PPF Calculator
Calculate Public Provident Fund maturity amount, total interest, and Section 80C tax savings. Plan your long-term wealth with India's safest government-backed scheme.
PPF Details
Yearly Investment
Annual Interest Rate
Investment Period
PPF minimum lock-in is 15 years. You can extend in 5-year blocks (15, 20, 25… years). The current government-set interest rate is 7.1% p.a. (compounded annually). Contributions above ₹1.5 Lakh/year do not earn interest.
Maturity Summary
Total Invested
₹22.50 L
Interest Earned
₹18.18 L
Maturity Amount
₹40.68 L
Estimated 80C Tax Savings
At 20% Slab
₹4.50 L
At 30% Slab
₹6.75 L
Based on ₹1.5 Lakh annual 80C deduction limit. Actual savings depend on your slab and other 80C investments.
Balance Growth Chart
Year-by-Year Breakdown
| Year | Investment | Interest Earned | Cumulative Invested | Closing Balance |
|---|---|---|---|---|
| 1 | ₹1,50,000 | ₹10,650 | ₹1,50,000 | ₹1,60,650 |
| 2 | ₹1,50,000 | ₹22,056 | ₹3,00,000 | ₹3,32,706 |
| 3 | ₹1,50,000 | ₹34,272 | ₹4,50,000 | ₹5,16,978 |
| 4 | ₹1,50,000 | ₹47,355 | ₹6,00,000 | ₹7,14,334 |
| 5 | ₹1,50,000 | ₹61,368 | ₹7,50,000 | ₹9,25,701 |
| 6 | ₹1,50,000 | ₹76,375 | ₹9,00,000 | ₹11,52,076 |
| 7 | ₹1,50,000 | ₹92,447 | ₹10,50,000 | ₹13,94,524 |
| 8 | ₹1,50,000 | ₹1,09,661 | ₹12,00,000 | ₹16,54,185 |
| 9 | ₹1,50,000 | ₹1,28,097 | ₹13,50,000 | ₹19,32,282 |
| 10 | ₹1,50,000 | ₹1,47,842 | ₹15,00,000 | ₹22,30,124 |
| 11 | ₹1,50,000 | ₹1,68,989 | ₹16,50,000 | ₹25,49,113 |
| 12 | ₹1,50,000 | ₹1,91,637 | ₹18,00,000 | ₹28,90,750 |
| 13 | ₹1,50,000 | ₹2,15,893 | ₹19,50,000 | ₹32,56,643 |
| 14 | ₹1,50,000 | ₹2,41,872 | ₹21,00,000 | ₹36,48,515 |
| 15 | ₹1,50,000 | ₹2,69,695 | ₹22,50,000 | ₹40,68,209 |
What is PPF?
Public Provident Fund (PPF) is a government-backed long-term savings scheme introduced in 1968 under the PPF Act. It offers guaranteed, sovereign-backed returns with full EEE (Exempt-Exempt-Exempt) tax status — contributions qualify for Section 80C deduction, interest earned is tax-free, and the maturity corpus is entirely tax-free. This makes PPF one of the most tax-efficient investment vehicles in India for debt allocation.
EEE Tax Status Explained
EEE means three layers of tax exemption: (1) Exempt at entry — up to ₹1.5 Lakh of annual PPF contribution is deductible under Section 80C, reducing your taxable income directly; (2) Exempt during accumulation — the interest earned each year is completely tax-free, unlike FD interest which is taxed annually; (3) Exempt at exit — the entire maturity amount is tax-free. No other mainstream investment except EPF offers all three exemptions simultaneously.
PPF Partial Withdrawal Rules
You can make a partial withdrawal from PPF from the beginning of the 7th financial year (after 6 complete years). The maximum withdrawal in any year is 50% of the balance at the end of the 4th year preceding the withdrawal year, or 50% of the balance at the end of the immediately preceding year — whichever is lower. Only one withdrawal per year is permitted, and it does not reduce the final maturity amount calculation, as the interest continues on the remaining balance.
Extending PPF Beyond 15 Years
At maturity (after 15 years), you have two options: close the account and withdraw everything tax-free, or extend in 5-year blocks. With contribution: you continue investing up to ₹1.5 Lakh/year and earn the prevailing rate — ideal if you want continued tax-free compounding. Without contribution: the existing balance earns interest without new investments, and you can make one withdrawal per year of any amount. Extensions can be repeated indefinitely until age 70.
PPF vs ELSS vs NPS
PPF offers ~7.1% guaranteed, completely tax-free. ELSS (equity mutual funds) targets 12–15% pre-tax returns with a 3-year lock-in, but LTCG above ₹1 Lakh/year is taxed at 10%. NPS offers tax deduction up to ₹2 Lakhs/year (80C + 80CCD) but 40% of corpus must be annuitised at retirement (taxable). For conservative investors seeking guaranteed, tax-free wealth, PPF beats ELSS post-tax when slab is 20–30% and horizon exceeds 15 years.
Opening a PPF Account
PPF accounts can be opened at any nationalised bank, ICICI Bank, Axis Bank, or post office branch. You need a KYC documents, PAN card, and an initial deposit of at least ₹500. Online account opening is available through SBI, HDFC, and most major banks via net banking. You can open a PPF account in your child's name (minor account) operated by the guardian — the ₹1.5 Lakh annual limit applies to the combined family total, not per person.
PPF Interest Calculation Method
PPF interest is calculated on the minimum balance between the 5th and last day of each month. To maximise interest, invest your annual contribution before the 5th of April (start of financial year) — this ensures the full ₹1.5 Lakh earns interest for all 12 months of that year. Investing after the 5th means the April contribution earns interest only from May, losing one month of compounding on ₹1.5 Lakh.
Loan Against PPF
You can take a loan against your PPF account from the 3rd to the 6th financial year. The maximum loan is 25% of the balance at the end of the 2nd year preceding the loan application. The loan interest rate is 1% above the prevailing PPF interest rate (currently 8.1%), and the loan must be repaid within 36 months. After repayment, a second loan can be taken in the same period if the first is fully cleared.
Frequently Asked Questions
What is the current PPF interest rate?
The PPF interest rate is set by the Government of India each quarter. As of Q1 FY2025-26, the rate is 7.1% per annum, compounded annually and credited at the end of each financial year. Historically, PPF rates have ranged from 7% to 12% — the current rate has been stable since January 2020.
Can a PPF account be closed before 15 years?
Premature closure of a PPF account is allowed only in specific circumstances: life-threatening illness of the account holder, spouse, or dependent children (with supporting documents); higher education of the account holder or minor child; or change in residency status (NRI). Premature closure attracts a 1% interest rate penalty for the entire holding period.
Can an NRI open or continue a PPF account?
Resident Indians who later become NRIs may continue their existing PPF account until maturity but cannot extend it. NRIs cannot open a new PPF account. Once an existing account matures, it cannot be extended further. The maturity proceeds can be repatriated to the NRI's NRE/NRO account without tax liability in India.
Is PPF balance included in estate/inheritance?
PPF balances are protected from court attachment under Section 9(3) of the PPF Act — no decree or order of any court can attach a PPF account. Nominees receive the balance directly on the account holder's death without the amount going through probate. Nominee shares can be specified for up to 5 nominees with percentage allocation.
Can I have two PPF accounts?
No. A person can hold only one PPF account in their own name. If a second account is mistakenly opened, it is irregular — only the principal in the second account is refunded (without interest) and the ₹1.5 Lakh annual limit applies across both accounts. You can open a second account as a guardian for your minor child, with a separate ₹1.5 Lakh limit for that account.