PPF Calculator
The PPF (Public Provident Fund) Calculator helps you estimate the maturity value of your PPF account. PPF is a long-term tax-saving investment scheme in India with a 15-year lock-in period and a current interest rate of 7.1% (compounded annually). You can invest up to ₹1.5 lakh per year, and the interest earned is completely tax-free. This calculator factors in your annual contribution, the interest rate, and the investment duration to project your PPF corpus at maturity. PPF is one of the safest investment options in India, backed by the government.
Formula
Maturity Value = Annual Investment × [((1 + r)^n − 1) ÷ r] × (1 + r) r = annual interest rate (7.1%) n = number of years (minimum 15) For monthly contributions: Maturity = Monthly Investment × [((1 + r/12)^(n×12) − 1) ÷ (r/12)]
Example
If you invest ₹1,50,000 per year for 15 years at 7.1% interest: Maturity = ₹1,50,000 × [((1.071)^15 − 1) ÷ 0.071] × 1.071 Maturity = ₹1,50,000 × 25.84 × 1.071 Maturity = ₹1,50,000 × 27.68 Maturity ≈ ₹41,52,000 Total invested = ₹1,50,000 × 15 = ₹22,50,000 Total interest = ₹41,52,000 − ₹22,50,000 = ₹19,02,000
How to Use
- Enter your annual PPF contribution (max ₹1,50,000)
- The interest rate is pre-set to 7.1% (updates quarterly)
- Enter the number of years (minimum 15)
- Review your projected maturity value and total interest earned
- Consider extending the account in 5-year blocks for more growth
Frequently Asked Questions
What is PPF and who can open an account?
PPF (Public Provident Fund) is a government-backed long-term savings scheme in India. Any Indian citizen can open a PPF account. NRIs cannot open new accounts but can continue existing ones until maturity.
What is the PPF lock-in period?
PPF has a 15-year lock-in period from the date of opening. Partial withdrawals are allowed from the 7th year. The account can be extended in 5-year blocks after maturity.
What is the current PPF interest rate?
The PPF interest rate for Q1 2024-25 is 7.1% per annum, compounded annually. The rate is set by the government and revised quarterly. Interest is tax-free.
What are the tax benefits of PPF?
PPF offers triple tax benefits (EEE status): 1) Contributions up to ₹1.5 lakh are tax-deductible under Section 80C, 2) Interest earned is tax-free, 3) Maturity amount is tax-free. This makes PPF one of the best tax-saving investments.
Can I withdraw from PPF before maturity?
Partial withdrawals are allowed from the 7th financial year, limited to 50% of the balance at the end of the 4th preceding year or the preceding year, whichever is lower. Premature closure is allowed only for specific reasons like medical emergencies or higher education.