FD Calculator | Fixed Deposit Calculator

Fixed deposit is a type of term deposit where higher interest rates are provided with low risk. It is a form of investment that is offered by banks and non-banking financial companies. The money that is deposited in this is kept there for a time period that is determined beforehand and it can go from anywhere between 7 days to ten years.

The entire maturity period has a fixed interest rate which is set at the beginning when the deposit was initially opened and it is known to be a very secure type of investment. 

Every bank has a different interest rate and the interest can be calculated in a monthly, quarterly, cumulative, or standard manner. The returns are normally predictable and consistent in nature.

This is known to be the best suitable investment method for senior citizens.

What is an FD Calculator?

A Fixed Deposit Calculator is mainly utilized in order to determine the accrued amount and interest at the period of maturity. It is very easy to use and it is not a time taking process which saves lots of effort.

The fixed deposit interest rate, amount, and tenure are taken to find out the amount of maturity. This is the amount that is received when the tenure of the fixed deposit is complete.

The amount of maturity can quickly be calculated and these amounts, by using different interest rates from banks, can be compared and looked into in order to ensure that the right decision is made when it comes down to the renewal of fixed deposits.

How can a FD Calculator help you? 

  • The calculations made are accurate as it is done automatically and this avoids mistakes in the entire process.
  • It is a time saving method where not much effort is needed to find the interest at the time of maturity.
  • Being completely free for every individual to use, is a vital reason that places emphasis on how beneficial this calculator is to investors. Returns can be calculated and compared among various combinations that are in place and this can be helpful when it comes to planning for the future.
  • The best tenure that is to be chosen for your deposit can be decided based on the maturity amounts that are calculated by using this calculator.

How do FD Calculators work?

There are two ways that Fixed deposit is calculated and calculators are available for both types,

The formula that FD Calculators use to find the fixed deposit with simple interest is, 

  1. M = P + (P x r x t/100)

P stands for the principal amount that is deposited

r denotes the rate of interest per annum

t is the tenure on a yearly basis

M stands for the maturity amount

When the interest is compounded, the formula to be taken is, 

  1. A = P (1+r/n) ^ (n * t)

P stands for the amount of principal

A denotes the Maturity amount

r is the rate of interest in decimals

n equals the number of compounding within a year

t is the number of years

The compound interest is equal to the maturity amount minus the principal amount.

To use the calculator directly, the required inputs need to be specified and this includes the amount deposited, interest rate of deposit, and tenure.

These variables need to be entered in the slots as required in the calculator.

The amount of fixed deposit will be shown after completing these steps.


Q1. How long does the FD Calculator take to use?

Ans: The FD Calculator will give you the output in a matter of seconds.

Q2. Is the FD Calculator free?

Ans: Yes, the FD Calculator does not charge any additional fee or amount of money to be utilized and it is completely free for any individual to make use of its services.

Q3. How is the interest calculated on bank FD?

Ans: When it is for or less than 6 months, the interest for FD is calculated with simple interest, and compounding is done when the period is longer than 6 months.

Q4. What is the minimum tenure for an individual to invest in a FD? 

Ans: 7 days is the minimum tenure that is allowed for individuals to invest in a Fixed Deposit.

Q5. Is the interest that is earned on a fixed deposit taxable?

Ans: Deductions can be claimed up to 1.5 lakh for every financial year according to Section 80C of the Income Tax Act but yes, the interest which is earned on an FD is taxable.

Q6. What should be done if the calculator stops working? 

Ans: If any issues are faced while using the calculator, simply contact a customer representative.

Q7. How is a FD Calculator beneficial with regards to the future?

Ans: Knowing the amount that you will make on your fixed deposits at the end of the tenure can help in making decisions on whether the money should be taken out or reinvested.