Compound Interest Calculator
Calculate how your money grows with compound interest over time.
Last updated: Aug 3, 2026
Disclaimer: Results here are estimates for general understanding only and are not financial, tax, investment or legal advice. Figures assume constant rates and inputs, and may differ from your bank, lender or tax department calculations. Always verify with official sources or a qualified professional before making any financial decision.
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Compound Interest
$$ A = P \left(1 + \frac{r}{n}\right)^{nt} $$
Step 1
$$ P = \text{principal amount} $$
Starting investment or deposit amount.
Step 2
$$ r = \text{annual interest rate (decimal)} $$
Convert percentage rate to decimal (8% → 0.08).
Step 3
$$ n = \text{compounds per year} $$
1 = yearly, 4 = quarterly, 12 = monthly.
Step 4
$$ A = P(1 + r/n)^{nt} $$
Final amount after t years including interest.
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About Compound Interest Calculator
This free compound interest calculator helps you estimate the future value of money invested in fixed deposits, recurring deposits, savings accounts or any interest-bearing instrument popular in India. Banks in India commonly offer quarterly compounding on fixed deposits. Enter principal, interest rate, tenure and compounding frequency to instantly see maturity amount and total interest earned.
Useful for comparing bank FD rates, planning long-term savings goals, and understanding the power of compounding over 5, 10 or 15 years. All calculations run in your browser. No data is stored.
Practical Tips (India)
Tip 1: FD interest is taxed at your slab rate; for a 5-year FD you can claim a deduction up to ₹1.5 lakh under Section 80C.
Tip 2: Senior citizens can get 0.25–0.75% higher FD rates from most Indian banks.
Tip 3: Higher compounding frequency (monthly vs yearly) meaningfully boosts maturity — prefer banks that compound quarterly or monthly.
Frequently Asked Questions
How is compound interest calculated in Indian banks?
Most Indian banks compound interest quarterly on fixed deposits. The formula used is A = P(1 + r/n)^(nt) where n = 4 for quarterly.
What is the difference between simple and compound interest?
Simple interest is calculated only on the principal. Compound interest is calculated on principal plus accumulated interest, leading to faster growth.
Can I use this for SIP or mutual fund returns?
This calculator assumes a fixed rate. For market-linked SIPs use a dedicated mutual fund or SIP calculator that allows variable expected returns.
Does the calculator include TDS?
No. Interest above ₹40,000 (₹50,000 for senior citizens) in a financial year may attract TDS. Check with your bank for exact post-tax maturity.
Is this calculator accurate for India in 2026?
Yes. The mathematical formula is universal. Current bank FD rates in India typically range between 6.5% and 8% for regular deposits.