RD calculator · Post Office RD 6.7% (Oct–Dec 2026)
RD Calculator 2026: Recurring Deposit Maturity & Interest
By Pratik Bajoria, Chartered Accountant & NISM-certified Research Analyst · Last reviewed 7 Oct 2026 by Pratik Bajoria, CA · Post Office RD rate as of 1 October 2026 (Q3 FY 2026-27)
I recommend RDs more often than people expect from an MFD. Not for wealth. For goals with a date and a number: next year's school fees, a two-wheeler, a wedding 30 months away. You know exactly what you'll have, and that certainty is the whole point.
The Post Office 5-year RD pays 6.7% a year, compounded quarterly, for 1 October – 31 December 2026 (source: National Savings Institute rate table). Bank RD rates change often and vary by tenure, so enter your bank's current card rate in the calculator rather than trusting any number you read online.
Estimated RD maturity value
₹7.1 L
RD formula (quarterly compounding)
Maturity = Σ (k = 1…N) P × (1 + r/4)^((N − k + 1) ÷ 3)
- P = monthly instalment, r = annual rate (decimal), N = tenure in months
- Instalment k stays invested for N − k + 1 months, i.e. (N − k + 1)/3 quarters.
Illustration: ₹10,000 a month for 60 months at 6.7% → about ₹7,13,658 on ₹6,00,000 deposited, i.e. ₹1,13,658 interest. Bank calculators may differ by a few rupees due to rounding and the exact deposit date.
RD maturity table at 6.7% (Post Office 5-year rate)
| Monthly deposit | 1 year | 3 years | 5 years |
|---|---|---|---|
| ₹1,000 | ₹12,442deposited ₹12,000 | ₹39,949deposited ₹36,000 | ₹71,366deposited ₹60,000 |
| ₹2,000 | ₹24,884deposited ₹24,000 | ₹79,898deposited ₹72,000 | ₹1,42,732deposited ₹1,20,000 |
| ₹5,000 | ₹62,210deposited ₹60,000 | ₹1,99,746deposited ₹1,80,000 | ₹3,56,829deposited ₹3,00,000 |
| ₹10,000 | ₹1,24,420deposited ₹1,20,000 | ₹3,99,492deposited ₹3,60,000 | ₹7,13,658deposited ₹6,00,000 |
| ₹25,000 | ₹3,11,051deposited ₹3,00,000 | ₹9,98,730deposited ₹9,00,000 | ₹17,84,146deposited ₹15,00,000 |
Post Office RD has a fixed 5-year tenure; 1- and 3-year columns show the same rate for comparison with bank RDs.
How the rate changes your RD maturity
₹10,000 a month for 5 years (₹6,00,000 deposited):
| RD rate | Maturity | Interest | Interest after 30% slab tax |
|---|---|---|---|
| 6% | ₹7,00,636 | ₹1,00,636 | ₹70,445 |
| 6.5% | ₹7,09,908 | ₹1,09,908 | ₹76,936 |
| 6.7% | ₹7,13,658 | ₹1,13,658 | ₹79,561 |
| 7% | ₹7,19,328 | ₹1,19,328 | ₹83,530 |
| 7.5% | ₹7,28,897 | ₹1,28,897 | ₹90,228 |
Tax column is a simplification (30% slab, ignoring cess and the yearly accrual pattern) to show that the post-tax return is meaningfully lower for high earners.
Chart: ₹10,000 monthly RD growth
The tax surprise most RD savers miss
A common case I see: someone in the 30% slab says their RD “earns 6.7%”. After tax and cess it's closer to 4.6%. Worse, they haven't declared the interest for years because nothing hits the account until maturity. RD interest is taxable each year as it accrues. Your AIS will usually show it, and the department matches it.
The fix is boring: add accrued RD interest to “income from other sources” every year, and submit Form 15G/15H at the bank only if you actually qualify.
Post Office RD vs bank RD vs SIP
| Post Office RD | Bank RD | Equity SIP | |
|---|---|---|---|
| Return | 6.7% fixed (Q3 FY 2026-27) | Fixed; varies by bank/tenure | Market-linked, not guaranteed |
| Tenure | 5 years (extendable 5 more) | Typically 6 months–10 years | Open-ended |
| Safety | Sovereign-backed | DICGC cover up to ₹5 lakh per depositor per bank | Market risk |
| Tax | Interest taxable at slab | Interest taxable; TDS above ₹50,000/yr (₹1 lakh seniors) | Capital gains on redemption |
| Best for | Goals 3–5 years away | Short goals, flexible tenure | Goals 7+ years away |
Building a safety buffer? An RD is a disciplined way to fill the third layer of an emergency fund. For long goals compare the SIP calculator; for a lumpsum use the FD calculator.
Frequently asked questions
What is the Post Office RD interest rate for October–December 2026?
6.7% a year (5-year National Savings Recurring Deposit), compounded quarterly. The Ministry of Finance kept small savings rates unchanged for Q3 FY 2026-27. Your rate is locked for the 5-year tenure at the rate applicable when you open the account.
What will ₹5,000 or ₹10,000 a month in Post Office RD give after 5 years?
At 6.7%: ₹5,000 a month for 60 months grows to about ₹3,56,829 (₹3,00,000 deposited) and ₹10,000 a month to about ₹7,13,658 (₹6,00,000 deposited).
Is RD interest taxable?
Yes. RD interest — bank or post office — is added to your income and taxed at your slab rate in both regimes. Banks deduct TDS under the Income-tax Act when total interest from that bank exceeds ₹50,000 in a year (₹1 lakh for senior citizens); submit Form 15G/15H if eligible. Interest is taxable each year as it accrues even though you receive it at maturity.
Can I close an RD early?
Banks usually allow premature closure with a penalty (typically a lower rate). Post Office RD can be closed after 3 years, but interest is then paid at the post office savings rate. A loan of up to 50% of the balance is allowed after 12 instalments in Post Office RD.
RD or SIP: which is better for monthly savings?
RD gives a fixed, known maturity and suits goals within 1–5 years or money you cannot risk. A SIP in an equity fund has no fixed return and can fall in value, but suits goals 7+ years away. ₹10,000 a month for 5 years is ₹7,13,658 in an RD at 6.7% versus about ₹7,80,824 in a SIP if it earned an assumed 10% — an illustration, not a forecast.
Educational tool only — not investment, tax or legal advice. Figures are formula-based illustrations using the stated assumptions; actual outcomes depend on notified rates, rules and your specific facts. Verify with official sources or a qualified professional before acting. Findost (findost.io) and PaisaGuru by Findost are not affiliated with Findoc, FinDost, or other similarly named brands. PaisaGuru is the AI wealth concierge of Findost.