PPF Calculator
Determine the maturity value of your Public Provident Fund deposits. Choose your investment frequency, set your amount, rate, and tenure to instantly see your returns.
Maturity Amount
₹40,68,209
Total Invested
₹22,50,000
Est. Interest
₹18,18,209
How to Use the PPF Calculator
- Select your deposit frequency: Yearly (once a year) or Monthly (12 contributions per year).
- Enter the deposit amount. The maximum investment is capped at Rs. 1,50,000 per financial year.
- Set the tenure. The default lock-in period is 15 years. You can extend it up to 50 years to see long-term returns.
- Review the interest rate. It defaults to the current interest rate of 7.1% but can be adjusted to model historic or future rates.
- Analyze the results to see the total invested principal, total interest accumulated, and maturity value.
PPF Calculation Formula
For a fixed yearly contribution made at the beginning of each financial year, PPF balances compound annually:
- F = Maturity Value
- P = Annual installment amount
- r = Annual interest rate (decimal)
- t = Number of years (tenure)
For monthly deposit options, the interest is calculated on the lowest balance available between the 5th and the last day of each calendar month. The accumulated interest is compounded and added to the principal balance at the close of every financial year (March 31st). Our calculator simulates this monthly balance calculation year-by-year for maximum precision.
Benefits of Public Provident Fund (PPF)
The Public Provident Fund (PPF) is widely considered one of the safest tax-saving investment options in India. Backed by the central government, PPF is immune to market volatility and offers complete capital protection. A key reason for its popularity is the Exempt-Exempt-Exempt (EEE) status: the principal invested is tax-deductible up to Rs. 1.5 lakhs under Section 80C, the interest earned is completely exempt from tax, and the final maturity amount is also tax-free.
To maximize your returns, it is recommended to deposit your annual contribution before the 5th of April, or your monthly contributions before the 5th of each month. Since interest calculations ignore balances deposited after the 5th, early planning ensures you earn interest on the full amount for that month. Use this calculator to see how a disciplined annual contribution of Rs. 1.5 lakhs compounds into a significant nest egg over 15 to 25 years.
Frequently Asked Questions
What is the Public Provident Fund (PPF)?
PPF is a popular long-term savings-cum-investment scheme backed by the Government of India. It offers guaranteed tax-free returns, capital protection, and tax benefits under Section 80C of the Income Tax Act.
What is the current PPF interest rate?
The government reviews and announces PPF interest rates quarterly. Currently, the rate is 7.1%, which is compounded annually. Interest is calculated on the minimum balance between the 5th and the end of each month.
What is the lock-in period for PPF accounts?
A PPF account has a mandatory lock-in period of 15 years. After maturity, you can extend the account indefinitely in blocks of 5 years, either with or without fresh contributions.
What is the minimum and maximum amount I can invest in PPF?
The minimum investment is Rs. 500 per financial year, and the maximum limit is Rs. 1,50,000 per financial year. Any deposit exceeding Rs. 1.5 lakhs will not earn interest and is not eligible for tax deductions.