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Inputs
monthly deposit, interest rate, tenure, compounding frequency
Kiwi money calculator
RD Calculator
Find out what your monthly recurring deposit will become. Enter your deposit amount, interest rate, and tenure to see the maturity value and total interest earned.
CALCULATOREstimate
Recurring amount saved every month (₹500 to ₹1,00,000).
Annual RD interest assumption (typically 6.5% to 8.5%).
Deposit duration (6 months to 10 years).
Total deposit
Interest earned
RD breakdown: total deposit ₹6.00L, interest earned ₹1.24L, maturity amount ₹7.24L.
17%interest
Maturity amount
₹7.24L
Total deposit
₹6.00L
Interest earned
₹1.24L
FEATURES
Everything you need in one place
Get the number instantly, understand the formula, and know what changes it — all without leaving the page.
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Outputs
maturity amount, total deposit, interest earned, monthly schedule cue
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Education
An RD calculator estimates the maturity value of recurring deposits based on monthly deposit, interest rate, and tenure.
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Kiwi fit
Use payment and credit-card context only when it helps the calculator intent.
HOW TO USE
Get your result in seconds
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Enter your monthly deposit amount
Type the amount you plan to deposit every month into your RD account; this can be any amount starting from Rs 500. The calculator accepts values up to Rs 1,00,000 per month so you can plan for any savings goal.
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Set your tenure and interest rate
Select the duration of your RD (between 6 months and 10 years) and enter the annual interest rate offered by your bank. You can check current rates for SBI, HDFC, ICICI, Post Office, and small finance banks directly on this page and plug in the best rate for comparison.
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See your maturity amount and interest earned instantly
The calculator instantly displays your total amount invested, total interest earned, and the final maturity value using the quarterly compounding formula used by all Indian banks. Adjust any input to compare scenarios side by side until you find the plan that fits your goal.
FORMULA
RD maturity logic
Maturity = sum of monthly deposits compounded until maturity
Quarterly compounding on month-end balances is the RBI/bank-standard assumption used by most Indian banks; a few calculators default to monthly compounding instead, which overstates returns versus what your bank will actually pay. Banks can also use slightly different rounding rules, so state the assumption near the result.
- TDS, premature withdrawal penalties, and missed deposits are excluded.
- Bank rounding and compounding rules can vary.
- Interest rates can change before a user opens an RD.
LEARN MORE
Know before you decide
Why RD Interest Is Taxed Every Year, Not Just at Maturity
Many investors assume RD interest is taxed only when they receive the payout at maturity. In reality, the Income Tax Act requires you to declare RD interest on an accrual basis each financial year, even for cumulative RDs that pay at the end. Failing to report this annually can result in notices from the Income Tax Department.
Post Office RD vs Bank RD: When the Sovereign Guarantee Matters
Post Office RD offers 6.7% per annum with a full sovereign guarantee, making it the go-to choice when capital safety outweighs yield. Bank RDs covered under DICGC insurance are safe up to Rs 5 lakh per bank, but small finance banks offering 8%+ rates carry slightly higher institutional risk. Understanding this trade-off helps you choose the right institution for your risk appetite.
How RDs Fit a Goal-Based Savings Plan
RDs work best as the fixed-income anchor for short-term goals like emergency funds, travel savings, or a down payment target within 2 to 4 years. Pairing an RD (for capital protection) with an equity SIP (for long-term growth) creates a balanced approach that most financial planners recommend for salaried individuals. The Kiwi RD calculator lets you model exactly how much you need to deposit monthly to hit a specific target amount.
Senior Citizen RD Advantage: Extra 0.5% That Adds Up
Senior citizens (60 years and above) receive an additional 50 basis points on RD interest rates at most banks and small finance banks, a benefit mandated by RBI guidelines. On a Rs 10,000 per month RD at 8.75% versus 8.25% over 5 years, this translates to approximately Rs 3,000 to Rs 4,000 in additional interest. Senior citizens can also use Form 15H to prevent TDS deduction if their total income falls below the exemption threshold.
Loan Against RD: Avoid Breaking Your Deposit in an Emergency
If you face a cash crunch before your RD matures, you do not have to close the account and lose interest. Most banks offer a loan of up to 80 to 90% of the accumulated RD balance at a rate that is just 1 to 2% above your deposit rate. This keeps your savings intact, preserves the compounding benefit, and still gives you access to funds when you need them most.
KIWI
Manage your money smarter
Set your savings target with the calculator, then manage your everyday payments on Kiwi so your monthly deposit never misses.
FAQ
Frequently asked questions
What is a Recurring Deposit (RD)?
A Recurring Deposit is a savings scheme offered by banks and post offices where you deposit a fixed amount every month for a predetermined tenure. At maturity, you receive the total deposited amount along with compound interest calculated quarterly. RDs are ideal for salaried individuals who want to build savings discipline without needing a large lump sum upfront.
What is the formula used to calculate RD maturity amount?
The standard formula is M = R x [((1 + i)^n - 1) / (1 - (1 + i)^(-1/3))], where M is the maturity value, R is the monthly instalment, i is the quarterly interest rate (annual rate divided by 400), and n is the number of quarters. Each monthly instalment earns interest from the date it is deposited until maturity, so earlier instalments earn more interest than later ones. For example, depositing Rs 5,000 per month for 12 months at 7% per annum compounded quarterly grows to a maturity value of approximately Rs 62,311, of which about Rs 2,311 is interest earned. The Kiwi calculator applies this formula automatically so you never have to compute it manually.
Is RD interest taxable in India?
