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Post Office RD Calculator: How much will you get on Rs 5000 monthly investment for 5 years?

The Post Office Recurring Deposit (RD) offers a secure and steady investment option with guaranteed returns. Ideal for small monthly savings, RDs require a minimum deposit of just Rs 100 and provide attractive interest rates, further boosted for senior citizens.

Post Office RD: High Returns with Guaranteed Safety
Post Office RD: High Returns with Guaranteed Safety
| Updated on: Jul 11, 2025 | 06:29 PM
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New Delhi: People are often looking for guaranteed returns in order to diversify and balance their investment portfolio. A safe, steady growth of a small amount is bound to appeal to a lot of investors. One such investment tool of safety and guaranteed returns is the Post Office RD (recurring deposit).

There is no lump sum amount of money needed to invest in RD scheme. Perhaps this is its biggest USP. It is ideal for those who do not have a lumpsum money to invest. The RD scheme allows a person to invest a small amount and is considered to be a safe investment option which gives a decent return. The lowest amount one can invest in the post office RD is Rs 100. The interest rate of return on RD is 6.40 percent. An additional 30 basis points of interest rate is given to senior citizens.

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Post Office RD Calculator

The RD calculator tells us about how much of the total interest is earned on an RD of Rs 5000 made every month for 5 years. With the current rate of interest of 6.4 percent, the amount of interest earned at the end of 5 years would be Rs 53,981. The principal amount collected over 5 years stands at Rs 3 lakh, whereas the total payback at the end of the investment is Rs 353,981. If an investment is made by a senior citizen, then the total interest earned would stand at Rs 58,674, thereby making the total investment Rs 358,674.

Who is eligible for post office RD?

The criteria for opening an RD account in the post office are quite simple. The following are eligible for RD accounts:

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  • An adult who has attained an age of 18 years (single adult)
  • A Joint Account can be opened with up to three adults.
  • A parent or guardian on behalf of minor
  • A guardian on behalf of person of unsound mind (now termed as authorized account)
  • A minor who has attained the age of ten years
  • Any number of accounts can be opened in individual’s name or jointly with another

Another significant point is that a person can open any number of accounts. It is not mandatory that one individual can open only one account. Multiple RD accounts can be opened. An account is considered discontinued if there are four defaults in monthly deposits. The provision of quarterly compounding is there in post office RDs, meaning in every 3 months interest is calculated and added to total principal amount.

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