RD Calculator
Work out the maturity value and interest earned on a recurring deposit — pick your monthly amount, rate and tenure.
How to use this RD calculator
A recurring deposit (RD) lets you save a fixed amount every month and earn interest on it, much like a piggy bank that pays you. Enter the monthly deposit you plan to set aside, the annual interest rate your bank offers, and the tenure in months. Pick your currency from the dropdown if you are saving outside India. The calculator instantly shows the maturity value, how much you deposited in total, and the interest you earned along the way.
How this is calculated
We treat each monthly deposit as growing with monthly compounding until the term ends. With a monthly rate of i = rate ÷ 12 ÷ 100 and n months, the maturity value is M × ((1 + i)n − 1) ÷ i, where M is your monthly deposit. Your total deposited is simply M × n, and the interest earned is the difference. This is a close estimate: many Indian banks actually compound RD interest quarterly rather than monthly, so your bank's quoted figure may differ by a small amount.
Educational estimate, not financial advice — see our disclaimer.
A worked example
Suppose you deposit ₹5,000 every month for 60 months (5 years) at 7% per year. Over the full term you put in ₹3,00,000 of your own money (₹5,000 × 60). With monthly compounding, the balance grows to roughly ₹3,58,000, so you earn about ₹58,000 in interest — money that arrives purely from leaving your savings to compound. The earlier deposits sit in the account longest, so they earn the most, which is why a longer tenure boosts the interest share noticeably.
RD vs FD: which fits you?
A recurring deposit suits savers who want to build a habit by setting aside money each month, while a fixed deposit suits those who already have a lump sum to park. Both usually offer similar interest rates, but because RD money is invested gradually, the average balance is lower than a same-sized FD — so an FD on the full amount tends to earn slightly more over the same period. If you have the lump sum today, compare with our FD calculator before deciding.
Tips to get more from your RD
- Pick the longest tenure you can commit to — interest compounds, so more months means a bigger share of growth.
- Automate the monthly debit — missing instalments can attract penalties and reduce your maturity value.
- Shop the rate — even half a percent difference adds up over several years; small finance banks and post office schemes often pay more.
- Mind the tax — RD interest is taxable as income in India, and banks may deduct TDS once interest crosses the threshold, so your in-hand return can be a little lower.