Term Deposit Calculator Australia
Calculate term deposit returns with compound interest. See maturity value, total interest earned, and after-tax returns with RWT.
01 —INPUTS
The amount you deposit into the term deposit
The advertised annual interest rate
How long your money is locked in
How often interest is compounded. More frequent = higher return.
02 —RESULTS
Maturity Value$10,500.00
Summary
Principal$10,000.00
Total Interest$500.00
Effective Annual Rate5%
How this works:Term deposit interest is assessable income and taxed at your marginal rate. RWT withheld is credited against your tax liability when you lodge your return.
Share
Tax Accuracy & Sources
This calculator is an estimate tool and may not cover all personal circumstances. For state-based taxes, confirm details with your state or territory revenue office.
What is RWT on term deposits?
Resident Withholding Tax (RWT) is deducted from interest earned if you haven't provided your Tax File Number (TFN) to the bank. The default rate for non-disclosed TFN is 47%, but most people who provide their TFN pay the standard 10.5% RWT rate on interest income.
How is term deposit interest taxed?
Term deposit interest is assessable income and taxed at your marginal tax rate. The interest is declared in your tax return. RWT withheld is credited against your tax liability.
What compounding frequency gives the best return?
More frequent compounding (monthly) produces higher returns than less frequent (annually or at maturity) because interest earns interest on interest sooner.