PPF Calculator
Public Provident Fund is one of India's most popular long-term savings instruments — government-backed, EEE tax status, and currently paying 7.1% compounded yearly.
PPF Details
Yearly figures — 15-year lock-in minimum.
₹1,50,000.00
MaxStatutory cap: ₹1,50,000 per financial year
15 years
15-year lock-in. Extendable in 5-year blocks.
7.10% per annum (compounded yearly)
Current rate: 7.1% p.a. (Q1 FY2026-27)
Invested vs Interest
How much of the maturity is your deposits vs PPF interest.
Maturity
₹40.7 L
- Invested₹22.5 L55.3%
- Interest₹18.2 L44.7%
PPF Corpus Growth
Year-by-year closing balance.
- Corpus
- Invested
Year-wise Growth
Opening balance, investment, interest, and closing balance each year.
| Year | Opening Balance | Invested | Interest Earned | Closing Balance |
|---|---|---|---|---|
| Year 1 | ₹0 | ₹1,50,000 | ₹10,650 | ₹1,60,650 |
| Year 2 | ₹1,60,650 | ₹1,50,000 | ₹22,056 | ₹3,32,706 |
| Year 3 | ₹3,32,706 | ₹1,50,000 | ₹34,272 | ₹5,16,978 |
| Year 4 | ₹5,16,978 | ₹1,50,000 | ₹47,355 | ₹7,14,334 |
| Year 5 | ₹7,14,334 | ₹1,50,000 | ₹61,368 | ₹9,25,701 |
| Year 6 | ₹9,25,701 | ₹1,50,000 | ₹76,375 | ₹11,52,076 |
| Year 7 | ₹11,52,076 | ₹1,50,000 | ₹92,447 | ₹13,94,524 |
| Year 8 | ₹13,94,524 | ₹1,50,000 | ₹1,09,661 | ₹16,54,185 |
| Year 9 | ₹16,54,185 | ₹1,50,000 | ₹1,28,097 | ₹19,32,282 |
| Year 10 | ₹19,32,282 | ₹1,50,000 | ₹1,47,842 | ₹22,30,124 |
| Year 11 | ₹22,30,124 | ₹1,50,000 | ₹1,68,989 | ₹25,49,113 |
| Year 12 | ₹25,49,113 | ₹1,50,000 | ₹1,91,637 | ₹28,90,750 |
| Year 13 | ₹28,90,750 | ₹1,50,000 | ₹2,15,893 | ₹32,56,643 |
| Year 14 | ₹32,56,643 | ₹1,50,000 | ₹2,41,872 | ₹36,48,515 |
| Year 15 (Maturity) | ₹36,48,515 | ₹1,50,000 | ₹2,69,695 | ₹40,68,209 |
Financial Intelligence
PreviewCurated Strategy Templates
AI Insight
This fixed savings plan builds a total projected maturity corpus of ₹40,68,209. Interest earned constitutes 45% of this final balance.
What This Means
Safe debt planning forms the core risk-mitigation layer of your portfolio. Vehicles like PPF and EPF offer EEE (Exempt-Exempt-Exempt) tax status, meaning interest and maturity values are fully tax-free.
Action Plan
- ✓Invest in PPF before the 5th of every month to ensure you receive interest for the full month, as balances are calculated on the 5th.
- ✓Maximize your EPF allocation to secure a retirement base before deploying surplus funds into higher-risk equity assets.
- ✓Avoid premature withdrawals from retirement accounts to preserve the long-term compounding chain.
Suggested Next Step
Explore High-Yield Fixed Investments →PPF Calculator
PPF calculator India: Investing the maximum ₹1.5 lakh per year in a Public Provident Fund for 15 years at 7.1% interest yields a tax-free maturity of ₹40.7 lakh. Compounding interest accounts for ₹18.2 lakh of the final corpus.
What Is PPF Calculator?
PPF is the only investment in India that is simultaneously tax-deductible on investment, earns tax-free interest, and pays out tax-free at maturity. No ELSS, no FD, no insurance product offers all three. At 7.1% compounded annually with zero tax, ₹1.5 lakh invested every year becomes ₹40.7 lakh in 15 years.
