National Savings Certificate · VIII Issue

NSC Calculator

Estimate a five-year maturity amount or work backwards from a target. See annual interest accrual while keeping your purchase-time rate and tax assumptions visible.

Calculate NSC maturity
One deposit · Five-year term · Annual compounding
7.7% reference rate: October–December 2026. Check the rate on your certificate.
Five-year certificate estimate

Plan your five-year certificate

NSC amount and rate

Minimum ₹1,000, in whole ₹100 steps. ₹100 crore is this calculator’s input limit, not a scheme deposit cap.

7.7% is the October–December 2026 reference rate. Enter your certificate’s purchase rate, with up to six decimal places. The model supports 0–30%.

Tax context — informational only

No deduction or tax saving is calculated. Section 123 applies from Tax Year 2026–27 under the old regime; prior years used Section 80C.

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Five-year maturity estimate

Your five-year estimate

Your maturity estimate will appear here

Choose a deposit or a target, then enter the annual rate recorded at purchase.

  1. Compare your original deposit with accrued interest.
  2. See all five yearly balances below the calculator.
  3. Keep annual accrual separate from cash paid at maturity.

Built and maintained by Bhavin ShethUpdated:
How to use

Two ways to plan one deposit

Known deposit

Enter a single valid NSC deposit, then use the purchase-time annual rate. The five-year schedule shows how interest accrues without interim cash payout.

Maturity goal

Enter the minimum payout you want. The calculator finds the lowest deposit on the ₹100 grid whose unrounded estimated maturity meets or exceeds that goal.

Read the tax note

Specify a tax regime only to change the explanatory note. Actual deduction depends on the applicable tax law, combined savings-deduction limit for the relevant tax year and your return.

Rate at purchase

Why quarterly rate notices do not reset your certificate

7.7% for new purchases in October–December 2026

Indian Bank’s published small-savings table lists NSC at 7.7% per year for 1 October–31 December 2026, citing the Ministry of Finance memorandum dated 30 September 2026. A certificate keeps its purchase-time terms; changing the input models a different purchase rate, not a reset of an existing NSC.

Check Indian Bank’s quarter-specific rate table · Department of Economic Affairs rate notices

Calculation method

Annual accrual and a fixed five-year term

Yearly balance = previous balance × (1 + purchase rate ÷ 100)
Five-year estimate = deposit × (1 + rate ÷ 100)5
Goal deposit = smallest valid ₹100 increment that meets or exceeds the target.

No yearly cash payout

The interest is credited for compounding, with payment on maturity. The fifth-year amount is part of the maturity proceeds.

Amounts are estimates

Government maturity values and certificate-specific rounding can differ slightly from an annual-compounding formula rounded to paise. The post office records and terms govern your payout.

Five years are fixed

The active VIII Issue scheme runs five years from deposit. This tool does not offer a tenure slider or calculate early encashment.

Worked examples

Try a deposit or work back from a goal

Illustrations use a fixed purchase rate and exclude personal tax. Loading an example calculates it and moves you to the calculator.

Example 01

A ₹1 lakh deposit

See the interest build up across five annual accruals.

₹1,00,000 × 1.077⁵ ≈ ₹1,44,903.38
Example 02

A larger single deposit

Deposit size does not establish tax-deduction eligibility.

₹1,50,000 × 1.077⁵ ≈ ₹2,17,355.07
Example 03

A ₹2 lakh maturity goal

The model selects the lowest ₹100 step reaching this target.

Required deposit: ₹1,38,100
Example 04

A different purchase rate

A hypothetical 6.8% certificate illustrates why the purchase rate matters.

₹10,000 × 1.068⁵ ≈ ₹13,894.93
Tax treatment

Accrued interest and the deduction rule are separate questions

Deposit-year deduction

In the old regime, the deposit may qualify under Section 123 read with Schedule XV for Tax Year 2026–27, or Section 80C for earlier tax years. The shared aggregate limit and your other eligible payments matter.

