Recurring Deposit Calculator: Monthly Savings with Guaranteed Returns
When Guaranteed Matters More Than Growth
A Recurring Deposit (RD) lets you invest a fixed amount monthly at a guaranteed interest rate. It’s the simplest disciplined saving tool — no market risk, no NAV fluctuation, and your principal is never at risk. RDs compound quarterly, so you earn slightly more than the advertised annual rate.
RD vs SIP: Different Tools, Different Purpose
| Recurring Deposit | SIP (Mutual Fund) | |
|---|---|---|
| Returns | 6.5–7.5% (guaranteed) | 10–15% (expected, not guaranteed) |
| Risk | Zero | Market-linked |
| Tax on returns | Fully taxable at slab | LTCG 12.5% (above ₹1.25L for equity) |
| Liquidity | Premature withdrawal with penalty | T+1 to T+3 redemption |
| Best for | Short-term goals (1–3 years), risk-averse investors | Long-term wealth creation (5+ years) |
RD Maturity Examples (at 7% p.a.)
| Monthly Deposit | Tenure | Total Deposited | Maturity Value |
|---|---|---|---|
| ₹5,000 | 1 year | ₹60,000 | ₹62,100 |
| ₹5,000 | 3 years | ₹1,80,000 | ₹2,00,400 |
| ₹10,000 | 5 years | ₹6,00,000 | ₹7,19,500 |
Use the RD calculator for exact maturity amounts at your bank’s specific rate.