RFID(Radio Frequency Identification) technology is used on a large scale these days, this technology can be used to identify various objects very easily. There are mainly three components in RFID. They are the transceiver, transponder, and antenna. The RFID transceiver plays an important role in the transmission of power in case of passive tags and it also does reception of information present in the RFID tag. The transponder does the work of receiving frequency signal and then transmitting another signal. The antenna does the work of establishing the connection between the reader and tag. The RFID system can be made with different frequencies, so depending on the range the antenna must be selected. One of the applications of RFID in real life is “Smart Bus Route Indicator”. Basically, in this application of RFID, TX-433 which is an ASK transmitter and RX-433 which is an ASK receiver is used as one of the main components. These transmitter and receiver are tuned to 433MegaHertz. The encoder IC does the work of converting parallel inputs into the serial output, this serial output is transmitted using transmitter antenna to the receiver antenna. Now the decoder will convert the serial input into the parallel output and give it to output pins of the microcontroller. The data then can be displayed on the LCD display. So RFID modules can be used to send the data so as to specify the location and arrival time of a bus.