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Recurring Deposit Calculator
Plan a recurring deposit with confidence. Enter your monthly instalment, the interest rate and the tenure, then press Calculate to see the maturity value and the interest your savings will earn.
Written by TopicDrill Editorial Team·Updated June 2026
Balance over time
Balance Deposited
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How the recurring deposit calculator works
A recurring deposit rewards steady saving. Each month you pay in the same instalment, and the bank compounds interest quarterly on the growing balance. Because every instalment is invested for a different length of time, the maturity value is not simply your deposits times a flat rate. This tool simulates each month so the figure matches what your bank will actually pay.
The chart separates the two parts of your maturity value. The shaded area is the account balance climbing each year, and the dashed line is the plain sum of instalments you have paid in. The space between them is the interest the deposit has earned.
A quick example
Pay 5,000 a month for five years at seven percent. You deposit 300,000 of your own money across sixty instalments, and the recurring deposit matures at roughly 358,800. The extra 58,800 or so is interest, earned because each instalment kept compounding from the day it landed in the account.
Things to keep in mind
Advertised RD rates change with the policy environment, and senior citizens often get a small bonus rate. For background on how deposit rates move, see the Reserve Bank of India. If you instead have a single lump sum to invest, compare the outcome with our future value calculator.
Frequently asked questions
What is a recurring deposit?
A recurring deposit is a savings product where you pay a fixed amount into the account every month for a set tenure. Each instalment earns interest until maturity, and the bank pays back your deposits plus the accumulated interest as a single lump sum at the end.
How is RD interest calculated?
Banks compound recurring deposit interest every quarter rather than monthly. Each instalment earns interest only for the months that remain until maturity, so the very first deposit earns the most and the final one earns the least. This calculator sums every instalment with its own growth period to give the exact maturity value.
Is recurring deposit interest taxable?
Yes. Interest earned on a recurring deposit is added to your income and taxed at your slab rate, and banks may deduct tax at source once the interest crosses the threshold for the year. The maturity figure shown here is before any such tax is applied.
How is an RD different from a fixed deposit?
A fixed deposit takes one lump sum up front, while a recurring deposit builds up through equal monthly instalments. Because the money in an RD goes in gradually, the average balance earning interest is lower, so an RD usually returns less than a fixed deposit of the same total amount and rate.
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