Post Office RD Calculator
Results:
Total Deposits: ₹0
Interest Earned: ₹0
Maturity Amount: ₹0
Post Office Recurring Deposit: A Smart Investment Choice
Post Office Recurring Deposit (RD) is a popular savings scheme offered by India Post that helps individuals save regularly while earning guaranteed returns. With current interest rates of 6.7% (Q2 2024), this government-backed scheme provides a safe and reliable investment option.
Key Benefits of Post Office RD:
- Guaranteed returns with government security
- Affordable monthly investments starting from ₹100
- Tax benefits under Section 80C of Income Tax Act
- Flexible tenure options (6 months to 5 years)
- Easy account opening process
How Our RD Calculator Works
Our advanced RD calculator uses the standard recurring deposit formula to estimate returns:
Maturity Value = P × [(1 + r/n)^(nt) – 1] / (1 – (1 + r/n)^(-1/3))
Where:
P = Monthly deposit amount
r = Annual interest rate
n = Number of compounding periods per year
t = Tenure in years
Frequently Asked Questions
Q1. What is the minimum investment period for Post Office RD?
The minimum tenure for Post Office RD is 6 months, extendable in multiples of 3 months up to 5 years.
Q2. Can I withdraw my RD amount prematurely?
Premature withdrawal is allowed after 3 years with a 1% penalty on the interest rate. Partial withdrawals are not permitted.
Q3. How is RD interest taxed?
Interest earned is taxable under Income Tax Act. However, investments up to ₹1.5 lakh qualify for Section 80C deductions.
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