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PPF Calculator India
Public Provident Fund 2025
Calculate PPF maturity with 7.1% interest. Monthly & yearly deposits, extend up to 50 years, compare PPF vs SIP vs FD.
Rate: 7.1% p.a.
🧾 EEE Tax-Free
📈 Extend to 50 Years
⚖️ PPF vs SIP vs FD
7.1%
Rate 2025
₹1.5L
Max/Year
15 Yrs
Lock-in
EEE
Tax Status
₹40.7L
₹1.5L×15yr
PPF Investment Details
🔒 Min ₹500 · Max ₹1,50,000/year · Compounded annually
Deposit Frequency
₹12,500
₹500/mo₹12,500/mo
7.1%
4%12%
15 Yrs
15 Yrs50 Yrs extended
🏛
Your PPF Maturity Value Appears Here
Adjust sliders and click Calculate to see maturity, year-wise balance, chart & tax savings.
PPF Maturity Summary
📊 Investment vs Returns — Year-wise Growth
Amount Invested
Interest Earned
Balance
📅 Year-by-Year Balance Table▼
Maturity Comparison at Same Investment
📊 Growth Comparison — PPF vs SIP vs FD
Required PPF Deposit to Hit Goal
🌟 Key Benefits of PPF (Public Provident Fund)
🧾
Triple Tax Exemption (EEE)
Deposits up to ₹1.5L qualify for 80C. Interest earned and full maturity amount are both completely tax-free.
🏛
Government Guaranteed
PPF is sovereign-backed — zero risk of default. Fully safe under the Government Savings Banks Act, 1873.
💰
Attractive Tax-Free Return
7.1% tax-free is equivalent to ~10% pre-tax yield for someone in the 30% tax bracket. Beats most FDs post-tax.
📈
Extend Beyond 15 Years
Extend in 5-year blocks indefinitely — with or without contributions. The compounding advantage multiplies significantly at 20, 25, 30+ years.
💳
Loan Against PPF
A loan can be taken against PPF balance from the 3rd to 6th year at just 1% above the PPF rate — one of the cheapest loan options.
🏠
Partial Withdrawal
Withdraw up to 50% of the 4th-year balance from the 7th financial year onwards — for any purpose without conditions.
What is PPF? How Does the PPF Calculator Work?
Public Provident Fund (PPF) is a long-term savings scheme backed by the Government of India, introduced in 1968. It offers a combination of attractive interest rate (7.1% p.a.), tax benefits under Section 80C, and the security of a sovereign guarantee. It is available at all post offices and major banks across India and requires no market knowledge to invest in.
This calculator uses a year-by-year compounding loop — the most accurate method for PPF. Each year's balance is computed as: Balance(n) = [Balance(n-1) + Annual Deposit] × (1 + rate). After 15 years, if extended, no new deposits are needed — the balance continues to compound at the prevailing rate.
⚙️ PPF Interest Calculation Rule
PPF interest is calculated on the minimum balance between the 5th and last day of each month, then credited to the account at the end of the financial year. This means deposits made before the 5th of every month earn interest for that full month. Deposits after the 5th miss that month's interest.
- Pro tip: Always deposit PPF before the 5th of April to earn interest for the full financial year.
- For monthly depositors, depositing before the 5th of each month maximises interest.
- Annual lump sum before April 5th is the most interest-efficient strategy.
📌 Example: ₹1,50,000/year PPF for 15 years @ 7.1%
Yearly Deposit
₹1,50,000
Duration
15 Years
Rate
7.1% p.a.
Total Invested
₹22.5 Lakh
Interest Earned
₹18.2 Lakh
Maturity Value
₹40.7 Lakh
Tax Saved (30%)
~₹6.75 Lakh
Tax on Maturity
₹0 (EEE)
🔒 PPF Lock-in Period & Withdrawal Rules
PPF has a 15-year lock-in from the end of the financial year in which the account was opened. However, it is not completely illiquid:
- Loan facility: Available from the 3rd financial year until the end of the 6th year, at PPF rate + 1%.
- Partial withdrawal: Allowed from the 7th financial year — up to 50% of the balance at the end of the 4th year or the preceding year, whichever is lower.
- Premature closure: Allowed after 5 years only for specific reasons — serious illness, higher education of account holder or minor child, change in residency status to NRI.
- Extension: After 15 years, extend in 5-year blocks any number of times. Maximum benefit at 20–25+ years due to accelerated compounding.
💡 The Power of PPF Extension
Many investors miss the secret weapon of PPF — extension beyond 15 years. At ₹1.5L/year, your 15-year corpus of ₹40.7 lakh grows to ₹66.6 lakh at 20 years and ₹1.03 crore at 25 years — just by continuing to deposit and letting compounding work. The calculator above supports up to 50-year projections so you can see this effect clearly.
