PPF (Public Provident Fund) Calculator
Total Amount
₹ 0
Yearly PPF Investment Growth Table
This table shows the yearly breakdown of your PPF investment, including invested amount, interest earned, and total balance.
| Year | Invested Amount | Interest Earned | Total Value |
|---|
Related Calculators
PPF Calculator – Estimate Your Public Provident Fund Growth
The Public Provident Fund (PPF) is one of the most popular long-term savings schemes in India, backed by the Government of India. It offers attractive returns, tax benefits, and guaranteed returns, making it a top choice for individuals looking to build a safe and secure financial corpus. To help you understand how your money will grow in a PPF account over time, our PPF Calculator provides instant and accurate maturity projections based on your yearly investments, interest rates, and tenure.
What is a PPF Account?
A Public Provident Fund account is a government-backed investment instrument designed to encourage long-term savings. It has a lock-in period of 15 years, with the option to extend in blocks of 5 years. The interest earned is compounded annually and is fully exempt from tax under Section 80C of the Income Tax Act.
Why Use a PPF Calculator?
Manual calculations for compound interest over long durations can be time-consuming and error-prone. Our PPF Calculator simplifies this process by showing:
- 📅 Total investment over the years
- 💸 Interest earned
- 💰 Final maturity amount
You can tweak the yearly contribution, tenure, or interest rate and instantly see updated projections. It helps you plan better and achieve financial clarity.
PPF Calculation Formula
The formula used to calculate the maturity amount of a PPF account involves yearly compounding:
A = P × [(1 + r)^n - 1] / r- A = Maturity amount
- P = Yearly investment
- r = Annual interest rate (as a decimal)
- n = Total number of years
The calculator applies this logic for each contribution made and adds the compounded amount over time.
Example: How Your PPF Grows Over Time
Let’s say you invest ₹1,50,000 every year (maximum allowed) for 15 years at an interest rate of 7.1% per annum:
- Total Investment: ₹22,50,000
- Interest Earned: ₹18,18,209
- Maturity Amount: ₹40,68,209
This showcases the magic of long-term compounding with guaranteed returns.
PPF Investment Rules
- Minimum yearly investment: ₹500
- Maximum yearly investment: ₹1,50,000
- Only one PPF account allowed per individual
- Lock-in period: 15 years
- Partial withdrawals allowed from the 7th year
- Can be extended in 5-year blocks with or without contribution
Benefits of PPF
- 🔐 Risk-free and government-backed
- 📈 Attractive compounding interest
- 💰 Tax exemption on investment, interest, and maturity
- 🕰 Ideal for long-term retirement planning
- 📄 Can be used as loan collateral after 3 years
PPF Interest Rate History
The PPF interest rate is set quarterly by the Ministry of Finance. Over the last two decades, it has ranged from 7.1% to 9.5%.
| Year | Interest Rate (%) |
|---|---|
| 2000-2003 | 9.5% |
| 2005-2010 | 8.0% |
| 2011-2015 | 8.7% |
| 2016-2019 | 7.9% – 8.1% |
| 2020-Present | 7.1% |
Tax Benefits of PPF
- 🧾 Investment eligible for tax deduction under Section 80C
- 📊 Interest earned is tax-free
- 💸 Maturity amount is also exempt from tax
- 📚 PPF falls under EEE (Exempt-Exempt-Exempt) tax regime
Who Should Use a PPF Calculator?
- 🏫 Students planning for future education
- 👨👩👧 Parents saving for children's marriage
- 🧓 Working professionals planning retirement
- 💡 Anyone seeking tax-saving fixed returns
Real-Life Examples
- Case 1: Reema invests ₹50,000 yearly for 15 years at 7.1%. Her maturity = ₹13,56,070
- Case 2: Arjun invests max ₹1.5 lakh/year. After 20 years, he earns over ₹52 lakh
- Case 3: Ravi extends PPF after 15 years by another 5 years — his fund compounds to ₹72 lakh
PPF Withdrawal Rules
- ⏳ Lock-in for 15 years
- 📤 Partial withdrawals allowed from 7th year onwards
- 🏦 Loan facility available from 3rd to 6th year
- ➕ Extension allowed in blocks of 5 years post-maturity
Frequently Asked Questions (FAQs)
1. Is PPF better than Fixed Deposit?
Yes, for long-term investment, PPF often offers better post-tax returns than FDs.
2. Can I change my yearly investment amount?
Yes, you can change the contribution each year, but it must not exceed ₹1.5 lakh.
3. What happens after 15 years?
You can withdraw the full amount or extend the account with/without additional contributions.
4. Can NRIs open a PPF account?
No, NRIs cannot open new PPF accounts. Existing accounts must be closed upon NRI status.
5. Is the interest rate fixed?
No, it is reviewed quarterly by the government and may vary.
Tips to Maximize PPF Returns
- Invest before 5th of every month for maximum interest credit
- Always invest the full ₹1.5 lakh if affordable
- Start early and stay invested for 15+ years
- Use auto-debit to avoid missing yearly deadlines
Conclusion
The PPF Calculator is your essential tool for visualizing the power of compound interest in a secure and tax-saving instrument. It helps you plan, adjust, and grow your wealth with confidence. With government backing, flexible tenure, and tax exemptions, PPF remains one of the safest and smartest financial products in India.
Use our PPF Calculator regularly to stay on track and achieve your long-term financial goals — be it your child’s education, a retirement fund, or building wealth safely.