Post Office RD Calculation: If you are also one of those people who want to save a little bit every month and save a good amount for the future, and that too without any risk, then the Post Office Recurring Deposit (RD) scheme is no less than a boon for you. This is a government scheme where your money is not only completely safe, but you also get good interest on it.
Suppose you deposit ₹2000, ₹3000 or ₹5000 in Post Office RD, then after 5 years when the scheme matures, how much money will you get in total? So, let us understand the complete calculation of this today, that too with the current interest rate of Post Office RD. Get ready, because after seeing these figures, you will also feel like investing in this scheme.
(Note: Post Office RD interest rates are revised by the government every quarter. We are using the interest rate applicable from 1 April 2025 to 30 June 2025.)
1. Post Office RD: Why is it so special? (Post Office RD Scheme)
Post Office Recurring Deposit (RD) is a small savings scheme in which you deposit a fixed amount every month for 5 years. It is great for people who cannot invest a large lump sum but want to make small savings regularly.
- Safety Guarantee: This is a scheme of the Government of India, so your money is 100% safe. There is no fear of sinking.
- Fixed Returns: The interest on this is fixed in advance, hence you know how much money you will get on maturity.
- Starting small: You can start RD from just ₹100 per month.
- Loan Facility: Loan can also be availed on RD account with certain conditions.
- Nomination Facility: You can also make someone a nominee for your account.
2. Post Office RD: What is the current interest rate? (Current Interest Rate on Post Office RD?)
The government reviews the interest rates of small savings schemes every quarter (three months). The interest rate on the 5-year Post Office Recurring Deposit (RD) for the quarter from 1 April 2025 to 30 June 2025 is 6.7% per annum. This interest is compounded quarterly, which means that the interest received every three months is also added to your principal and interest is also received on it for the next three months. This makes your money grow faster.
3. How much will you get in 5 years on RD of ₹2000, ₹3000 and ₹5000?Now let’s get to the most important part – money matters! Here we will calculate based on a 6.7% annual interest rate (compounded quarterly):
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If you deposit ₹ 2000 every month.
- Your total deposit in 5 years (60 months): ₹2000 x 60 = ₹1,20,000
- Estimated interest received on this: Around ₹21,983.
- Total amount received on maturity: Approx ₹1,41,983
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If you deposit ₹3000 every month.
- Your total deposit in 5 years (60 months): ₹3000 x 60 = ₹1,80,000
- Estimated interest earned on this: Around ₹32,975
- Total amount received on maturity: Approximately ₹2,12,975
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If you deposit ₹5000 every month.
- Your total deposit in 5 years (60 months): ₹5000 x 60 = ₹3,00,000
- Estimated interest earned on this: Around ₹54,958
- Total amount received on maturity: Approx ₹3,54,958
| Monthly Deposit (₹) | Total Deposit (in 5 years) (₹) | Estimated Interest (₹) (6.7% p.a.) | Total Amount on Maturity (₹) |
| 2,000 | 1,20,000 | 21,983 | 1,41,983 |
| 3,000 | 1,80,000 | 32,975 | 2,12,975 |
| 5,000 | 3,00,000 | 54,958 | 3,54,958 |
Note: These calculations are approximate and there may be slight difference. For accurate calculation, you can contact the official website or branch of the post office.
4. How to Open Post Office RD Account? (How to Open Post Office RD Account?)
- How to open: You can open an RD account by going to any nearest post office. For this you have to fill a form and submit KYC documents (like Aadhar card, PAN card).
- Regular Deposit: It is important to deposit the monthly installment on time. There may be some penalty in case of delay.
- Duration: The duration of RD is 5 years (60 months). If you want, you can extend it for another 5 years after maturity.
- Premature Closure: You can also close RD prematurely under certain conditions but you may get a lower interest rate on it.
So start investing in Post Office RD
Post Office Recurring Deposit Scheme is a great and safe way for those who want to fulfill their small and big dreams by saving every month in a disciplined manner. As you have seen, even small monthly savings like ₹2000, ₹3000 or ₹5000 can give you a good amount in 5 years. If you also want guaranteed returns and safety of money, then Post Office RD can be a great option for you. Start your savings journey today.
Disclaimer
The information provided here is for informational purposes only and should not be considered as financial advice. Post Office RD interest rates are changed by the government from time to time. For accurate information, check the official website of the post office or contact your nearest branch. Before making any investment decision, assess your financial situation and goals and consult a financial advisor if necessary.
