Annuity Deposit Scheme Future Value Calculator
Estimate maturity amount, total contribution, and total interest for regular deposits.
Note: This is an estimation tool. Actual returns may vary by product terms, taxes, fees, and bank/NBFC policies.
What is an annuity deposit scheme?
An annuity deposit scheme is a savings strategy where you deposit a fixed amount at regular intervals—monthly, quarterly, or yearly—over a chosen period. The deposits earn interest, and your accumulated corpus grows over time through compounding. It is commonly used for goal-based planning such as retirement, education, or wealth creation.
Unlike a one-time lump-sum investment, this model builds discipline. You contribute consistently and let time plus compounding do the heavy lifting.
How this calculator works
This calculator estimates the future value of your recurring deposits. It supports:
- Different deposit frequencies (monthly/quarterly/half-yearly/yearly)
- Different compounding frequencies
- Deposit timing: end of period (ordinary annuity) or beginning (annuity due)
- An optional existing principal amount
When deposit and compounding frequencies are different, the calculator converts the annual nominal interest rate into an equivalent rate per deposit period, then applies annuity math.
Formula used
m = compounding periods per year
p = deposit periods per year
n = years × p
Periodic rate i = (1 + r/m)^(m/p) - 1
FV (ordinary annuity) = PMT × [((1+i)^n - 1) / i]
FV (annuity due) = FV (ordinary annuity) × (1+i)
FV of initial principal = PV × (1+i)^n
Total FV = FV annuity + FV principal
Step-by-step usage guide
1) Enter periodic deposit amount
This is the fixed contribution you make every period (for example, ₹5,000 per month).
2) Select deposit frequency
Choose how often you invest. Monthly contributions usually produce stronger long-term compounding because money starts working earlier.
3) Add annual rate and tenure
Use the expected annual interest rate offered by your plan and enter the number of years you plan to continue deposits.
4) Choose compounding and deposit timing
If deposits occur at the beginning of each period, select Annuity Due. If deposits happen at the end, use Ordinary Annuity.
Sample scenario
Suppose you invest ₹5,000 monthly at 7.5% annual interest for 10 years. Even though the monthly deposit feels small, consistency creates significant long-term value. This is why annuity deposit schemes are popular among salaried investors who prefer predictable savings behavior.
- Regular deposits build financial discipline
- Compounding magnifies growth over time
- Longer tenure usually contributes more than chasing tiny rate differences
Factors that influence your maturity amount
Deposit amount
Higher recurring deposits directly increase final corpus.
Interest rate
A better rate improves growth, but remember that tenure and contribution consistency are equally important.
Investment horizon
Time is the strongest force in compounding. Starting early often beats starting late with larger deposits.
Deposit timing
Annuity due (beginning of period) usually results in a higher corpus than ordinary annuity because every contribution compounds for a slightly longer time.
Practical planning tips
- Automate your deposit to avoid skipped months.
- Increase contribution annually (for example, 5–10%) as income grows.
- Review your assumed return rate every year.
- Keep an emergency fund separate from long-term annuity deposits.
- Consider tax impact before finalizing your target corpus.
Frequently asked questions
Is this the same as SIP?
They are similar in contribution pattern (regular deposits), but underlying products may differ. SIP generally refers to mutual fund investing, while annuity deposit schemes may be bank- or insurer-linked savings products.
Can I use decimal years?
Yes. The calculator allows decimal tenure (for example, 7.5 years) and computes accordingly.
Does this include taxes and charges?
No. This is a pure mathematical projection. Taxes, fees, and penalties are product-specific and should be checked in official terms.
Final thoughts
If your goal is stable, structured wealth building, an annuity deposit scheme can be a practical choice. Use this calculator to test different combinations of deposit amount, tenure, and rate—then pick a contribution plan you can sustain consistently.