National Savings Time Deposit Calculator
Calculate your Time Deposit returns with different tenures
Investment Summary
Growth Over Time
Key Takeaways
Quick Investment Options
Time Deposit Quarterly Breakdown
| Quarter | Starting Balance (₹) | Investment (₹) | Interest Rate | Interest Earned (₹) | Quarter End Balance (₹) |
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For investors who prioritise the safety of their capital above all else, the National Savings Time Deposit (NSTD), commonly known as the Post Office Time Deposit (POTD) or Post Office FD, is a cornerstone of secure financial planning in India. This government-backed scheme offers guaranteed returns and, for certain tenures, significant tax benefits. Our comprehensive
National Savings Time Deposit Calculator is designed to help you accurately estimate your returns, understand the interest calculations, and project the maturity value of your investment for the financial year.
This guide will walk you through how to use the calculator effectively and provide a detailed explanation of the scheme’s features, interest rates, and tax rules, empowering you to make a sound investment decision.
Author’s Note: This calculator provides an estimate based on the data you enter and current interest rates, which are subject to quarterly review by the government. The results are for informational purposes only and should not be considered financial advice. For personalized advice, it is always recommended to consult with a qualified financial advisor.
What is the National Savings Time Deposit (NSTD) Scheme?
The NSTD is a fixed-deposit scheme offered by India Post that functions similarly to a bank FD but comes with a sovereign guarantee from the Government of India, making it one of the safest investment avenues available. It is an ideal choice for risk-averse investors seeking predictable, fixed returns.
Key features of the scheme include:
- Investment Tenures: You can invest for fixed periods of 1, 2, 3, or 5 years.
- Deposit Limits: The minimum investment is ₹1,000, and there is no maximum limit on the amount you can invest.
- Guaranteed Returns: The interest rate is fixed at the time of investment for the entire tenure, ensuring predictable returns.
- Tax Benefits: The 5-year NSTD qualifies for tax deductions up to ₹1.5 lakh under Section 80C of the Income Tax Act, 1961 (if you opt for the Old Tax Regime).
How to Use the National Savings Time Deposit Calculator
Our calculator is designed for simplicity and accuracy. Follow these steps to project your investment returns:
- Enter Your Investment Amount: Input the total amount you wish to deposit (minimum ₹1,000).
- Select the Investment Tenure: Choose your desired lock-in period from the available options: 1, 2, 3, or 5 years.
- Confirm the Interest Rate: The calculator will auto-populate the current interest rate for your chosen tenure. You can adjust this if you are calculating for a different period.
- Calculate Your Returns: The tool will instantly compute your estimated maturity value and the total interest you will earn over the tenure.
Interest Rates and Calculation for FY 2024-25
The Government of India sets the interest rates for the NSTD scheme, which are reviewed quarterly. For the financial year 2024-25, the rates are as follows:
| Tenure | Interest Rate (p.a.) |
| 1-Year Deposit | 6.9% |
| 2-Year Deposit | 7.0% |
| 3-Year Deposit | 7.1% |
| 5-Year Deposit | 7.5% |
A crucial detail of the NSTD scheme is that while interest is compounded quarterly, it is paid out annually. This means the interest earned each year does not get reinvested to earn further interest at the same rate. Instead, it is typically credited to your Post Office Savings Account. This makes the scheme’s effective yield different from a cumulative bank FD.
Why Choose a National Savings Time Deposit?
- Unmatched Safety: As a government-backed instrument, the NSTD offers a sovereign guarantee, ensuring your principal investment is completely secure.
- Guaranteed Returns: The fixed interest rate provides a predictable income stream, shielding your investment from market volatility.
- Tax-Saving Opportunity: The 5-year NSTD is an excellent tax-saving instrument under Section 80C for individuals who prefer fixed-income products over market-linked options like ELSS.
Frequently Asked Questions (FAQs)
What is the current interest rate for a National Savings Time Deposit?
For the financial year 2024-25, the interest rates are 6.9% for a 1-year deposit, 7.0% for 2 years, 7.1% for 3 years, and 7.5% for a 5-year deposit.
Is the interest earned on a Post Office Time Deposit taxable?
Yes, the interest earned annually from an NSTD is fully taxable. It must be declared as “Income from Other Sources” in your tax return and is taxed as per your applicable income tax slab.
Is TDS deducted on the interest from a Post Office Time Deposit?
Yes, as per Section 194A of the Income Tax Act, TDS is applicable if the annual interest earned exceeds ₹40,000 (or ₹50,000 for senior citizens). The TDS rate is 10% if PAN is provided and 20% if it is not. You can submit Form 15G/15H to avoid TDS if your total income is below the taxable limit.
Can I withdraw my Post Office Time Deposit before maturity?
Premature withdrawal is allowed only after six months from the date of deposit and is subject to penalties. For a 5-year deposit opened after November 9, 2023, premature withdrawal is not permitted before 4 years. If withdrawn after 4 years, you will only receive the interest rate applicable to a Post Office Savings Account (currently 4%).