monthly deposit amount, interest rate, and tenure. Each installment earns interest compounded quarterly.
Formula Used
The equation below is what this calculator applies. Variable definitions follow when symbols are used.
Equation
Maturity = P × [((1 + r)^n − 1) / r] × (1 + r)
Variables
- P
- monthly deposit
- r
- monthly rate
- n
- months
Worked Example: $5,000/month RD for 5 years at 7%
Sample inputs and the results this calculator produces for the scenario below.
Inputs
- Monthly Deposit
- $5,000
- Rate
- 7% p.a.
- Tenure
- 5 years
Results
- Total Deposited
- $300,000
- Maturity Value
- $360,053
- Interest
- $60,053
Recurring deposits suit savers who invest a fixed sum each month. Post-office and bank RD rates vary — update the rate field to match your institution.
How Recurring Deposit (RD) Calculator Works
Enter monthly deposit amount, interest rate, and tenure. Each installment earns interest compounded quarterly.
What to enter
Use the calculator above to set your amounts, rates, and tenure. Results update as you move sliders or type values — switch currency if you are planning in USD, INR, or another supported unit.
Step-by-step
- Open the Recurring Deposit (RD) Calculator and enter your amounts, rates, and time period in the input fields.
- Review the results panel — totals update instantly when you change any value.
- Compare the worked example and formula below to verify the math matches your scenario.
- Read the FAQs for common edge cases, tax notes, and planning tips specific to this calculator.
RD — Frequently Asked Questions
Each question is answered directly below. Expand any item for the full response.
How does an RD calculator work?
An RD calculator assumes a fixed monthly deposit and compounds each installment for the remaining term. Because later installments get less time to earn interest, the final value is not the same as a lump sum at the start.
What is the key difference between RD and SIP?
An RD offers predetermined interest based on the product rate, while a SIP invests in market-linked mutual funds with uncertain returns. The trade-off is stability versus the possibility of higher long-term growth.
Is RD interest taxable?
Yes, RD interest is generally taxable at your slab rate in India. The post-tax return can be meaningfully lower than the quoted rate, especially for investors in higher slabs.
Who should consider an RD?
An RD fits savers who want monthly discipline for a short or medium horizon and prefer predictable accumulation. It is often used for planned expenses such as school fees, travel, or a down payment reserve.
Disclaimer
- This calculator gives you an estimate only. It is not a promise of exact results.
- This is general information, not personal financial, tax, or legal advice.
- You are responsible for your own decisions. Talk to a qualified professional when it matters.
- Banks set their own deposit rates and terms. Check with your provider.