PPF Calculator
Public Provident Fund Maturity Calculator with EEE Tax Benefit
Calculate your PPF maturity amount and see how your investment grows year by year. PPF offers guaranteed, tax-free returns backed by the Government of India — ideal for long-term, risk-free wealth creation.
PPF Maturity Calculator
PPF Year-by-Year Growth
| Year | Deposit | Interest | Balance |
|---|
What Is PPF (Public Provident Fund)?
Public Provident Fund (PPF) is a long-term savings and investment scheme launched by the Government of India in 1968. It is one of the most popular savings instruments among Indian investors due to its safety, decent returns, and unmatched tax benefits.
PPF accounts can be opened at any post office or most nationalised and private banks. The account has a lock-in of 15 years, after which it can be extended in blocks of 5 years. The interest rate is set quarterly by the Ministry of Finance and is currently 7.1% per annum, compounded annually.
The defining feature of PPF is its EEE (Exempt-Exempt-Exempt) tax status: the investment qualifies for deduction under Section 80C, the interest earned is fully exempt, and the maturity amount is completely tax-free — making it one of the best post-tax return instruments for conservative investors.
How to Use This PPF Calculator
- Yearly Investment: Enter the amount you plan to deposit each year. The maximum allowed is ₹1,50,000/year. You can deposit in up to 12 installments annually.
- Interest Rate: The current rate of 7.1% is pre-filled. You can adjust it to model future scenarios if the rate changes.
- Period: Minimum is 15 years. Enter a longer period (20, 25, etc.) if you plan to extend after the initial lock-in. This shows the power of extending PPF.
- Read Results: See total maturity amount, total amount invested, and total tax-free interest earned.
- Year Table: Scroll down to the year-by-year table showing your balance at the end of each year — useful for planning withdrawals or loans against PPF.
PPF Calculation Formula
PPF is compounded annually. The balance at the end of each year is calculated as:
Balance(n) = (Balance(n−1) + Annual Deposit) × (1 + r/100)
- Balance(n) = Balance at end of year n
- Annual Deposit = Amount deposited in that year (max ₹1,50,000)
- r = Annual interest rate (currently 7.1%)
The interest for any year = Opening balance × r/100. This interest is credited at the end of the financial year and is completely tax-free.
PPF Maturity Reference Table
Approximate maturity amounts at 7.1% interest rate for different investment amounts:
| Annual Investment | 15 Years | 20 Years | 25 Years |
|---|---|---|---|
| ₹50,000/year | ₹13.56 L | ₹21.62 L | ₹33.21 L |
| ₹1,00,000/year | ₹27.12 L | ₹43.24 L | ₹66.42 L |
| ₹1,50,000/year (max) | ₹40.68 L | ₹64.86 L | ₹99.63 L |
All interest earned is completely tax-free, making effective post-tax returns significantly higher than comparable taxable instruments.
PPF Investment Examples
Example 1: Standard 15-Year PPF
Sunita invests ₹1,50,000 per year (₹12,500/month) in PPF at 7.1% interest. After 15 years, her maturity amount is approximately ₹40.68 lakhs on a total investment of ₹22.5 lakhs — a tax-free gain of ₹18.18 lakhs.
Example 2: Extended PPF (25 Years)
Ramesh opens a PPF at age 30 and extends it twice after the 15-year lock-in. By age 55, investing ₹1,50,000/year at 7.1%, he accumulates approximately ₹99.6 lakhs — nearly ₹1 crore, all tax-free.
Example 3: PPF for Tax Saving
Ananya is in the 30% tax bracket and invests ₹1.5 lakh/year in PPF. She saves ₹46,800 in taxes annually (Section 80C). Over 15 years, her effective tax savings alone amount to approximately ₹7 lakh — in addition to the compounded corpus.
PPF Tips and Best Practices
- Deposit before 5th of April: PPF interest is calculated on the minimum balance between the 5th and the last day of each month. Depositing before the 5th of April each year maximises annual interest.
- Open early in the financial year: Depositing in April rather than March gives your money an extra year of compounding within the same financial year cycle.
- Max out the limit: The annual limit of ₹1.5 lakh also equals the Section 80C deduction limit. Maximising PPF is a highly efficient tax-saving strategy.
- Extend, don't close: After 15 years, extending PPF (even without deposits) continues earning tax-free interest. Closing early means losing the compounding advantage.
- PPF for children: You can open a PPF account for a minor child. Contributions count toward your own ₹1.5 lakh annual limit and can help build a long-term education or wedding corpus.
- Partial withdrawal strategy: You can withdraw up to 50% of the balance from year 7 onwards — useful for emergencies without breaking the entire corpus.
Frequently Asked Questions
PPF has triple tax exemption: Investment is deductible under Section 80C (up to ₹1.5 lakh), interest earned is tax-free, and maturity amount is completely tax-free. This makes PPF one of the most tax-efficient investments in India.
Yes. After the 15-year lock-in, you can extend PPF in blocks of 5 years (with or without contributions). The account continues to earn interest at the prevailing rate. You must apply for extension within one year of maturity.
Minimum ₹500 per year, maximum ₹1.5 lakh per year. You can make up to 12 deposits per year. PPF accounts can be opened at post offices and most nationalised banks. Failure to deposit the minimum ₹500 in any year results in account becoming inactive (penalty of ₹50 to reactivate).
The current PPF interest rate is 7.1% per annum, compounded annually. The rate is reviewed and set by the Government of India each quarter based on government securities yields. It has remained at 7.1% since April 2020.
Yes, you can take a loan against your PPF balance from the 3rd to the 6th year of account opening. The loan amount can be up to 25% of the balance at the end of the 2nd year preceding the loan application. The loan interest rate is 1% above the PPF interest rate and must be repaid within 3 years.
Partial withdrawals are allowed from the 7th year onwards, up to 50% of the balance at the end of the 4th year preceding the withdrawal year, or the end of the previous year — whichever is lower. Only one withdrawal is permitted per financial year.
PPF offers guaranteed tax-free returns with government backing, making it very safe. FDs offer slightly lower post-tax returns since interest is taxable. SIPs in equity mutual funds can deliver higher returns (10–14%) over long periods but carry market risk. PPF is ideal for risk-averse investors and forms a strong fixed-income base in any portfolio.