A UAH 100,000 deposit can generate around UAH 6,700 in net income over six months — banker

If UAH 100,000 is placed in a six-month deposit at an annual interest rate of 17.5%, the depositor can earn approximately UAH 6,740 in net income after tax.

This calculation was provided by Dmytro Zamotaiev, Director of the Retail Business Department at GLOBUS BANK.

The example is based on a deposit opened on 1 October 2026 for a term of six months, without interest capitalisation. Under these conditions, a deposit of UAH 100,000 would accrue UAH 8,750 in interest.

Since 2026, interest income on deposits has been subject to personal income tax at 18% and a military levy of 5%, bringing the total tax burden to 23%. After these taxes are paid, the depositor’s net income would amount to approximately UAH 6,737.5, while the total amount at the end of the term would be around UAH 106,737.5.

If UAH 50,000 is deposited under the same conditions, the accrued interest would amount to UAH 4,375, with net income of approximately UAH 3,368.75. A deposit of UAH 20,000 would generate UAH 1,750 before tax and approximately UAH 1,347.5 after tax.

Thus, regardless of the initial amount, the net return on this six-month deposit would be approximately 6.74%.

The expert emphasised that this figure, rather than the advertised interest rate, should be one of the key factors when choosing a deposit product.

“Depositors should understand how much money they will actually have left after tax and what that income represents as a percentage of the amount deposited,” explained Dmytro Zamotaiev.

According to him, this figure can then be compared with potential changes in the exchange rate and inflation.

“The net return makes it possible to compare a deposit properly with foreign currency investments or simply holding cash. The net income figure should be assessed against how much prices may rise or how the exchange rate may change over the same period,” the banker stressed.