FGN Savings Bonds Calculator
The Federal Government of Nigeria (FGN) Savings Bond is your plug for consistent income. Unlike stocks, the rate is fixed, and the payments land in your account every three months. This calculator takes the guesswork out of your passive income stream, showing you the exact Naira you’ll earn. Think of it as predicting the exact salary for a side hustle that requires zero effort.
FGN Savings Bonds Calculator
Calculate your quarterly interest payments and total returns
About FGN Savings Bonds: These are low-risk government securities with fixed interest rates paid quarterly. Minimum investment is ₦5,000, and you can invest in multiples of ₦1,000 thereafter. Interest is paid every 3 months directly to your account.
Minimum: ₦5,000
Check current DMO rates
Standard FGN Savings Bond terms
Standard WHT is 10%
If unchecked, interest is paid out quarterly
Principal Investment
₦0.00
Total Interest (Gross)
₦0.00
Total Tax Deducted
₦0.00
Net Total Return
₦0.00
Investment Summary
Quarterly Interest (Gross)
₦0.00
Quarterly Interest (Net)
₦0.00
Total Payments
0 quarters
Effective Annual Return
0.00%
Maturity Amount
₦0.00
Quarterly Payment Schedule
| Quarter | Gross Interest | Tax (10%) | Net Interest | Cumulative Total |
|---|
Total Invested
₦0.00
Total Value at Maturity
₦0.00
FGN Savings Bond: Your Fixed-Income Forecast
Part 1: Inputting Your Investment (The Three Facts)
You need to tell the calculator what you plan to commit. It is super straightforward:
- Investment Amount (₦): Start with a minimum of ₦5,000. This is the principal amount you are putting down today. Remember, the bond’s Face Value is equal to what you invest.
- Annual Interest Rate (%): Input the fixed rate announced by the Debt Management Office (DMO). For example, if the rate is 14.50%, type 14.50. This rate determines your quarterly payment.
- Bond Tenor: Select the term, usually 2 Years or 3 Years. This sets the total number of interest payments you will receive.
WHT and Compounding: The Withholding Tax (10%) is pre-filled, reflecting the standard deduction from your interest. If you check the Reinvest quarterly interest box, the calculator simulates compound growth, meaning your interest earns interest, making your money work harder. (Exactly! That’s so true for real wealth).
Part 2: Reading the Results (The Money Flow)
Hit Calculate Returns to see your guaranteed income schedule.
- Summary Cards: These give you the big picture:
- Principal Investment: The initial ₦ you committed.
- Total Interest (Gross): Your total earnings before tax.
- Total Tax Deducted: The 10% WHT taken over the bond’s life.
- Net Total Return: Your principal plus the total profit you actually keep.
- Quarterly Interest (Net): This is the net Naira amount that will hit your bank account every three months (if you did not choose to reinvest). This is your reliable cash flow.
- Effective Annual Return: This percentage shows your true total profit at the end of the bond’s term, stated as an annualized rate.
- Quarterly Payment Schedule: This table is gold. It breaks down every single payment you will receive, showing the gross interest, the tax amount deducted, and the final net payment. The final row includes your principal back, confirming your total maturity value.
Part 3: Maximum Benefit (The Practical Edge)
This tool is essential for budget planning. Since the payment dates are predictable (quarterly), you can use the Net Interest figure to plan for expenses like school fees or rent payments. Use the reinvestment feature to compare how much more you earn with compound interest versus taking the cash out quarterly. It’s the difference between collecting pocket change and building a solid savings fortress.