FD Laddering
Stagger fixed deposits so one matures every year. Keep cash accessible and still chase longer-tenure rates.
Build a cash-ready FD ladder
Split one corpus into yearly maturities. Renew what you do not need.
In plain words
Instead of one 5-year FD, you open five FDs for 1, 2, 3, 4, and 5 years. Every year something unlocks. Reinvest that chunk for a fresh full term and the ladder keeps rolling.
1. Your corpus
How much are you parking?
Ladder length
Each year gets one equal slice. Typical ladders are 3 to 7 years.
Simulation horizon
2. Rates and tax
How interest compounds
Used when a rung rolls into a full term.
Starting rate by tenor
3. Projection
After 10 years
Final value
₹20,35,724
Started with ₹10,00,000
Ladder CAGR
7.37%
Annualised after tax and renewals
Interest earned
₹10,35,724
Pre-tax gains
Absolute return
103.6%
About ₹2,00,000 matures each year
Liquidity takeaway
Your 5-rung ladder frees about ₹2,00,000 (plus interest) every year. Reinvest each maturity for a full 5-year term to keep the ladder intact.
Rungs at horizon end
Rung 1
7.25% p.a. · next maturity in 1 yr
₹4,06,459
Rung 2
7.25% p.a. · next maturity in 2 yrs
₹4,05,065
Rung 3
7.25% p.a. · next maturity in 3 yrs
₹4,06,063
Rung 4
7.25% p.a. · next maturity in 4 yrs
₹4,07,863
Rung 5
7.25% p.a. · next maturity in 5 yrs
₹4,10,274
FAQ