PPF Calculator India 2026
Calculate Public Provident Fund returns with tax-free maturity — plan your 15-year wealth journey
EEE Tax Status — 100% Tax Free!
Investment + Interest + Maturity — All Exempt under Income Tax
Investment
Exempt
Interest
Exempt
Maturity
Exempt
PPF Investment Details
💡 Max ₹1.5L/year eligible for Section 80C tax deduction
Current rate: 7.1% (compounded annually)
15-year lock-in, extendable in 5-year blocks
Total Investment
₹22.50 L
Principal Amount
Total Interest
₹15.49 L
Tax-Free Earnings
Maturity Value
₹37.99 L
100% Tax Free!
1.7x
growth
Your ₹1,50,000/year becomes ₹37.99 L in 15 years — completely tax-free!
📈 Corpus Growth Over Time
📊 Year-wise Breakdown
See how your principal and interest accumulate each year
📋 Year-wise PPF Statement
| Year | Opening | Deposit | Interest | Closing |
|---|---|---|---|---|
| Year 1 | ₹0 | ₹1,50,000 | ₹0 | ₹1,50,000 |
| Year 2 | ₹1,50,000 | ₹1,50,000 | ₹10,650 | ₹3,10,650 |
| Year 3 | ₹3,10,650 | ₹1,50,000 | ₹22,056 | ₹4,82,706 |
| Year 4 | ₹4,82,706 | ₹1,50,000 | ₹34,272 | ₹6,66,978 |
| Year 5 | ₹6,66,978 | ₹1,50,000 | ₹47,355 | ₹8,64,334 |
| Year 6 | ₹8,64,334 | ₹1,50,000 | ₹61,368 | ₹10,75,701 |
| Year 7 | ₹10,75,701 | ₹1,50,000 | ₹76,375 | ₹13,02,076 |
| Year 8 | ₹13,02,076 | ₹1,50,000 | ₹92,447 | ₹15,44,524 |
| Year 9 | ₹15,44,524 | ₹1,50,000 | ₹1,09,661 | ₹18,04,185 |
| Year 10 | ₹18,04,185 | ₹1,50,000 | ₹1,28,097 | ₹20,82,282 |
| Year 11 | ₹20,82,282 | ₹1,50,000 | ₹1,47,842 | ₹23,80,124 |
| Year 12 | ₹23,80,124 | ₹1,50,000 | ₹1,68,989 | ₹26,99,113 |
| Year 13 | ₹26,99,113 | ₹1,50,000 | ₹1,91,637 | ₹30,40,750 |
| Year 14 | ₹30,40,750 | ₹1,50,000 | ₹2,15,893 | ₹34,06,643 |
| Year 15 | ₹34,06,643 | ₹1,50,000 | ₹2,41,872 | ₹37,98,515 |
📜 PPF Rules & Features
Lock-in Period
15 years minimum lock-in. Extendable in 5-year blocks indefinitely.
Section 80C
Up to ₹1.5L/year investment eligible for tax deduction under Section 80C.
Loan Facility
Loan available from 3rd to 6th year — up to 25% of balance at 1% above PPF rate.
Partial Withdrawal
Withdraw up to 50% of balance from 7th year onwards for emergencies.
⚡ What If You Extend?
15 Years
₹37.99 L
+₹15.49 L interest
✓ Selected
20 Years
₹62.17 L
+₹32.17 L interest
25 Years
₹96.25 L
+₹58.75 L interest
30 Years
₹1.44 Cr
+₹99.27 L interest
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📖 Learn More About PPF Calculator India 2026
How PPF (Public Provident Fund) Works
The Public Provident Fund (PPF) is a long-term, government-backed savings scheme introduced in 1968 by the National Savings Institute. It operates under a simple principle: you invest regularly (anywhere from ₹500 to ₹1.5 lakhs per year), the government guarantees a competitive interest rate (currently 7.1%), and after 15 years, you receive your entire corpus — principal plus all accumulated interest — completely tax-free.
PPF's unique EEE (Exempt-Exempt-Exempt) tax status makes it extraordinarily powerful for taxpayers in the 20-30% income slab. Your investment qualifies for Section 80C deduction (saving tax at your slab rate), the annual interest is exempt from tax (unlike FD interest), and the final maturity is also tax-free. This triple tax benefit makes PPF's effective real return far higher than its nominal 7.1%.
Interest in PPF is calculated on the minimum balance between the 5th and last day of each month, and credited to the account at the end of each financial year (March 31). This means a simple trick dramatically boosts your returns: deposit your annual contribution before April 5th. If you invest ₹1.5L on April 1st vs April 30th every year over 15 years, the difference in maturity value can be ₹70,000–₹1,00,000 due to one extra month of compounding each year.
