PPF Calculator
Calculate your Public Provident Fund returns with 15-year lock-in and tax-free benefits
Maturity Amount
₹0
Total Deposits
₹0
Interest Earned
₹0
Tax Savings (80C)
₹0
Effective Return
0%
Principal vs Interest
| Year | Opening Balance | Deposit | Interest | Closing Balance |
|---|
Deposit Limits
- • Minimum: ₹500 per year
- • Maximum: ₹1,50,000 per year
- • Can make deposits in lump sum or installments
- • Minimum 1 deposit required per year
Lock-in & Maturity
- • 15-year lock-in period from account opening
- • Can extend for 5-year blocks indefinitely after maturity
- • Must decide on extension within 1 year of maturity
- • During extension, can continue deposits or keep existing balance
Tax Benefits
- • EEE (Exempt-Exempt-Exempt) tax status
- • Investment eligible for 80C deduction (up to ₹1.5L)
- • Interest earned is completely tax-free
- • Maturity amount is tax-free
What is PPF?
Public Provident Fund (PPF) is a long-term savings scheme backed by the Government of India. It offers attractive interest rates (currently 7.1% p.a.), complete tax exemption, and capital protection. PPF is one of the most popular investment options for building long-term wealth while saving taxes under Section 80C.
How is PPF Interest Calculated?
PPF interest is calculated monthly on the lowest balance between the 5th and last day of each month. The interest is compounded annually and credited at the end of the financial year. This means depositing before the 5th of any month maximizes your interest earnings for that month.
PPF Interest Formula:
A = P × [(1 + r)^n - 1] / r × (1 + r)Where:
- A = Maturity Amount
- P = Yearly deposit
- r = Interest rate (annual)
- n = Number of years
Why Choose PPF?
- ✓Triple Tax Exemption (EEE): Investment, interest, and maturity all tax-free
- ✓Government Backing: 100% safe with sovereign guarantee
- ✓Attractive Returns: Better than most fixed deposits with tax benefits
- ✓Flexible Deposits: Invest anywhere from ₹500 to ₹1.5L per year
- ✓Loan & Withdrawal Options: Emergency liquidity available