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Term Deposit Calculator

Calculate the money you'll earn on a term deposit in seconds with our trusted tool
Updated 11 December 2025

Our friends at InvestNow are pleased to support our popular term deposit interest calculator.

Calculate Term Deposit Interest
Initial Deposit
Over a period of:
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The amount of time until the term deposit matures and funds can be withdrawn without penalty and/or fees.
Term deposit interest rate
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The interest rate is the rate of return on your money, or how much money your money earns over time
$0 Your total balance
Total interest earned=$0
Please note, "Your total balance" and "Total interest earned" are term deposit calculations exclusive of tax. What percentage of tax you pay on term deposit income depends on your PAYE threshold - you can find the current rates here.

​What is a term deposit, and how does it differ to a savings account?

There are two key differences, with term deposits and savings accounts offering unique advantages. We explain these below:
  1. Interest rates: A term deposit offers a fixed interest rate for the life of your investment. For example, “1.50% p.a. for 3 months” or “1.99% p.a. for 3 years”. Interest rates will usually be higher the longer the term is, as banks pay more for the certainty of re-lending your money for longer. A savings account offers a floating interest rate which means it can change at any time. Savings accounts, in most cases, offer lower interest rates than term deposits because you can access your money at any time.
  2. Withdrawals: Term deposits are, as their name states, fixed for a ‘term’. If you need to access your money, a penalty will be applied. This is usually a loss of interest rather than any fee taken you’re your term deposit investment. By comparison, a savings account allows you to withdraw money at any time.​
Cash Funds: A Flexible Alternative to Term Deposits
Unlike term deposits that lock in your money for fixed periods, cash funds offer competitive returns with the flexibility to access your funds when needed. The MAS Cash Fund is one example currently delivering strong performance in this category and is recognised for its returns while maintaining daily liquidity, meaning you can withdraw your money without incurring break fees, penalty interest or waiting for maturity dates.

The key differences between cash funds and term deposits:
  • No fixed terms or early withdrawal penalties
  • Returns that adjust with market conditions rather than being locked in
  • Professional management across multiple securities for better diversification
  • Potential tax advantages through PIE structure (capped at 28% vs up to 39% for term deposits)
  • While cash funds carry slightly more risk than term deposits, established funds like MAS's offering focus on capital preservation through investment in high-quality, short-term securities.
  • Our guide - Cash Funds vs Term Deposits - explains more.
  • Our guide to Cash Funds has more information, and you can read more about the MAS Cash Fund or apply to invest on the MAS website.
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