Banks compound cumulative fixed deposits every quarter, so the effective yearly return is a little above the quoted rate. With a monthly or quarterly payout, the interest is paid to you instead and does not compound.
FD interest is added to your income and taxed at your slab. Put your slab in to see what you keep.
How it is worked out
Maturity = P × (1 + r / 4)4t for quarterly compounding, where r is the yearly rate and t the time in years.
Questions
When is TDS deducted?
When the interest one bank pays you in a financial year crosses ₹50,000 (₹1,00,000 for senior citizens), from FY 2025-26. This page checks the deposit you entered; add up all your deposits with the same bank to be sure. Form 15G / 15H stops TDS if your total income is below the taxable limit.
Is TDS the full tax?
No. TDS is 10%; if your slab is higher, the rest is paid when you file the return.
Why is the post-tax figure called 'simple'?
It divides the after-tax gain by the years, without compounding, so deposits of different lengths can be compared quickly.