RD Calculator – FAQs
How do you calculate RD maturity?
We simulate monthly cashflows, add interest monthly, and credit it to balance at your chosen compounding boundary (quarterly by default).
Why quarterly compounding?
It mirrors most bank policies. If your bank compounds monthly, switch to “Monthly”.
What does step-up deposit mean?
Your monthly deposit increases by a fixed % at months 13, 25, … to mimic salary increments.
Can I model missed payments?
Yes—enter month numbers in “Skip Months” (comma separated). Those months won’t add a deposit.
What is the catch-up field?
An extra lump sum you add at the chosen month to cover skips or boost corpus.
How is TDS estimated?
We keep a per-FY interest bucket, apply your threshold (₹40k/₹50k), then compute TDS at your rate.
Is slab-wise tax included?
No. We estimate TDS only. Your slab may require additional tax or refund.
What happens on premature closure?
We apply a penalty in basis points to the applicable rate up to exit month and return the estimated proceeds.
Does step-up change TDS?
Yes—higher deposits earn more interest; crossing threshold may trigger TDS.
Why is maturity lower than expected?
Quarterly compounding vs monthly, skipped months, penalty on early exit, or the inflation view.
What inflation number should I use?
Use your medium-term CPI expectation (e.g., 4–6% for India). It adjusts the “real value” insight only.
Can minors open RDs?
Usually yes with a guardian. TDS rules apply.
Can I export the full schedule?
Yes—use the “Download Schedule CSV” button.
Is this an offer?
No—it’s an educational illustration. Bank terms prevail.
How to improve returns?
Prefer higher rate banks, add annual step-ups, avoid skips, and avoid early closure if possible.