See exactly how much your NSC investment will grow to
Enter your deposit amount, and this NSC calculator instantly shows you the maturity value, total interest earned, and a year-by-year breakdown — all based on the current National Savings Certificate rate of 7.7% per annum (compounded annually) for FY 2025-26.
How to use this NSC calculator
- Enter your deposit amount — the lump sum you plan to invest (minimum ₹1,000; no upper limit).
- Check the interest rate — it is pre-filled at 7.7% p.a. for FY 2025-26. Update it if the government revises the rate.
- Tenure is fixed at 5 years — NSC VIII Issue always matures in 5 years. The calculator sets this automatically.
- Hit Calculate — you will see the maturity amount, total interest, and a table showing how your money grows each year.
Worked example — ₹50,000 invested today
Say you invest ₹50,000 in NSC at the current rate of 7.7% p.a., compounded annually, for the standard 5-year lock-in.
| Year | Opening Balance (₹) | Interest Earned (₹) | Closing Balance (₹) |
|---|---|---|---|
| 1 | 50,000 | 3,850 | 53,850 |
| 2 | 53,850 | 4,146 | 57,996 |
| 3 | 57,996 | 4,466 | 62,462 |
| 4 | 62,462 | 4,810 | 67,272 |
| 5 | 67,272 | 5,180 | 72,452 |
Maturity value: ≈ ₹72,452 | Total interest earned: ≈ ₹22,452
Your ₹50,000 grows by 44.9% over five years — locked in, guaranteed, and completely safe because NSC is backed by the Government of India.
How the maturity value is calculated
NSC uses the compound interest formula, with interest compounded once a year. Although interest accrues annually, it is not paid out — it is reinvested and paid as a lump sum at maturity.
A = P × (1 + r)^n
Where:
A = Maturity amount
P = Principal (your deposit)
r = Annual interest rate (as a decimal, e.g. 7.7% = 0.077)
n = Number of years (always 5 for NSC VIII Issue)Example check: ₹50,000 × (1.077)^5 = ₹50,000 × 1.4490 ≈ ₹72,452
The accrued interest for Years 1–4 is treated as re-invested and qualifies for Section 80C deduction in those years too — only the interest credited in Year 5 (the maturity year) does not qualify for 80C.
Current NSC rules and limits for FY 2025-26
- Interest rate: 7.7% per annum, compounded annually (set by the Ministry of Finance each quarter; check India Post for any revision).
- Minimum deposit: ₹1,000 (and in multiples of ₹100 thereafter). No maximum limit.
- Lock-in period: 5 years — premature withdrawal is not allowed except on the certificate holder's death or court orders.
- Who can invest: Any Indian resident adult; joint accounts allowed; minors can invest through a guardian.
- Where to buy: Any post office branch, and select public sector bank branches.
- Section 80C deduction: Your deposit qualifies for up to ₹1,50,000 deduction per financial year under the old tax regime.
- Tax on interest: NSC interest is taxable as income from other sources. Years 1–4 interest is notionally re-invested and qualifies for 80C. Year 5 interest is fully taxable in the year of maturity.
- TDS: No TDS is deducted on NSC interest — but you must declare it in your ITR.
| Feature | NSC (FY 2025-26) |
|---|---|
| Interest rate | 7.7% p.a. |
| Compounding | Annual |
| Tenure | 5 years (fixed) |
| Minimum investment | ₹1,000 |
| Maximum investment | No limit |
| 80C eligible | Yes (up to ₹1.5 lakh) |
| TDS on interest | No |
| Risk | Zero (sovereign guarantee) |
For the official rate notification, visit the Income Tax Department (incometax.gov.in) or your nearest post office.
Practical tips to get the most from your NSC investment
- Combine with 80C planning: If you have not yet used your full ₹1.5 lakh 80C limit for the year, NSC is a simple, zero-risk way to fill it — unlike ELSS, which carries market risk.
- Stagger your certificates: Buying one NSC every year (called a ladder) means you always have a certificate maturing each year — useful for predictable cash flow.
- Track accrued interest: Even though you receive no cash until maturity, you must declare Years 1–4 interest in your ITR each year and claim the matching 80C deduction. Many savers miss this and get a notice.
- Compare with other small savings: NSC at 7.7% is currently higher than a regular savings account, but slightly lower than the Sukanya Samriddhi Yojana (8.2%) and Senior Citizen Savings Scheme (8.2%). It is, however, more flexible on the investment amount than PPF (which has a ₹1.5 lakh annual cap).
- Old tax regime only: The 80C deduction is not available if you opt for the new tax regime (default from FY 2024-25 onward). Run the numbers — the tax saving on ₹1.5 lakh can be up to ₹46,800 (30% slab + 4% cess) under the old regime.
- Caveats: Returns shown by this calculator are indicative. The rate displayed is the rate as of the date shown. Always confirm the current rate at your post office before investing.
Your data stays with you: Every calculation on this page runs entirely inside your browser. Nothing you enter is sent to any server or stored anywhere.
The bottom line: NSC is one of the simplest guaranteed-return investments available to Indian savers — use the calculator above to see your exact maturity value in seconds, then decide how much to invest before the financial year ends.