Online Recurring Deposit RD Calculator
Calculate your systematic monthly savings, accumulated interest, and maturity value based on standard Indian bank rules.
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Save hours every week. Import purchase invoices, sales bills, and bank statements directly into Tally in 1-click.
💡 Unlike an FD where the whole principal grows from Day 1, an RD involves monthly installments. Interest on the first installment compounds for the full tenure, while the last installment compounds for only one month. The IBA formula takes care of this compounding gradient automatically.
How RD Compounding Works
A Recurring Deposit (RD) is a systematic savings tool designed for individuals who want to deposit a fixed sum monthly rather than a lump sum. RDs earn stable interest comparable to FDs. In India, RD interest is compounded quarterly using the standard IBA mathematical model:
Where:
- M = Maturity Value
- R = Monthly Installment
- n = Number of quarters (total tenure in months / 3)
- i = Quarterly interest rate (Annual Rate / 400)
TDS (Tax Deducted at Source) and Income Tax on RD
Interest earned on RDs is fully taxable under "Income from Other Sources" at your applicable slab rate. The tax rules are synchronized with FD tax guidelines:
- TDS threshold: If your interest income across all deposits with a bank exceeds ₹40,000 per year (or ₹50,000 for senior citizens), u/s 194A, banks will deduct TDS.
- TDS Rates: 10% if PAN is provided, and 20% if PAN is not linked.
- You can submit Form 15G or Form 15H if your total annual income is below the taxable threshold to declare tax exemption.
RD Accounts Key Features
- Tenure: Usually ranges from a minimum of 6 months to a maximum of 10 years.
- Premature Withdrawal: Allowed, but with a penalty (usually 0.5% to 1% reduction in interest rate for the period the deposit remained with the bank).
- Grace Period: Most banks allow a grace period of a few days for late payments. Regular delayed payments can result in penalties and reduced interest payouts.
Understanding Recurring Deposits (RD)
A Recurring Deposit is a powerful way to build up a significant lump sum using regular monthly contributions. Unlike a Fixed Deposit, you do not need to invest a large amount upfront. This makes RDs an ideal saving strategy for salaried professionals.
1. Encourages Saving Habits
With a fixed amount automatically deducted or deposited each month, an RD enforces financial discipline and builds a cushion for short-term goals.
2. Higher Interest than Savings Accounts
RDs earn interest rates equivalent to Fixed Deposits, which is significantly higher than standard savings bank interest rates.
RD Maturity Computation Example
If you deposit ₹10,000 monthly in a commercial bank for a period of 5 years (60 months) at an interest rate of 6.8% p.a.:
| RD Investment Parameters | Value Details |
|---|---|
| Monthly Installment | ₹10,000 |
| Total Invested Principal | ₹6,00,000 |
| Compounding rests | Quarterly (Compounded every 3 months) |
| Estimated Interest Earned | +₹1,16,155 |
| Final Maturity Value | ₹7,16,155 |
Frequently Asked Questions
Everything you need to know about TrulyInvoice for Tally Prime.
On clear digital PDF invoices, TrulyInvoice achieves approximately 96% field-level extraction accuracy based on internal benchmarks. Accuracy on handwritten or low-resolution scanned invoices is approximately 88-90%. Our review-first workflow ensures you catch and correct any AI omissions before they reach Tally.
TrulyInvoice differs from Suvit in three specific ways: (1) Bulk upload support — TrulyInvoice processes multi-file batches at once vs Suvit's 10-invoice cap. (2) Transparent monthly plans starting at ₹399/month for 1,000 pages (Lite), ₹599 for 2,000 pages (Plus), and Custom High Volume Plans vs Suvit's annual subscription model. (3) Multi-user team seating (up to 3 seats) sharing a single voucher quota. Suvit includes broader module coverage like GST filing that TrulyInvoice focuses on purely as a dedicated invoice-to-Tally engine.
Yes. TrulyInvoice's AI extracts data from handwritten invoices, PDFs, scanned images, and multi-page documents. It's trained on diverse Indian invoice formats including handwritten text.
Setup is typically quick: sign up, enable Port 9000 in Tally settings, install the connector, and test with a sample invoice.
TrulyInvoice supports common GST scenarios and can help map interstate (IGST) and intrastate (CGST+SGST) flows based on invoice and ledger data.
TrulyInvoice supports PDF invoices, JPG/PNG images, scanned documents, and handwritten invoices. It works with GST invoices, purchase bills, and sale invoices from any Indian vendor.
Yes. TrulyInvoice works with Tally running on your local computer. Enable Port 9000 in Tally settings (F1 > Settings > Connectivity) and the connector handles the rest. No cloud hosting required.
TrulyInvoice automatically creates missing ledgers and stock items in Tally. You can also create them manually in Tally and click Refresh to sync.
Yes. Invoices are encrypted in transit and at rest. The Tally sync happens on your computer — data never leaves your network during the sync process.
TrulyInvoice processes most invoices in 15-30 seconds from upload to Tally sync. This includes AI extraction, your review, and the actual sync. A single user can process 100+ invoices in under an hour with the review-first workflow.
TrulyInvoice includes a mandatory review step before syncing. You can edit any field the AI extracted. Additionally, mathematical validation checks if amount equals quantity multiplied by rate, flagging potential calculation errors automatically before they reach Tally.
No technical expertise required. Setup involves three simple steps: enable Port 9000 in Tally settings (F1 > Settings > Connectivity), download the connector app, and sign in. Most users complete setup in under 5 minutes. Phone and WhatsApp support is available if needed.
Yes. You can upload up to 20 invoices per batch upload (PDFs, scans, or photos). The system processes them sequentially with 99%+ accurate AI extraction, and you can review and sync them individually or in batches to Tally Prime.
TrulyInvoice creates both Purchase and Sales vouchers in Tally. It supports standard GST scenarios including intra-state (CGST+SGST) and inter-state (IGST) transactions. The system auto-maps GST rates and creates appropriate ledgers based on your invoice data.
Yes. TrulyInvoice includes a free 14-day trial with instant signup — no credit card required. Plans start at ₹399/month for Lite (1,000 pages) and ₹599/month for Plus (2,000 pages, 2 seats) after your trial ends. No hidden costs.
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Upload Invoice
Drag & drop PDFs, scans, or photos.
AI Extraction
Line items, tax, and ledgers mapped.
1-Click Review
Verify extracted details on dashboard.
Direct Sync
Vouchers created instantly in Tally Prime.