PPF Calculator (Public Provident Fund)
Calculate returns on your PPF investment with guaranteed returns and EEE tax benefits.
Investment Details
Min: ₹500/year | Max: ₹1,50,000/year
Minimum 15 years (can extend in blocks of 5 years)
Current rate: 7.1% (changes quarterly)
Note: PPF offers guaranteed returns set by the government. Interest is compounded annually.
Maturity Value
₹0
After 15 years of PPF investment
Investment Breakdown
Growth Composition
Annual Tax Savings (Section 80C)
₹45,000
Assuming 30% tax bracket. PPF offers EEE status - investment, interest, and maturity all tax-free!
How is PPF Calculated?
PPF uses compound interest calculated annually:
Where: P = Annual deposit, r = Interest rate, n = Number of years
Interest is compounded annually and credited to the account at the end of each financial year.
Understanding PPF (Public Provident Fund)
PPF is a government-backed long-term savings scheme offering guaranteed returns with complete tax exemption. It's one of the safest investment options in India.
Key Features of PPF
- Lock-in Period: 15 years (mandatory), extendable in blocks of 5 years
- Investment Limit: Min ₹500/year, Max ₹1.5 lakh/year
- Interest Rate: Set by government quarterly (currently 7.1%)
- Tax Benefit: EEE status - investment, interest, and maturity all tax-free
- Risk: Zero risk as it's backed by the Government of India
Withdrawal and Loan Facilities
- Partial Withdrawal: Allowed from the 7th year onwards (up to 50% of balance)
- Loan Facility: Available from 3rd to 6th year (up to 25% of balance)
- Premature Closure: Only in special cases like medical emergencies or higher education
Who Should Invest in PPF?
- Risk-averse investors: Looking for guaranteed returns
- Long-term savers: Can lock money for 15+ years
- Tax savers: Want to save tax under Section 80C
- Retirement planning: Build a tax-free corpus for retirement
Frequently Asked Questions
1. What is the current PPF interest rate?
As of 2026, the PPF interest rate is 7.1% per annum, compounded annually. The rate is reviewed and set by the government every quarter.
2. Can I open multiple PPF accounts?
No, an individual can open only one PPF account in their name. However, you can open a separate PPF account for your minor child.
3. What happens after 15 years of PPF maturity?
After 15 years, you can either withdraw the entire amount or extend the account in blocks of 5 years with or without making further contributions.
4. Is PPF better than Fixed Deposit?
PPF offers better tax benefits (EEE status) compared to FD where interest is taxable. However, PPF has a longer lock-in period of 15 years.
5. When is the best time to deposit in PPF for maximum interest?
Deposit before the 5th of any month to earn interest for that entire month. Interest is calculated on the lowest balance between the 5th and end of the month.
6. Can NRIs invest in PPF?
No, NRIs cannot open new PPF accounts. However, if you opened an account as a resident Indian, you can continue it until maturity.
7. What is the minimum and maximum amount I can invest in PPF?
Minimum: ₹500 per year. Maximum: ₹1,50,000 per year. If you deposit less than ₹500, the account becomes inactive but can be revived.