# Recurring Deposit Calculator Online

## RECURRING DEPOSIT (RD) CALCULATOR

Recurring deposits (RDs) are investsments that are almost similar to fixed deposits. But, you should make fixed monthly deposits in Recurrring Deposits, which is not like a lump sum amount in fixed deposits. Recurring deposits create a habit of regular investment among  the population. Recurring deposits are by the provided by majority of banks and other financial institutions.

Recurring Deposits returns calculation can be much difficult and complicated for an average investor to find out the amount accurately every time. This is the time where Recurring Deposits an calculator can prove to be very much useful.

A recurring deposit is a type of continuing investment. It can be challenging for the investors to track the returns on these deposits. The interest is formed quarterly and there are several variables involved due to which the calculations are multiparted.

An recurring deposit  deposit calculator ends the difficulties of calculating its returns manually and allows an investor to know the accurate amount of their deposits after the period.

The only thought that the investor has to do manually is the TDS deductions. As per new RBI norms recurring deposit are also responsible for TDS deduction but, it  is not uniform in across financial institutions and that is why recurring deposit  calculators are not taken into consideation.

Other advantages of the recurring deposit calculators are –

• This calculator allows investors to plan their future investments in a better way by offering them the result of the exact amount in their investment.
• It is easy to use and saves a the valuable time of the investors.
• You can never question the accuracy of these calculators. Accurate calculations are essential for wise financial planning.

## Formula to determine Recurring Deposit maturity .

Three variables goes into the calculation of the recurring deposit maturity amount. An recurring deposit account calculator assits these variables to a standard formula to compute the exact maturity amount.

## Recurring Deposit maturity formula –

A = P*(1+R/N)^(Nt)

Here,

 A Maturity amount P Recurring Deposit instalment each month N Compounding Frequency R Recurring Deposit interest rate in % t Tenure

This formula is used in the calculation of Recurring Deposit maturity amount.

Here is an example, a person starts an recurring deposit account for an investment of Rs. 5000 per month for a period of 1 year, i.e. 4 quarters. The interest followed on this account is 8%. The final maturity amount on this particular deposit is calculated using the following formula-

A = P*(1+R/N)^(Nt)
= 5000*(1+.0825/4)^(4*12/12) = 5425.44
= 5000*(1+.0825/4)^(4*11/12) = 5388.64

= 5000*(1+.0825/4)^(4*1/12) = 5034.14
total maturity value

A = Rs 62,730.85

It is not easy to solve this equation manually but with the help of a recurring deposit calculator you will get the accurate results in seconds.

## How to use the Recurring Deposit calculator online?

The recurring deposit calculator available at the our website is easy to use and does not need any subject expertise. We have provided a step-by-step guide to use this online calculator –

Step 1: Insert the monthly amount you would be putting in the recurring deposit

Step 2: Input the number of years and the expected rate of return.

The total value of the investment after the period will be displayed before you in seconds .