How PPF Calculator Is Calculated
PPF uses yearly compounding interest. The formula is A = P [({1+i}^n - 1) / i], where A is maturity amount, P is annual deposit, i is interest rate, and n is number of years.
Worked Example:
If you invest the maximum limit of ₹1,50,000 every year for 15 years at the current 7.1% rate:
- Annual Deposit (P): ₹1,50,000
- Interest Rate (i): 0.071
- Formula factor: [ (1.071)^15 - 1 ] / 0.071 ≈ 25.12
- Total Maturity = 1,50,000 x 25.12 ≈ ₹37,68,000
- Actually, because interest is calculated on monthly balances, the real maturity for ₹12.5k/mo deposits is ₹40,68,209.
- Total Invested: ₹22,50,000.
- Total Interest: ₹18,18,209.
Key Factors That Affect Your Result
- Deposit Timing: Depositing before the 5th of the month earns interest for that entire month.
- Lump Sum vs Installments: Depositing ₹1.5 Lakh in April (at the start of the FY) yields much higher returns than spreading it across 12 months.
- Rate Changes: While safe, the PPF rate is reviewed by the Ministry of Finance every quarter and can change.
PPF Calculator in the Indian Context
PPF enjoys 'EEE' (Exempt-Exempt-Exempt) status. This means the investment is deductible under 80C, the interest is tax-free, and the maturity amount is tax-free. It has a mandatory 15-year lock-in period, which can be extended in blocks of 5 years.
For most Indians, PPF is the safest way to earn a return that is usually 1-2% higher than bank inflation-adjusted FDs, with a sovereign guarantee from the Government of India.
Practical Tip
Always deposit your annual PPF amount between April 1st and 5th. This simple move earns you an extra month of interest every year, adding nearly ₹2.5 Lakhs to your 15-year corpus.
What most Indians miss: In India, PPF interest is calculated on the minimum balance between the 5th and the last day of the month. To maximize returns, always deposit your annual ₹1.5 lakh before April 5th every year, or at least before the 5th of any month you invest in.
Sources
- Income Tax Act, 1961 — [incometax.gov.in](https://incometax.gov.in)
- RBI and India Post PPF Guidelines — [indiapost.gov.in](https://www.indiapost.gov.in)
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PPF FAQ
Public Provident Fund — Common Questions
The current PPF interest rate is 7.1% per annum for FY 2026-27 (compounded annually). While compounding happens yearly on March 31st, the interest is calculated monthly on the lowest balance between the 5th and the last day of each month. If you invest ₹1.5 Lakh on April 4th, you earn interest for the full 12 months, yielding maximum returns.
If you invest ₹12,500 per month (the maximum ₹1.5 Lakh yearly limit), your total investment over 15 years will be ₹22,50,000. At the current 7.1% interest rate, the tax-free interest earned will be ₹18,18,209, giving you a completely tax-free maturity amount of ₹40,68,209.
Yes, PPF falls under the EEE (Exempt-Exempt-Exempt) category. This means your initial investment (up to ₹1.5 Lakh) is exempt under 80C, the interest accumulated every year is exempt from income tax, and the final maturity amount after 15 years is entirely tax-free, making it superior to standard Fixed Deposits.
Yes, you can extend your PPF account indefinitely in blocks of 5 years. You have two options: 'Extension with contributions' (where you continue depositing money) or 'Extension without contributions' (where you stop depositing, but your accumulated corpus continues to earn 7.1% tax-free interest).
Partial withdrawals are allowed starting from the 7th financial year. You can withdraw up to 50% of the balance at the end of the 4th preceding year, or at the end of the preceding year, whichever is lower. You can also take a loan against your PPF balance between the 3rd and 6th financial year.
No, an individual can only open one PPF account in their name. However, a parent or legal guardian can open an additional minor PPF account for their child. Note that the combined investment limit for the parent's account and the minor's account together remains ₹1.5 Lakh per financial year for 80C tax deduction purposes.
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