FD Calculator India
Maturity, TDS & Post-Tax Return
Work out your fixed deposit maturity with quarterly compounding, see whether TDS applies under the 2026-27 thresholds, and find out what the FD really earns after tax, for your slab and regime.
Read the full answer — method, rates and figures
Quick answer: Cumulative FDs in India compound quarterly: maturity = P × (1 + r/4)^(4 × years). ₹5,00,000 at 6.5% for 3 years matures at ₹6,06,704. FD interest is taxed at your slab rate every year, even on a cumulative FD.
From 1 April 2026, TDS under section 393(1) of the Income-tax Act, 2025 (formerly 194A) is 10% once a bank's interest to you in the year exceeds ₹50,000 (₹1,00,000 for senior citizens 60+), counted per bank. Form No. 121 replaces Forms 15G/15H for a nil-tax declaration.
Seniors under the old regime can deduct up to ₹50,000 of deposit interest under section 80TTB. DICGC insures up to ₹5 lakh per depositor per bank.
RBI repo rate 5.25%; next MPC decision 7 October 2026. Sources: incometaxindia.gov.in, rbi.org.in, dicgc.org.in (verified 23 Sep 2026).
RBI range for major banks, term deposits over 1 year: 6.00–6.75% (as on 22 September 2026). Enter your own bank's rate.
Rates include 4% health & education cess.
The TDS threshold is counted per bank, across all your deposits there.
Maturity value
₹6.07 lakh
after 3y, gross
Total interest
₹1.07 lakh
6.66% a year
TDS deducted
₹0
under ₹50,000/yr
Post-tax return
5.34%
₹84,509 kept
What this FD really earns
- • Interest over 3y: ₹1,06,704 gross
- • Final tax at 20.8%: ₹22,194
- • No TDS: the interest from this bank stays under ₹50,000 a year. The ₹22,194 tax is still due when you file.
- • Every 0.25 point on the rate is worth ₹3,558 to you after tax over this tenure. Compare offers before booking, because a fixed-rate FD keeps its rate for the whole term.
Last reviewed 23 September 2026 by the Richify AI agent team.
Reviewed by Lily, Richify's AI Financial Teacher — an AI author, presented as one.
This is the textbook answer. Want to see this calculated against your actual accounts?
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Track my FDs freeHow it works
This calculator separates three numbers that FD calculators usually blur together:
- Interest — quarterly compounding for cumulative FDs of 6 months or more, simple interest below 6 months, and non-compounding periodic payouts for quarterly and monthly FDs.
- TDS — 10% of each year's interest once your interest from that bank crosses ₹50,000 (₹1,00,000 for seniors) in the year. It is worked out year by year because a cumulative FD is taxed as interest accrues, not only at maturity.
- Final tax — your slab rate plus 4% cess on the interest, less the 80TTB deduction for seniors under the old regime. The post-tax return is what the FD actually earns you after tax.
The maturity figure is gross: if your bank takes TDS out of the deposit itself rather than your savings account, the amount you receive at maturity will be lower by that TDS, which you then claim back when you file.
How much will my FD earn after tax?
₹5,00,000 in a 3-year cumulative FD at 6.5% matures at ₹6,06,704, a gross return of 6.66% a year. In the 20% slab (20.8% with cess), ₹22,194 of the ₹1,06,704 interest goes in tax, leaving a post-tax return of 5.34% a year. No TDS is deducted: the first year's interest is ₹33,301, below the ₹50,000 threshold. The tax is still due, and you pay it when you file.
FD interest is taxed at your full slab rate every year, including on a cumulative FD where the interest is only paid out at maturity. That is why an FD's post-tax return is well below the headline rate for anyone in the 20% or 30% slab, and why the calculator above shows both.
TDS on FD interest in 2026-27: the thresholds
| Depositor | No TDS up to* | TDS above it |
|---|---|---|
| Resident, below 60 | ₹50,000 | 10% |
| Senior citizen (60+) | ₹1,00,000 | 10% |
* Interest from one bank in one financial year, across all your deposits there.
These are the limits in section 393(1) of the Income-tax Act, 2025, which replaced section 194A from 1 April 2026 with the same figures. Once the interest a bank pays you in the year crosses the limit, TDS is deducted on the whole interest, not only the excess. Splitting deposits across FDs at the same bank does not help, because the limit is per bank. If your total tax for the year will be nil, submit Form No. 121, which replaced Forms 15G and 15H, to stop the deduction. NRIs are taxed differently: interest on NRO deposits has TDS under a separate provision, and the NRI TDS calculator covers it.
Will FD rates change after the RBI's October 2026 policy?
The RBI's repo rate is 5.25%, and its Monetary Policy Committee next announces a decision on 7 October 2026. We do not forecast that decision. What matters for your FD is this: a standard fixed-rate FD keeps the rate it was booked at for its whole term, so a repo change moves the rates banks offer on new deposits, not the one you already hold. The RBI's own figure for major banks' term-deposit rates over one year is 6.00–6.75% (as on 22 September 2026). The calculator shows what a 0.25-point difference in your rate is worth over your tenure, so you can put a rupee figure on waiting or booking now.