⚖️ PPF vs SIP vs FD — Full Comparison
| Parameter | PPF | SIP (Equity MF) | FD |
|---|---|---|---|
| Returns (2025) | 7.1% p.a. (fixed) | 10–15% CAGR (market) | 6.5–7.5% p.a. |
| Risk | Zero (govt. backed) | Medium–High | Zero (insured ₹5L) |
| Tax on Deposits | 80C deduction (₹1.5L) | No deduction | 5-yr FD only (80C) |
| Tax on Returns | Fully tax-free | LTCG 12.5% (>₹1.25L) | As per income slab |
| Tax on Maturity | Fully tax-free (EEE) | Partial tax on gains | Taxable |
| Min Investment | ₹500/year | ₹100–500/month | ₹1,000 typically |
| Max Investment | ₹1.5 lakh/year | No limit | No limit |
| Lock-in Period | 15 years | None (flexible) | Fixed tenure (penalty) |
| Partial Withdrawal | From 7th year (50%) | Anytime (T+3) | Penalty applicable |
| Post-tax yield (30% slab) | ~7.1% (already tax-free) | ~9–13% (after LTCG) | ~4.6–5.3% |
| Inflation-beating | Marginally (real ~1%) | Yes (4–9% real) | Barely or negative |
| Best For | Safe, tax-free long-term | Wealth creation (5+ yrs) | Short-term safety |
🔢 More Financial Calculators — Arthzo
❓ Frequently Asked Questions — PPF Calculator India
What is the PPF interest rate in 2025?+
The PPF interest rate for FY 2025-26 is 7.1% per annum, compounded annually and credited at the end of each financial year. The rate has remained at 7.1% since April 2020. It is reviewed quarterly by the Ministry of Finance. Despite being seemingly lower than some FDs, 7.1% tax-free is equivalent to ~10% pre-tax yield for a 30% bracket taxpayer.
How much will ₹1.5 lakh/year in PPF give at maturity?+
At ₹1,50,000/year for 15 years at 7.1%, the PPF maturity amount is approximately ₹40.7 lakh against a total investment of ₹22.5 lakh. Interest earned is ~₹18.2 lakh — completely tax-free. If extended to 20 years, the corpus grows to ~₹66.6 lakh and to ~₹1.03 crore at 25 years.
Is PPF completely tax-free in India?+
Yes. PPF enjoys EEE (Exempt-Exempt-Exempt) tax status: (1) Annual deposits up to ₹1.5 lakh qualify for Section 80C deduction — saving up to ₹46,800/year in the 30% tax bracket; (2) Interest credited each year is fully exempt from income tax; (3) The entire maturity amount is tax-free. PPF's effective post-tax return is one of the highest among fixed-income instruments in India.
Can I extend PPF after 15 years? How does it work?+
Yes. After the initial 15-year maturity, PPF can be extended in 5-year blocks as many times as desired.
Extension with contributions: Continue depositing up to ₹1.5L/year and earn full interest. 80C benefit continues.
Extension without contributions: Simply let the existing balance earn interest — no new deposits required, no restrictions on this option.
Extensions must be notified to the bank/post office within 1 year of maturity. This calculator supports projections up to 50 years.
Extension with contributions: Continue depositing up to ₹1.5L/year and earn full interest. 80C benefit continues.
Extension without contributions: Simply let the existing balance earn interest — no new deposits required, no restrictions on this option.
Extensions must be notified to the bank/post office within 1 year of maturity. This calculator supports projections up to 50 years.
When can I withdraw from PPF?+
Loan: 3rd to 6th year — up to 25% of balance at end of 2nd year preceding loan year. Rate: PPF rate + 1%.
Partial withdrawal: From the 7th financial year — up to 50% of the balance at end of 4th year or end of preceding year, whichever is lower. Allowed once per year.
Premature closure: Allowed only after 5 years, strictly for: serious illness of self/spouse/dependent child/parents, higher education of account holder or minor child, or change of residency to foreign country. A 1% interest penalty applies.
Partial withdrawal: From the 7th financial year — up to 50% of the balance at end of 4th year or end of preceding year, whichever is lower. Allowed once per year.
Premature closure: Allowed only after 5 years, strictly for: serious illness of self/spouse/dependent child/parents, higher education of account holder or minor child, or change of residency to foreign country. A 1% interest penalty applies.
Is PPF better than SIP or FD?+
PPF vs FD: PPF wins on tax efficiency. 7.1% tax-free ≈ 10% pre-tax for 30% bracket. FD interest is fully taxable — making real post-tax yield only 4.5–5.3%.
PPF vs SIP: SIP in equity mutual funds delivers higher long-term returns (10–15% CAGR) but with market risk and LTCG tax. PPF gives guaranteed, risk-free, tax-free returns. For wealth maximisation, SIP is superior. For risk-free, tax-free corpus building, PPF wins.
Ideal strategy: Invest ₹1.5L in PPF for guaranteed returns + additional savings in SIP for higher growth.
PPF vs SIP: SIP in equity mutual funds delivers higher long-term returns (10–15% CAGR) but with market risk and LTCG tax. PPF gives guaranteed, risk-free, tax-free returns. For wealth maximisation, SIP is superior. For risk-free, tax-free corpus building, PPF wins.
Ideal strategy: Invest ₹1.5L in PPF for guaranteed returns + additional savings in SIP for higher growth.
What is the NRI PPF rule?+
NRIs are not eligible to open new PPF accounts. However, if a resident Indian later becomes an NRI, their existing PPF account can be continued until maturity at the prevailing rate (currently 7.1%). They cannot extend the account beyond maturity. Deposits can continue to be made by the NRI until maturity. The maturity amount can be repatriated.
How is PPF interest calculated each month?+
PPF interest is calculated monthly on the minimum balance between the 5th day and last day of the month. However, the interest is only credited at the end of the financial year (March 31). This means: deposits made before the 5th of each month earn interest for that full month. Deposits after the 5th of a month do not earn interest for that month. For maximum interest, always deposit before the 5th — especially important for the April instalment.
⚠️ Disclaimer: This PPF calculator is for informational and educational purposes only. Interest rates are subject to quarterly revision by the Ministry of Finance. Results are indicative based on the current 7.1% rate applied throughout the tenure. SIP returns shown in comparison are based on assumed constant annual returns and are not guaranteed. Please verify rates at your bank or post office before investing.
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