Yes, the interest earned on a Recurring Deposit is fully taxable as 'Income from Other Sources' at your applicable income tax slab rate. Crucially, the interest is taxable on an accrual basis each year, not just at maturity. Even if your RD pays out only at the end of the tenure, you must declare the interest earned in each financial year in your ITR. If total interest from all deposits at a single bank exceeds Rs 40,000 in a financial year (Rs 50,000 for senior citizens), the bank deducts TDS at 10%.
How can I avoid TDS on my RD interest?
If your total income is below the basic exemption limit, you can submit Form 15G (for individuals below 60 years) or Form 15H (for senior citizens) to your bank at the beginning of the financial year. This instructs the bank not to deduct TDS on your interest. However, you are still legally required to declare and pay tax on the interest income in your Income Tax Return even if no TDS is deducted.
How is RD interest compounded: monthly or quarterly?
RD interest in India is compounded quarterly as per standard banking practice. If you open an RD account in the middle of a financial quarter (say, May), the instalment earns simple interest from May until the end of June (quarter-end), and compound interest begins from the next quarter onwards. This quarterly compounding is already factored into the Kiwi RD calculator so your maturity amount is accurate.
What happens if I miss an RD instalment?
Banks charge a penalty fee for delayed monthly payments, which varies by institution and the number of days the payment is overdue. If you fail to pay instalments for a prolonged period, most banks reserve the right to close your RD account prematurely. The maturity amount would then be reduced to reflect the lower actual holding period, and interest may be recalculated at a lower premature-closure rate.
Can I withdraw my RD before maturity?
Yes, most banks and post offices allow premature closure of an RD, but it comes with a penalty. Typically, banks reduce the applicable interest rate by 1 to 2 percentage points from the rate offered for the actual holding period. For example, if you close a 2-year RD after 15 months at a bank offering 8% for 2 years, you may earn only around 6.5 to 7% effective interest.
Can I take a loan against my RD?
Yes, most banks allow you to take a loan of up to 80 to 90% of the RD balance accumulated to date. The interest charged on such loans is typically 1 to 2% above your RD interest rate. Since the RD itself acts as collateral, no separate credit check is required, making this a useful emergency liquidity option without breaking your deposit.
What is the RD interest rate range in India in 2026?
RD interest rates in India currently range from about 6.5% at public sector banks like SBI to 8.25% at small finance banks like Suryoday SFB. Post Office Recurring Deposit offers 6.7% per annum compounded quarterly, backed by a sovereign guarantee. Senior citizens generally receive an additional 50 basis points (0.5%) above the regular rate at most banks. Rates at private banks like IDFC First and Yes Bank fall in the 7.25 to 7.3% range.
Is Post Office RD safer than bank RDs?
Post Office RD is considered the safest option because it carries a sovereign guarantee from the Government of India, meaning there is no risk of default. Bank RDs at scheduled commercial banks are covered under DICGC insurance up to Rs 5 lakh per depositor per bank, which covers the vast majority of individual investors. Post Office RD also offers 6.7% with quarterly compounding and has over 22 crore active accounts across India.
RD or SIP: which is better for wealth creation?
It depends on your goal and timeline. RDs are better for short-to-medium-term goals (2 to 4 years) where capital protection is critical, such as saving for a house down payment or an emergency fund. SIPs in equity mutual funds are better for long-term wealth creation (10 years or more) because equity historically compounds at 12 to 15% annually versus the 6.5 to 8% offered by RDs. A practical approach is to use both: RD for near-term goals and SIP for long-term wealth.
What is the minimum and maximum tenure for an RD?
RD tenures typically range from 6 months to 10 years, depending on the bank or institution. Post Office RD has a fixed tenure of 5 years. Most banks offer flexible tenures in monthly increments within this range. The minimum monthly deposit starts at Rs 100 at most public sector banks, though private banks and SFBs may have higher minimums.
What is the minimum monthly deposit for an RD account?
Most public sector banks allow you to start an RD with as little as Rs 100 to Rs 500 per month, while some private banks and small finance banks set the minimum between Rs 500 and Rs 1,000. For example, depositing Rs 500 per month for 5 years at 7.25% grows to a maturity value of around Rs 36,000, of which roughly Rs 6,000 is interest. There is typically no upper limit beyond your bank's per-transaction or KYC thresholds, though the Kiwi RD calculator is calibrated for deposits up to Rs 1,00,000 per month.
Can NRIs open a Recurring Deposit account in India?
Yes, Non-Resident Indians can open an RD through an NRE (Non-Resident External) account, which is fully repatriable and where interest is tax-free in India, or an NRO (Non-Resident Ordinary) account, which is used for India-sourced income and is taxable with TDS deducted at source. NRE RDs typically offer similar rates to resident RDs, while NRO RDs may carry a marginally different rate depending on the bank.
Can I change my monthly RD deposit amount after opening the account?
No, the monthly instalment amount is fixed for the entire tenure once the RD account is opened; you cannot increase or decrease it later. If your savings capacity changes, the usual options are to open a fresh RD alongside the existing one for the additional amount, or to close the current RD prematurely (with the applicable penalty) and restart at a higher instalment.
Can I add or change a nominee on my RD account?
Yes, banks require or strongly recommend nominating a beneficiary when you open an RD account, and you can add, update, or remove a nominee at any time during the tenure by submitting a nomination form at your branch or through net banking. Having a nominee in place ensures the maturity proceeds are paid out quickly to the named person in case of the depositor's death, without requiring a succession certificate for amounts within the bank's threshold.
Calculator outputs are estimates for education and planning. They should not be presented as financial advice, approval, guaranteed savings, or final payable amounts.