FD vs PPF, NSC and SCSS
An FD's advantages are flexibility, liquidity and any tenure from a week to ten years. It is fully taxable at your slab rate, and only the 5-year tax-saver FD qualifies for section 80C, under the old regime. The government schemes trade flexibility for tax treatment or rate. The PPF calculator covers PPF, which is tax-free (EEE) but locks money for 15 years. The NSC calculator covers NSC: a fixed 5-year rate, with interest deemed reinvested under 80C. For anyone 60 or older, the SCSS calculator shows the government-backed quarterly payout an FD is usually compared with. If the FD is your emergency buffer, the emergency fund calculator sizes it. Remember that breaking an FD early usually costs a penalty on the rate.
Primary sources, verified 23 September 2026: Income Tax Department — Income-tax Act, 2025 s.393(1) Table Sl. No. 5(ii) and s.393(6); Form No. 121 (earlier Forms 15G & 15H); s.80TTB. RBI — Current Rates and the MPC schedule for 2026-27. DICGC — deposit insurance FAQs. Education only, not tax advice.
FY 2026-27 is Tax Year 2026-27. The Income-tax Act, 1961 stands repealed on 01.04.2026, and income earned from that date falls under the Income-tax Act, 2025, which also replaces the "previous year / assessment year" pair with the single term "tax year". Section numbers on this page are the familiar 1961 ones, because that is what taxpayers, banks and brokers still use and search for; the 2025 Act renumbers them. Budget 2026 left slabs, cess, surcharge and the rebate unchanged. General information, not personalised tax advice — confirm with your CA.
How to use this calculator
- Enter the amount you plan to deposit.
- Enter the rate your bank is offering you. We do not pre-fill bank rates because they change weekly; the 6.5% default sits inside the 6.00–6.75% range the RBI publishes for major banks' term deposits over one year (as on 22 September 2026). Many banks offer senior citizens a higher rate, so enter that if it applies.
- Set the tenure in years and months, and choose cumulative (interest reinvested, paid at maturity) or a quarterly or monthly payout.
- Tick 'Senior citizen' if you are 60 or older. This raises the TDS threshold to ₹1,00,000 and, under the old regime, applies the ₹50,000 section 80TTB deduction.
- Add any other interest you already earn at the same bank this year, since the TDS threshold is counted per bank, not per FD. Then pick your regime and slab to see the tax you actually owe and the post-tax return.
❓ Frequently Asked Questions
How is FD interest calculated in India?
Most banks compound a cumulative (reinvestment) FD quarterly: maturity = P × (1 + r/4)^(4 × years). ₹5,00,000 at 6.5% for 3 years matures at ₹6,06,704, of which ₹1,06,704 is interest. FDs shorter than 6 months earn simple interest.
Quarterly-payout FDs pay P × r ÷ 4 every quarter and do not compound; monthly-payout FDs pay a slightly discounted monthly amount so that three months add up to the quarterly figure.
When is TDS deducted on FD interest?
From 1 April 2026 TDS on deposit interest falls under section 393(1) of the Income-tax Act, 2025 (the old section 194A). The bank deducts 10% once the interest it pays or credits to you in the financial year exceeds ₹50,000, or ₹1,00,000 if you are a senior citizen (60+).
The limit is counted per bank across all your deposits there, not per FD. On a cumulative FD, TDS is deducted each year on the interest accrued, even though you receive nothing until maturity.
Give the bank your PAN; without it TDS is deducted at a higher rate.
How do I stop TDS on my FD — Form 15G, 15H or Form 121?
From tax year 2026-27, Forms 15G and 15H are replaced by a single Form No. 121, a declaration under section 393(6) that the tax on your estimated total income for the year will be nil. Submit it to each bank at the start of the year.
A resident senior citizen can file it whenever their final tax is nil. Anyone younger cannot use it if their total income of the covered kinds (interest, dividends and similar) for the year exceeds the basic exemption limit, even if a rebate would bring their tax to zero.
A false declaration is an offence, so only file it if your tax really is nil.
Is TDS the same as the tax I owe on FD interest?
No. TDS is a 10% advance payment, not the final tax. FD interest is added to your income under 'Income from other sources' and taxed at your slab rate plus 4% cess.
If your slab is 20% or 30%, you owe the difference when you file; if your income is below the taxable limit, you claim the TDS back as a refund. You must report the interest even when no TDS was deducted — it appears in your AIS either way.
What is the 80TTB deduction for senior citizens on FD interest?
Under the old tax regime, a resident senior citizen can deduct up to ₹50,000 a year of interest on deposits with banks, co-operative banks and post offices, FDs included (section 80TTB). It is not available under the new regime.
It is a single ₹50,000 limit across all your banks, not one per bank. Younger taxpayers get section 80TTA instead, which covers savings-account interest only, not FDs.
Is my FD safe if the bank fails?
Deposits in banks insured by DICGC, a wholly owned RBI subsidiary, are covered up to ₹5 lakh per depositor per bank, principal and interest together. Deposits at different branches of the same bank are added together for the limit; deposits at different banks are covered separately.
That makes the ₹5 lakh ceiling a practical reason to split large sums across banks. Corporate FDs from NBFCs and companies are not DICGC-insured.
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Further Reading
Your FDs are one line of your net worth
Richify puts your FDs next to your home, PPF, mutual funds and foreign accounts, so you see one number, and when a deposit is about to mature.
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