SavingSample article
Building an emergency fund: how much, and where to keep it
An emergency fund turns a job loss or hospital bill into an inconvenience instead of a debt. How to size it and where to park it.
2 min read
RD calculator
A recurring deposit takes the same amount every month. This shows what it adds up to at maturity.
Result
Maturity value after 2 years
₹1,29,098.90
- You deposit
- ₹1,20,000
- 24 instalments of ₹5,000
- Interest earned
- ₹9,098.90
Deposits and interest, year by year
Each bar is the account's value at the end of that year.
Value over time
| Year | Deposited | Interest | Value |
|---|---|---|---|
| 1 | ₹60,000 | ₹2,310.66 | ₹62,310.66 |
| 2 | ₹1,20,000 | ₹9,098.90 | ₹1,29,098.90 |
How this is calculated
M = Σ R × (1 + r ÷ 4)^(months left ÷ 3)
- R = monthly deposit
- r = yearly rate
- Each instalment earns interest, compounded quarterly, for the months it stays in the account
Assumptions and limits
- Every instalment is paid on time; missed instalments attract a penalty and earn less.
- Interest is compounded quarterly, the usual practice for bank and post office RDs.
- Interest is shown before tax. FD and RD interest is taxed at your slab rate, and banks deduct TDS once yearly interest crosses the threshold for that year.
This calculator gives an educational estimate from the values you enter. It isn't personalised financial, tax or investment advice. Rates, rules and your own situation can change the result. Read the disclaimer