RD Calculator

Pro

Enter your recurring deposit values below for instant results

Monthly Deposit

₹5,000

Rate of Interest (% p.a.)

Tenure (Years)

10 years

Total Investment

₹6,00,000

Interest Earned

₹2,59,335

Maturity Amount

₹8,59,335

Investment Amount

69.8%

Interest Earned

30.2%

What is an RD Calculator?

An RD Calculator (Recurring Deposit Calculator) is a financial planning utility designed to calculate the maturity value of a Recurring Deposit account. Unlike Fixed Deposits where you invest once, an RD involves depositing a fixed amount of money every month for a specific tenure, earning interest that is typically compounded quarterly.

At Nexli Calculator, our tool helps salaried professionals and disciplined savers estimate their returns. Whether you are saving for a down payment on a car, a wedding, or a dream vacation, this tool shows you exactly how much your small monthly contributions will grow into over time.

Why Use Our RD Calculator?

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Complex Math Simplified

Calculating interest on 12, 24, or 36 separate monthly deposits is difficult manually. Our tool automates the quarterly compounding logic instantly.

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Goal Planning

Determine exactly how much you need to save per month (e.g., $500 vs $1000) to reach a specific target amount by a specific date.

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Compare Returns

See the difference in total interest earned when you choose a longer tenure versus a higher monthly contribution.

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Completely Free

Nexli Calculator offers this savings utility 100% free with no account registration required.

RD Calculation Logic

RD interest is more complex than simple interest because every monthly deposit earns interest for a different duration (the first deposit earns for 12 months, the last for 1 month). Here is the logic:

The Formula

Based on Quarterly Compounding.

M = P × n + Interest
For exact calculation, the Compound Interest formula is applied to every installment individually based on the months remaining.
*Most banks compound interest every quarter (3 months).

Example Scenario

$1,000/month for 1 year at 6%.

Total Deposited: $12,000
Total Interest: Approx $394
Maturity Value: $12,394

How to Use Our RD Calculator

1

Enter Monthly Installment

Input the fixed amount you plan to deposit every month (e.g., $200).
2

Enter Interest Rate

Input the annual interest rate (%) offered by your bank for RD accounts.
3

Select Duration

Choose the number of months or years you will maintain the deposit. Click calculate to view the Maturity Amount.

Frequently Asked Questions (FAQ)

What is the difference between RD and FD? ▼

In a Fixed Deposit (FD), you deposit a lump sum amount once at the beginning. In a Recurring Deposit (RD), you deposit a smaller fixed amount every month for the duration of the tenure.

Can I change the monthly installment amount later? ▼

No. Once you open an RD account, the monthly installment amount is fixed for the entire tenure. If you want to invest more, you usually have to open a separate, new RD account.

Is RD interest taxable? ▼

Yes, similar to FDs, the interest earned on Recurring Deposits is fully taxable according to your income tax slab. Banks may also deduct TDS (Tax Deducted at Source) if interest exceeds the threshold limit.

What happens if I miss a monthly payment? ▼

Banks typically charge a penalty fee for missed installments. Continued non-payment may lead to the premature closure of the RD account.

Is RD better than SIP? ▼

It depends on your risk appetite. RDs offer guaranteed, low-risk returns (around 5-7%). SIPs (Mutual Funds) are market-linked and carry higher risk but historically offer higher returns (10-15%) over the long term.

Is the Nexli RD Calculator free? ▼

Yes, the Nexli RD Calculator is 100% free to use for planning your monthly savings.