Fixed Deposit / Savings Return Calculator Guide: Formula & Worked Example
Short answer
Maturity value and interest earned on a fixed or term deposit. In the fixed example below, maturity value is 123,143.93. Your answer depends on the inputs and assumptions you choose.
Formula
A = P(1 + r/n)^(n·t)
Use the relationship above with consistent units. The inputs are deposit amount, interest rate, tenure, compounding, tax on interest (optional). Use the input scale shown beside each field and keep time periods and units consistent. Only round the final result for display.
Worked example
- Deposit amount
- 100000
- Interest rate
- 7
- Tenure
- 3
- Compounding
- 4
- Tax on interest (optional)
- 0
- Maturity value: 123,143.93
- Interest earned: 23,143.93
- Tax on interest: 0.00
- Effective annual yield: 7.186%
Understanding the result
Maturity value and interest earned on a fixed or term deposit. Start with the base example, then replace each value with the figure that matches your situation.
Deposit amount
The example uses 100000 for deposit amount. This is an illustration, not a recommended value. Keep the unit and time period shown by the field.
Interest rate
The example uses 7 % / yr for interest rate. This is an illustration, not a recommended value. Keep the unit and time period shown by the field.
Tenure
The example uses 3 years for tenure. This is an illustration, not a recommended value. Keep the unit and time period shown by the field.
Compounding
The example uses Quarterly for compounding. This is an illustration, not a recommended value. Keep the unit and time period shown by the field.
Tax on interest (optional)
The example uses 0 % for tax on interest (optional). This is an illustration, not a recommended value. Keep the unit and time period shown by the field.
What the comparison means
The comparison changes only deposit amount, keeping every other example input fixed. This isolates that input's effect on the primary result. It does not predict future outcomes.
Rates, fees, eligibility, local tax rules and provider rounding can change the final amount. Reference tax and exchange-rate data may be outdated; verify the official source before deciding.
Comparison
| Scenario | Input | Result |
|---|---|---|
| Lower input | Deposit amount: 80000 | Maturity value: 98,515.15 |
| Base example | Deposit amount: 100000 | Maturity value: 123,143.93 |
| Higher input | Deposit amount: 120000 | Maturity value: 147,772.72 |
Common mistakes
- Using the wrong units for deposit amount.
- Comparing results while changing more than one input at a time.
- Rates, fees, eligibility, local tax rules and provider rounding can change the final amount. Reference tax and exchange-rate data may be outdated; verify the official source before deciding.
Checklist
- Confirm deposit amount.
- Confirm interest rate is expressed in % / yr.
- Confirm tenure is expressed in years.
- Confirm compounding.
- Confirm tax on interest (optional) is expressed in %.
- Check the result against your source or provider.
Calculators Percentage Editorial Team
Calculator guides from the Calculators Percentage team. These introductory examples are educational, not professional advice.
Last reviewed:
Rates, fees, eligibility, local tax rules and provider rounding can change the final amount. Reference tax and exchange-rate data may be outdated; verify the official source before deciding.