PPF Calculator
Calculate your Public Provident Fund (PPF) maturity amount after 15 years
Investment Details
Current PPF rate: 7.1% (as of 2024)
Note: PPF has a lock-in period of 15 years. Partial withdrawals are allowed from the 7th year onwards.
PPF Growth Visualization
Yearly Breakdown (15 Years)
| Year | Invested (₹) | Interest (₹) | Balance (₹) |
|---|
Results
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Est. Results
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How PPF (Public Provident Fund) is Calculated?
PPF is a long-term savings scheme backed by the Government of India. It uses compound interest calculation with annual compounding. The interest rate is declared by the government each quarter and is currently around 7.1% per annum.
PPF Formula/Equation
A = P × (1 + r)^t
For annual contributions: FV = P × [((1 + r)^n - 1) / r]
Where:
- A = Maturity amount
- P = Annual contribution
- r = Annual interest rate (as decimal)
- t = Time period in years (15 years minimum)
- n = Number of years of contribution
Example:
Let's calculate PPF maturity for an annual contribution of ₹1,50,000 at 7.1% interest for 15 years.
Given: P = ₹1,50,000/year, r = 7.1% = 0.071, t = 15 years
Step 1: Apply PPF Formula for Annual Contributions
FV = P × [((1 + r)^n - 1) / r]
FV = ₹1,50,000 × [((1.071)^15 - 1) / 0.071]
FV = ₹1,50,000 × [(2.797 - 1) / 0.071]
FV = ₹1,50,000 × [1.797 / 0.071]
FV = ₹1,50,000 × 25.31
FV ≈ ₹37,96,500
Step 2: Calculate Total Contribution
Total Contribution = ₹1,50,000 × 15 = ₹22,50,000
Step 3: Calculate Interest Earned
Interest = ₹37,96,500 - ₹22,50,000 = ₹15,46,500
Result: Your PPF account grows to ₹37,96,500 after 15 years, with ₹22,50,000 in contributions earning ₹15,46,500 in tax-free interest.
Use Cases for PPF Calculator
Retirement Planning
Plan your retirement corpus with tax-free returns over 15+ years
Tax Savings
Save up to ₹1.5 lakh annually under Section 80C with tax-free maturity
Long-term Goals
Build wealth for children's education, marriage, or major expenses
Safe Investment
Government-backed scheme with guaranteed returns and capital protection
Benefits of PPF
Tax-free interest and maturity amount
Tax deduction under Section 80C up to ₹1.5 lakh
Government-backed, risk-free investment
Flexible contribution (minimum ₹500, maximum ₹1.5 lakh/year)
Loan facility available from 3rd to 6th year
Partial withdrawal allowed from 7th year
PPF Calculator FAQs
❓What is PPF?
PPF (Public Provident Fund) is a long-term savings scheme offered by the Government of India. It has a lock-in period of 15 years and offers tax-free returns. Contributions up to ₹1.5 lakh per year qualify for tax deduction under Section 80C.
❓How is PPF interest calculated?
PPF interest is calculated using compound interest formula with annual compounding. The interest rate is declared by the government each quarter. Interest is calculated on the minimum balance between 5th and last day of each month.
❓What is the minimum and maximum contribution to PPF?
The minimum annual contribution is ₹500, and the maximum is ₹1.5 lakh per financial year. You can make contributions in lump sum or installments (maximum 12 installments per year).
❓Can I extend my PPF account beyond 15 years?
Yes, you can extend your PPF account in blocks of 5 years after the initial 15-year period. You can continue making contributions during the extended period and enjoy tax benefits.
❓Is PPF interest taxable?
No, PPF interest is completely tax-free. The entire maturity amount, including principal and interest, is exempt from income tax under Section 10(11) of the Income Tax Act.