RD Calculator (India)
Work out what a monthly recurring deposit will grow to at maturity. Enter your monthly instalment, the interest rate and the tenure in months.
A recurring deposit (RD) lets you save a fixed amount every month for a set tenure while earning a guaranteed interest rate. Unlike a lump-sum fixed deposit, each monthly instalment is deposited at a different time, so each one earns interest for a slightly shorter period. This calculator adds up the compounded value of every instalment to show your maturity amount and the total interest earned.
How RD maturity is calculated
Indian banks and the post office compound RD interest quarterly. Each monthly instalment grows at the quarterly rate for the number of quarters remaining until maturity, and the maturity value is the sum of all those grown instalments.
where P = monthly instalment, r = annual rate (%), summed over every instalment
| ₹5,000/month at 7% | Maturity |
|---|---|
| After 12 months | ₹62,311 |
| After 36 months | ₹2,00,686 |
| After 60 months | ₹3,59,664 |
Worked example
₹5,000 a month for 5 years (60 months) at 7% p.a., compounded quarterly:
| Total deposited = 5,000 × 60 | ₹3,00,000 |
| Maturity value | ₹3,59,664 |
| Interest earned | ₹59,664 |
RD vs FD — which suits you?
An RD is ideal when you want to save a fixed sum out of each month's income and build a habit. A fixed deposit suits a lump sum you already have. Because RD money goes in gradually, the effective interest earned is lower than an FD of the same headline rate held for the full term — the early rupees work longer than the later ones. Both are low-risk; RD interest is taxable and TDS may apply above the annual threshold.