What is the Recurring Deposit Calculator?
The recurring deposit calculator is a free online tool that helps you work out recurring deposit quickly and accurately. It uses the standard formula Each monthly deposit compounds quarterly until maturity; M = sum of P x (1 + r/4)^(quarters remaining) and shows the result instantly as you type, along with a full breakdown so you can see exactly how the answer was reached.
How to use this calculator
- Enter the monthly deposit.
- Enter the annual rate.
- Enter the tenure in months.
- See the maturity amount.
Formula used
Each monthly deposit compounds quarterly until maturity; M = sum of P x (1 + r/4)^(quarters remaining)Explanation of each input
- Monthly deposit โ the monthly deposit used in the calculation.
- Annual interest rate (%) โ the annual interest rate used in the calculation.
- Tenure (months) โ the tenure used in the calculation.
Understanding your result
- Total deposited โ the calculated total deposited.
- Interest earned โ the calculated interest earned.
- Maturity amount โ the calculated maturity amount.
Step-by-step calculation
For the example values 5000/month, 7%, 12 months:
- Apply the formula:
Each monthly deposit compounds quarterly until maturity; M = sum of P x (1 + r/4)^(quarters remaining) - Substitute the values: Each instalment compounds quarterly
- Result: Deposited 60000; maturity about 62296
Worked example
| Inputs | 5000/month, 7%, 12 months |
|---|---|
| Working | Each instalment compounds quarterly |
| Result | Deposited 60000; maturity about 62296 |
Benefits and practical uses
This calculator saves you time and reduces errors when you need recurring deposit. It is useful for students, professionals and anyone who wants a fast, reliable answer without manual calculation. Results update instantly, work in your browser and can be copied or shared in one click.
Assumptions and limitations
- Quarterly compounding.
- Equal monthly deposits.
- No missed instalments; TDS ignored.
Frequently asked questions
What is a recurring deposit?
An RD lets you deposit a fixed amount every month and earn compound interest, ideal for disciplined saving.
How is RD interest calculated?
Indian banks compound RD interest quarterly on each instalment for its remaining tenure.