Clarowl

Tool 2.2 · FY 2026-27 (AY 2027-28)

SIP vs FD vs RD Post-Tax Comparison

See which investment actually wins after tax and inflation — not just the pre-tax number banks and brochures show you.

Calculated entirely in your browser — nothing you type is sent anywhere.

Your Investment

The same amount, invested every month, across all three options

Expected Rates (annual %)

SIP return is a market-linked assumption, not guaranteed — FD/RD rates are what your bank offers today.

A market-linked assumption — 10-12% is common for long-term equity

What your bank offers today for a fixed deposit

What your bank offers today for a recurring deposit

Your Tax Situation

FD/RD interest is added to your income and taxed at this rate

Used to show what your money is really worth at maturity

Your comparison will appear here

Fill in your monthly investment, expected rates, and tax slab, then compare to see which option really wins.

Estimates for educational use only — not financial advice, and not from a SEBI-, RBI-, IRDAI-, or AMFI-registered entity. Verify before acting.

How this works

To compare fairly, all three vehicles are modeled the same way: a fixed monthly contribution compounding over your chosen horizon. Only the rate and the tax treatment differ. That's deliberate — it isolates the one thing that actually varies between them in the real world.

The number that matters most isn't the maturity value — it's the real value: what's left after tax and after inflation eats into it. Equity SIP gains are taxed as capital gains (with an exemption on the first ₹1.25L of long-term gains); FD and RD interest is taxed at your income slab rate with no exemption. That's usually why SIPs end up ahead post-tax even at a similar or lower headline rate.

Worked Example

You can invest ₹10,000/month for 10 years and you're in the 30% tax slab. You want the real, after-tax, after-inflation winner between an equity SIP (12%), an FD (7%) and an RD (6.5%). Total put in: ₹12,00,000.

What you enter

Monthly investment · horizon
₹10,000 · 10 years
SIP / FD / RD return
12% / 7% / 6.5%
Tax slab · inflation
30% · 6%

What the tool shows

SIP — maturity → today’s money
₹23,23,391 → ₹12,27,682
FD — maturity → today’s money
₹17,40,945 → ₹8,81,516
RD — in today’s money
₹8,62,836
Real-terms winner
SIP, by ~₹3,46,000

What this tells you

On the headline maturity the SIP is ~33% ahead of the FD. After 30%-slab tax on FD interest versus 12.5% LTCG on the SIP, and after 6% inflation, the SIP's real-terms lead widens to about ₹3.5 lakh. FD and RD interest taxed every year at your slab is what quietly erodes them.

Frequently Asked Questions

Why do SIP, FD, and RD sometimes show the same maturity value?
If you enter the same rate for more than one vehicle, they'll show identical pre-tax maturity — that's correct, not a bug. All three use the same compounding formula; the real difference between them is the tax treatment applied afterward, not the growth math itself.
What tax rate applies to my SIP gains versus my FD/RD interest?
SIP (equity) gains held a year or more are taxed as long-term capital gains at 12.5%, with the first ₹1.25L of gains exempt each year. Gains held under a year are taxed at 20%. FD and RD interest has no such exemption — it's added to your income and taxed at your regular slab rate.
Is the SIP return rate guaranteed like an FD?
No — the SIP rate you enter is an assumption about long-term equity returns, not a guarantee. FD and RD rates are contractual once you invest. This is a real trade-off between expected higher return and actual certainty that the tool doesn't decide for you.
What is "real value" and why does it matter more than the maturity amount?
Real value is your post-tax maturity adjusted for inflation over your investment horizon — it tells you what your money can actually buy at the end, not just what number appears in your account. A large maturity value that barely beats inflation isn't actually much of a win.
Should I always pick whichever vehicle wins on real value?
Not necessarily — this tool compares returns, not risk or liquidity. FDs and RDs are safer and more liquid than equity SIPs, which can lose value in the short term. The right mix usually depends on your own risk tolerance and timeline, not just the highest number here.

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