How to Use the Post Office RD Calculator
Using our post office rd calculator is straightforward. You only need to provide two details to see your complete investment breakdown in real time:
- Monthly Deposit Amount: Enter the amount you plan to save each month (minimum ₹100, in multiples of ₹10).
- Tenure: Select 5 Years (the default government RD tenure) or 10 Years (extended tenure).
- View Results: The calculator instantly computes your total principal deposited, cumulative interest earned, and total maturity corpus.
Post Office RD Interest Calculation Formula & Example
Post Office Recurring Deposits compute interest using quarterly compounding. Unlike simple interest, every 3 months your earned interest is added back to your balance, so subsequent interest is earned on both your principal and past interest.
Formula used by the post office recurring deposit calculator:
M = R × [ (1 + i)n - 1 ] ÷ [ 1 - (1 + i)-1/3 ]
- M = Maturity Value
- R = Monthly Deposit Amount
- i = Quarterly Interest Rate = (Annual Rate ÷ 400)
- n = Total Number of Quarters = (Tenure in Years × 4)
Example Calculation (₹10,000 / month for 5 Years at 6.7% p.a.)
- Monthly Investment: ₹10,000
- Tenure: 5 Years (60 months)
- Interest Rate: 6.7% p.a. (Compounded Quarterly)
- Total Principal Deposited: ₹10,000 × 60 = ₹6,00,000
- Total Interest Earned: ₹1,13,659
- Maturity Value: ₹7,13,659
Post Office RD Returns Table (Quick Reference)
Here is a quick payout table showing what different monthly deposits yield at the current 6.7% p.a. interest rate for 5-year and 10-year tenures:
| Monthly Deposit (₹) |
Tenure |
Total Invested (₹) |
Interest Earned (₹) |
Maturity Amount (₹) |
| ₹1,000 |
5 Years |
₹60,000 |
₹11,366 |
₹71,366 |
| ₹2,000 |
5 Years |
₹1,20,000 |
₹22,732 |
₹1,42,732 |
| ₹5,000 |
5 Years |
₹3,00,000 |
₹56,829 |
₹3,56,829 |
| ₹10,000 |
5 Years |
₹6,00,000 |
₹1,13,659 |
₹7,13,659 |
| ₹15,000 |
5 Years |
₹9,00,000 |
₹1,70,488 |
₹10,70,488 |
| ₹25,000 |
5 Years |
₹15,00,000 |
₹2,84,147 |
₹17,84,147 |
| ₹5,000 |
10 Years |
₹6,00,000 |
₹2,54,320 |
₹8,54,320 |
| ₹10,000 |
10 Years |
₹12,00,000 |
₹5,08,639 |
₹17,08,639 |
Key Rules & Features of Post Office Recurring Deposit
1. Deposit Limits & Eligibility
Minimum monthly deposit is ₹100 (in multiples of ₹10). There is no maximum limit. Any resident Indian adult, up to 3 adults jointly, or a guardian on behalf of a minor can open an account.
2. Loan Against RD (50% Rule)
After 1 year of continuous account operation and 12 monthly deposits, you can take a loan up to 50% of the balance. Loan interest is 2% above the RD interest rate.
3. Premature Closure Rules
You can close your RD account after 3 years from opening. However, if closed prematurely, the interest payable will be downgraded to the Post Office Savings Account interest rate (4.0% p.a.).
4. Missed Installments & Default Fee
If an installment is missed, a default fee of ₹1 is charged for every ₹100 of monthly installment. Up to 4 defaults are allowed before the account is marked discontinued.
💡 Advance Deposit Rebate Benefit
If you deposit at least 6 months of installments in advance, India Post awards a cash rebate: ₹10 for 6 months and ₹40 for 12 months (for a ₹100 denomination account, scaled proportionally for higher amounts).
Post Office RD vs Other Government Savings Schemes
| Scheme |
Interest Rate (p.a.) |
Compounding Frequency |
Tenure |
Tax Benefit (Sec 80C) |
| Post Office RD |
6.7% |
Quarterly |
5 Years |
No |
| Post Office Time Deposit (FD) |
6.9% - 7.5% |
Quarterly |
1 to 5 Years |
Yes (5-yr FD only) |
| Post Office MIS |
7.4% |
Monthly Payout |
5 Years |
No |
| Sukanya Samriddhi (SSY) |
8.2% |
Yearly |
21 Years |
Yes |
Why Use Our RD Calculator Post Office Tool?
Planning regular monthly savings requires accuracy. Our rd calculator post office tool ensures:
- Updated Interest Rates: Automatically pre-filled with the latest government-notified interest rate (6.7%).
- Instant & Bug-Free Computation: Instant calculation of your monthly deposits, cumulative interest, and final maturity amount without manual calculation errors.
- 100% Free & Accessible: No login or personal information required—simply enter your amount to view instant projections.
Frequently Asked Questions (FAQs)
The current interest rate for a 5-Year Post Office Recurring Deposit is 6.7% per annum, compounded quarterly.
Post Office RD interest is compounded quarterly. Every quarter (three months), the earned interest is added to your principal balance, accelerating your growth through compounding.
Yes, interest earned on a Post Office RD is taxable according to your income tax slab. TDS (Tax Deducted at Source) may apply if the interest earned in a financial year exceeds ₹40,000 (₹50,000 for senior citizens).
The minimum deposit is ₹100 per month (in multiples of ₹10). There is no maximum limit on how much you can deposit monthly.
Yes. After completing 1 year and depositing at least 12 monthly installments, you can take a loan up to 50% of the total balance in your account. The interest rate on the loan is 2% above the RD interest rate.
If you miss a deposit, a default fee of ₹1 is charged for every ₹100 of monthly installment for each month of default. If you have up to 4 defaults, you can pay the default fee alongside missed installments to revive the account.
Yes, premature closure is allowed after 3 years from the date of account opening. However, the interest payable will be downgraded to the Post Office Savings Account interest rate (currently 4.0% p.a.).
Yes, you can extend your 5-year Post Office RD account for another 5 years (total 10 years). The interest rate applicable during the extended period will remain the same as the original opening rate.