RD Calculator

A Recurring Deposit (RD) lets you choose a set amount every month and deposit it into your RD account on a designated day. Your money starts compounding at a pre-agreed rate. At the end of your RD tenure, you receive the reward for your patience and discipline in the form of interest earned, in addition to your paid-in amounts. Almost every bank and non-banking financial organization in India offers Recurring Deposits. RD interest is compounded quarterly. However, do note that this interest is also liable for TDS (Tax Deducted at Source), which is not taken into account in this calculator.

Most banks calculate interest on a quarterly basis in a recurring deposit account. The formula used here compounds your monthly RD amount quarterly. It is evaluated using a simple future value formula for recurring cashflows paid at the start of each period (at the start of every month).

a) Calculate the RD maturity amount. b) Determine the monthly contribution amount to get the desired corpus. c) Compare RD returns to other investment schemes. d) Understand the RD scheme eligibility, contribution limits, tax benefits, and withdrawal rules.