Years 1–4 interest

Interest credited at the end of years 1–4 is deemed reinvested. Potential savings deduction depends on old-regime eligibility, the relevant tax-year law and remaining aggregate limit. Accrued interest can still be taxable income.

Fifth-year interest

The fifth-year accrual is payable at maturity rather than reinvested for another NSC year. Do not add that year’s interest to a fresh reinvestment deduction merely because it appears in the schedule.

For Tax Year 2026–27, the Income Tax Department maps the former Section 80C framework to Section 123 with Schedule XV under the 2025 Act. Its FAQ says Section 123 is unavailable under Section 202’s new regime. This tool estimates no tax saving. Read the Income Tax Department 2025 Act FAQ.

Account rules

Minimum deposit, maturity and restricted early closure

Deposit size

The VIII Issue scheme sets a ₹1,000 minimum and further multiples of ₹100. There is no upper deposit cap in the scheme; tax deduction limits are a different matter.

Maturity and exceptions

The account matures five years from deposit. Premature closure is restricted to scheme-specified cases such as death, court order or qualifying forfeiture by a pledgee; this tool does not simulate an early cash-out.

Pledge and transfer

An NSC can be pledged or transferred only through the scheme process and accepted authority. Loan acceptance, interest rate and collateral value are lender decisions; no universal loan promise is made here.

Verify the formal conditions in the National Savings Certificates (VIII Issue) Scheme, 2019 and with the account office.

Planning context

Understand what a target maturity does and does not solve

Deposit required

The reverse calculation chooses the next permitted ₹100 step, then checks its computed five-year balance. A higher target cannot be met by changing the certificate tenure.

Other savings goals

NSC is a five-year single deposit. A recurring deposit models a stream of deposits, while PPF has different terms and interest mechanics. Compare their assumptions separately.

Specific questions

Common NSC calculation questions

Is the 7.7% rate applied again every year as a new government announcement?

The entered purchase-time rate is held constant in this five-year estimate. Quarterly announcements affect rates offered to applicable new deposits; confirm the exact rate on your certificate.

Can I enter several monthly deposits?

No. One NSC calculation represents one upfront deposit. Create separate estimates for purchases made at different times or use a recurring-deposit calculator for regular contributions.

Is the maturity amount guaranteed to match the formula to the paise?

No. Government scheme tables, deposit terms and final rounding determine the actual payable sum. The compound formula is an estimate, especially if you use a custom historic rate.

Why is the goal deposit rounded up?

The scheme accepts deposits of at least ₹1,000 in ₹100 increments. A computed ₹1,00,001 deposit cannot be opened as that amount, so the tool moves to the next valid amount and verifies the target.

Does NSC pay interest to my bank account each year?

No. Interest compounds yearly and is payable with the certificate at maturity. The table’s yearly interest figures show accrual, not cash received.

Is NSC interest tax-free?

Do not assume so. Taxable interest and an eligible savings deduction under the relevant tax-year law for reinvested accrual are distinct. The fifth year’s interest is not reinvested for another NSC year. Your tax regime and remaining limit matter.

Can I claim an NSC savings deduction in the new regime?

The Income Tax Department says Section 123 savings deductions for Tax Year 2026–27 cannot be claimed under the Section 202 new regime. For earlier tax years, check the corresponding Section 80C rule. This calculator estimates no deduction.

Can I take money out after one year?

NSC is not ordinarily encashable early. Only defined exceptions under the scheme can apply. Do not treat the schedule’s year-one balance as withdrawable cash.

Can I invest more than ₹1.5 lakh?

The NSC scheme does not set a maximum deposit. The often quoted ₹1.5 lakh relates to an aggregate savings-deduction framework, with the section number depending on tax year and regime; it is not a cap on NSC purchases.

Can I pledge NSC to any lender?

The scheme has a pledge procedure, but a lender decides whether to accept it and on what terms. This tool does not quote a loan or loan-to-value ratio.

Proof and related calculations

Official references & related tools

Source review: 14 October 2026. Verify certificate-specific details with your account office.