🏦 PPF Calculator
Calculate returns on Public Provident Fund (PPF) investments
Minimum ₹500, Maximum ₹1,50,000 per year
Current PPF interest rate is around 7.1% (varies quarterly)
Minimum 15 years (can be extended in blocks of 5 years)
How to Use This Calculator
Enter Annual Deposit
Input the amount you want to deposit annually in PPF (minimum ₹500, maximum ₹1,50,000).
Enter Interest Rate
Input the PPF interest rate (currently around 7.1%, but varies quarterly).
Enter Investment Period
Input the investment period in years (minimum 15 years, can be extended in blocks of 5 years).
Review Results
See the maturity value, total invested, total interest, and return percentage.
Formula
PPF Maturity Value = P × [((1 + r)^n - 1) / r]
Where:
P = Annual Deposit
r = Interest Rate (annual)
n = Number of Years
Example 1: Maximum Deposit
Annual Deposit: ₹1,50,000
Interest Rate: 7.1% per annum
Investment Period: 15 years
Maturity Value = ₹1,50,000 × [((1.071)^15 - 1) / 0.071]
Maturity Value ≈ ₹40,68,209
Total Invested: ₹22,50,000
Total Interest: ₹18,18,209
About PPF Calculator
The PPF Calculator calculates returns on Public Provident Fund (PPF) investments in India. PPF is a long-term savings scheme offered by the Government of India that provides tax benefits under Section 80C. PPF has a lock-in period of 15 years and can be extended in blocks of 5 years. The interest rate is set by the government and is typically around 7-8% per annum.
PPF offers triple tax benefits: investments are deductible under Section 80C (up to ₹1.5 lakh), interest earned is tax-free, and maturity proceeds are tax-free. The minimum annual deposit is ₹500, and the maximum is ₹1,50,000. PPF is a popular long-term savings instrument for retirement planning and tax savings.
This calculator is essential for PPF investors, financial planners, and anyone planning to invest in PPF. It helps estimate maturity value, plan investments, understand returns, and make informed decisions about PPF investments.
When to Use This Calculator
- Investment Planning: Calculate PPF maturity value for investment planning
- Tax Planning: Plan PPF investments for tax savings under Section 80C
- Retirement Planning: Estimate PPF returns for retirement planning
- Goal Planning: Plan PPF investments to achieve financial goals
- Financial Planning: Understand PPF returns and plan investments accordingly
Why Use Our Calculator?
- ✅ Accurate Calculations: Uses PPF compound interest formula
- ✅ Comprehensive: Shows maturity value, total invested, and interest
- ✅ Educational: Helps understand PPF and compound interest
- ✅ Easy to Use: Simple interface for quick calculations
- ✅ Free Tool: No registration or fees required
- ✅ Tax Benefits: Highlights PPF tax benefits
Understanding PPF
PPF (Public Provident Fund) is a long-term savings scheme with a 15-year lock-in period. It offers tax benefits under Section 80C, tax-free interest, and tax-free maturity. The interest rate is set by the government quarterly and is typically around 7-8% per annum. PPF is ideal for long-term savings and retirement planning.
PPF allows flexible deposits (minimum ₹500, maximum ₹1,50,000 per year), and you can make multiple deposits throughout the year. The account can be extended in blocks of 5 years after the initial 15-year period. PPF is a safe, government-backed investment option with attractive returns and tax benefits.
Real-World Applications
Retirement Planning: PPF is an excellent tool for retirement planning. Investing ₹1,50,000 annually at 7.1% for 15 years can grow to over ₹40 lakhs, providing a tax-free corpus for retirement.
Tax Savings: PPF investments up to ₹1,50,000 per year are deductible under Section 80C, providing significant tax savings. Combined with tax-free interest and maturity, PPF offers triple tax benefits.
Long-Term Wealth Creation: PPF helps create long-term wealth through disciplined annual deposits and compound interest. The 15-year lock-in ensures long-term savings and wealth accumulation.
Important Considerations
- PPF has a 15-year lock-in period (minimum)
- Annual deposit limits: Minimum ₹500, Maximum ₹1,50,000
- PPF offers triple tax benefits (Section 80C, tax-free interest, tax-free maturity)
- Interest rate is set by government and varies quarterly
- Account can be extended in blocks of 5 years after 15 years
- Partial withdrawals allowed after 7 years (subject to conditions)
Frequently Asked Questions
What is PPF?
PPF (Public Provident Fund) is a long-term savings scheme offered by the Government of India. It has a 15-year lock-in period, offers tax benefits under Section 80C, and provides tax-free interest and maturity. It's ideal for long-term savings and retirement planning.
What are the PPF deposit limits?
PPF allows annual deposits between ₹500 (minimum) and ₹1,50,000 (maximum). You can make multiple deposits throughout the year, but the total annual deposit cannot exceed ₹1,50,000.
What is the PPF lock-in period?
PPF has a minimum lock-in period of 15 years. After 15 years, you can extend the account in blocks of 5 years indefinitely. Partial withdrawals are allowed after 7 years, subject to certain conditions.
What are the tax benefits of PPF?
PPF offers triple tax benefits: (1) Investments up to ₹1,50,000 per year are deductible under Section 80C, (2) Interest earned is completely tax-free, and (3) Maturity proceeds are tax-free. This makes PPF highly attractive for tax planning.
What is the current PPF interest rate?
The PPF interest rate is set by the government quarterly and is typically around 7-8% per annum. The rate was 7.1% as of recent quarters, but it may vary. Check the current rate before investing.
Can I withdraw from PPF before maturity?
Partial withdrawals are allowed after 7 years, subject to certain conditions (maximum 50% of balance at end of 4th year preceding the year of withdrawal, or 50% of balance at end of immediately preceding year, whichever is lower). However, it's best to keep PPF until maturity for maximum benefits.