Fixed Deposit (FD) Calculator
Calculate the exact maturity amount and interest for any Fixed Deposit. Compare compounding frequencies to find your true effective annual rate.
Investment Report
EQUIS Take (Asli Sach)
30% tax bracket walo ke liye FD returns inflation (mehengai) ko beat nahi kar paate. FD tabhi theek hai jab
The Math Behind Fixed Deposit (FD) Calculator
Understanding the true mechanics of this instrument helps you make optimal decisions with your money.
1. Compounding Frequency Matters
A bank advertising 7% interest may compound monthly, quarterly, or annually. Quarterly compounding (most common in India) earns slightly less than monthly. Always compare the Effective Annual Rate (EAR), not just the nominal rate.
2. TDS on FD Interest
Banks deduct 10% TDS if your total FD interest exceeds ₹40,000 (₹50,000 for seniors) in a year. Submit Form 15G (below 60) or Form 15H (seniors) to avoid TDS if your total income is below the taxable limit.
3. Premature Withdrawal Penalty
Breaking an FD early attracts a penalty of 0.5% to 1% on the applicable rate. Always ladder your FDs (e.g., split one big FD into three with staggered maturities) to maintain liquidity without penalty.