Fixed Deposit Calculator
Estimate maturity value, total interest, periodic interest payout, and total payout for cumulative or simple fixed deposits.
Fixed deposit details
Cumulative reinvests interest; Simple calculates interest only on the original principal.
Required. Positive rupee amount; standard or Indian grouping is accepted.
Required. Nominal annual rate from 0% through 100%.
Required. Positive term in years; decimals are allowed.
For cumulative deposits this is compounding frequency; for simple deposits it is the modeled interest-payout interval.
Results
Valid exampleDeposit value over the term
The line shows the same current-state values used by the schedule below, making it easier to see how compounding or simple accrual changes the deposit over time. Its rupee axis is intentionally scaled around the deposit range rather than zero so relatively small interest changes remain legible; use the exact schedule values for absolute comparisons.
Interest schedule
| Period | Time (years) | Opening amount | Interest earned | Closing amount |
|---|
How to use this fixed deposit calculator
What this calculator does
This calculator estimates the maturity amount and interest earned on a fixed deposit from five controls: Fixed deposit type, Principal amount, Interest rate, Term, and Compounding frequency. It models either cumulative compound interest or simple interest on the original principal. It is a planning estimate, not a bank quotation, and it does not model taxes, premature-withdrawal penalties, special day-count rules, discounted monthly payouts, changing rates, or institution-specific rounding.
When to use it
Use it to compare two quoted deposit rates, test how a longer term changes interest, compare monthly versus quarterly compounding for a cumulative deposit, or estimate the periodic interest amount for a simple deposit. Before acting on a deposit offer, compare the calculator with the institution's term sheet because actual payout conventions can differ.
How to calculate
- The calculator opens with a complete demonstration: a ₹100,000 cumulative deposit, 7.5% nominal annual interest, a 3-year term, and monthly compounding. The result and a validated example Excel workbook are available immediately.
- Choose Fixed deposit type. Select Cumulative when interest is reinvested and itself earns interest. Select Simple when interest is calculated only on the original principal.
- Replace Principal amount, Interest rate, and Term with your deposit terms, then choose the stated Compounding frequency. Results, the chart, and the schedule update live.
- Read Maturity amount, Total interest, Payout per interest period, and Total payout. In cumulative mode, periodic interest is shown as reinvested rather than as a cash payout. In simple mode, the periodic payout is the ordinary full-period interest amount; a fractional last period may be smaller in the schedule.
- Use Download Excel to export the current validated inputs, outputs, and full schedule. Reset deliberately clears the demonstration data; while the required fields are empty, Excel export is disabled. Enter a complete valid state to enable it again.
For background on deposit-interest conventions, the Reserve Bank of India term-deposit FAQs explain that payout practices can vary and that some monthly deposit schemes calculate interest on a quarterly basis before making discounted monthly payments. This calculator uses the explicit nominal-rate and frequency model shown here rather than attempting to reproduce every bank-specific convention.
Input guide
Fixed deposit type is required and accepts Cumulative or Simple. Cumulative applies compound interest; Simple applies simple interest. For example, Cumulative is appropriate when your bank reinvests interest. A common mistake is choosing Simple for a product that actually compounds. Principal amount is a required positive rupee amount. Enter values such as 100000, 100,000, or 1,00,000; a leading ₹ symbol is also accepted. Decimal-comma input such as 1,5 is rejected rather than silently reinterpreted. A larger principal increases rupee interest proportionally, all else equal.
Interest rate is the required nominal annual percentage rate, from 0% through 100%; 7.5 or 7.5% are accepted. Enter the stated annual rate, not a monthly rate. Higher rates increase interest, with a compounding benefit in Cumulative mode. Term is required in years, must be greater than zero, and may be fractional; 3 means three years and 0.25 means three months. Compounding frequency is required and offers Monthly, Quarterly, Semiannually, or Annually. In Cumulative mode it sets how often interest is added to the balance; in Simple mode it sets the modeled payout interval and does not change total simple interest for the same annual rate and term.
Output guide
Maturity amount is principal plus modeled interest at the end of the term. Total interest is the amount above principal. Payout per interest period is “Reinvested” in Cumulative mode because interest remains in the balance; in Simple mode it is principal × annual rate ÷ selected frequency for a full period. Total payout is the total modeled value of principal plus interest. The Interest periods card reports the number of selected intervals across the term, including a fractional final interval when necessary. The summary pills repeat the active type, annual rate, term, and frequency so you can verify the scenario at a glance.
The Interest schedule lists Period, Time (years), Opening amount, Interest earned, and Closing amount. In Cumulative mode each closing amount becomes the next opening amount. In Simple mode the model keeps interest based on the original principal while the schedule's closing amount shows principal plus cumulative earned interest so it reconciles to the maturity formula. The line chart visualizes those same closing amounts from the schedule; it is an estimate, not a guaranteed return path.
Worked example
With the startup values – ₹100,000 principal, 7.5% annual rate, 3 years, monthly frequency, and Cumulative type – the periodic rate is 0.075 ÷ 12. The compound formula is ₹100,000 × (1 + 0.075 ÷ 12)36, producing a Maturity amount of ₹125,144.61. Subtracting the ₹100,000 principal gives Total interest of ₹25,144.61. Because the deposit is cumulative, periodic interest is reinvested, and Total payout at maturity is the same ₹125,144.61.
How the fixed deposit formulas work
For a simple fixed deposit, interest is based only on principal: maturity amount = principal × (1 + annual rate × term). For a cumulative fixed deposit, interest is periodically added to the balance: maturity amount = principal × (1 + annual rate ÷ frequency)frequency × term. The rate is converted from percent to a decimal before calculation.
Simple: M = P × (1 + r × t)
More frequent compounding slightly increases the cumulative maturity amount when the nominal annual rate is unchanged. Simple interest behaves differently: changing the payout frequency changes the modeled amount per full payout interval, but not the total simple interest. The SEBI Investor learning resources on compound interest provide additional educational material on interest and compounding.
Interpreting safety, payout terms, and real-world differences
A fixed deposit rate may be contractually fixed, but that does not make every deposit identical or eliminate institution risk. In India, deposit insurance depends on the institution and depositor relationship. The DICGC guide to deposit insurance explains coverage for eligible bank deposits and the applicable combined principal-and-interest limit. Check whether the institution is insured and how multiple balances are aggregated before treating a modeled maturity value as fully protected.
Actual banks may use day-count rules, short-term simple interest, quarterly calculation with discounted monthly payouts, product-specific minimum terms, premature-withdrawal penalties, tax deduction rules, or special senior-citizen rates. A calculator based on a single stated annual rate cannot infer those contractual details. For a second official educational reference, the National Institute of Securities Markets fixed-deposit calculator can be useful for comparing another standardized illustration.