After the initial 15-year maturity, PPF doesn't have to end. You can extend it in 5-year blocks — with or without fresh contributions. The extension-without-contribution strategy is particularly powerful for retirees: your accumulated corpus continues earning 7.1% tax-free, and you can make partial withdrawals each year as needed, effectively creating a tax-free retirement income stream.
📐 PPF Maturity Formula
M = P × [{(1+r)^n - 1} / r] × (1+r)
M = Maturity Value
P = Annual Investment (up to ₹1,50,000)
r = Annual Interest Rate (0.071 for 7.1%)
n = Number of Years (minimum 15)
Note: This is the Future Value of Annuity Due formula (investment at start of each year)
✏️ Worked Example
You invest the maximum ₹1,50,000 per year in PPF at 7.1% p.a. for 15 years:
M = 1,50,000 × [(1.071^15 - 1) / 0.071] × 1.071
M = 1,50,000 × [2.7965 - 1] / 0.071 × 1.071
M = 1,50,000 × 25.304 × 1.071
M ≈ ₹40,68,209
Total Invested: ₹22,50,000
Tax-free Interest: ₹18,18,209
Wealth multiplier: 1.81x — completely tax-free!
💡 PPF Tips & Best Practices
Invest Before April 5th Every Year
PPF interest is calculated on the minimum balance between 5th and last day of month. Depositing before April 5th earns you 12 months of interest instead of 11. Over 15 years, this discipline can add ₹70,000–₹1,00,000 to your maturity corpus.
Extend Beyond 15 Years
Never close PPF at 15 years! Extend in 5-year blocks. Investing ₹1.5L/year for 25 years (vs 15) grows your corpus from ₹40.7L to over ₹1 Crore — more than double. The power of compounding accelerates dramatically in years 20-25.
Open Accounts for Family Members
Open PPF accounts for your spouse and adult children to multiply your family's tax-free corpus. Each family member can invest ₹1.5L/year — a family of 4 can collectively build ₹6L/year in Section 80C savings with tax-free returns.
Use Loan Facility Wisely
Between years 3-6, you can borrow up to 25% of year 2 balance at just PPF rate + 1% (currently ~8.1%) — cheaper than personal loans (12-18%). Use this for emergencies rather than breaking FDs or taking expensive personal loans.
Maintain Account Even in NRI Years
If you become an NRI, don't close your PPF — you can continue till the 15-year maturity. Since NRIs can't open new PPF accounts, maintaining an existing account is a valuable privilege. The tax-free returns continue to accrue.
Combine PPF with Equity for Balanced Growth
Use PPF as your debt/safe allocation (targeting 40-50% of portfolio) and Equity SIP for growth (50-60%). This gives you 7.1% guaranteed + 12-15% equity CAGR — a blended return of 9-11% with much lower risk than pure equity.
PPF Effective Return vs Other Investments
For a 30% income tax slab taxpayer, here's the tax-equivalent return of 7.1% tax-free PPF:
5% Tax Slab
7.48%
FD yield needed to match PPF's tax-free 7.1%
20% Tax Slab
8.88%
FD yield needed to match PPF's tax-free 7.1%
30% Tax Slab
10.14%
FD yield needed to match PPF's tax-free 7.1%
Frequently Asked Questions
What is PPF and how does it work?
PPF (Public Provident Fund) is a government-backed long-term savings scheme with a 15-year lock-in period. It offers tax-free returns under the EEE (Exempt-Exempt-Exempt) status — investment deduction under Section 80C, interest earned, and maturity amount are all completely exempt from income tax. It's one of the most powerful wealth-building tools for Indian taxpayers.
What is the current PPF interest rate?
The current PPF interest rate is 7.1% per annum (compounded annually), set by the government quarterly. The rate is reviewed every quarter by the Ministry of Finance. Historically, PPF rates have ranged from 7.1% to 12% — the current 7.1% has been stable for several years as part of the government's declining rate policy.
What is the maximum I can invest in PPF?
The maximum annual investment in PPF is ₹1.5 lakhs per financial year. You can invest in a lump sum or in up to 12 installments. The minimum is ₹500 per year — failing to make the minimum deposit renders the account inactive (reactivation requires ₹50 penalty per missed year). All investments up to ₹1.5L qualify for Section 80C deduction.
Can I extend my PPF account after 15 years?
Yes! After the initial 15-year lock-in (counted from the end of the financial year of opening), you can extend in 5-year blocks indefinitely. You have two options: (1) Extend with contributions — continue depositing and earn interest on a growing corpus; (2) Extend without contributions — let the existing balance earn 7.1% tax-free without adding new money. The second option is excellent for retirement income planning.
When can I make partial withdrawals from PPF?
Partial withdrawals are allowed from the 7th financial year onwards. In any year, you can withdraw the lower of: (a) 50% of the balance at the end of the 4th preceding year, or (b) 50% of the balance at the end of the immediately preceding year. Example: If your balance at end of Year 4 was ₹5L and at end of Year 6 was ₹8L, you can withdraw up to ₹2.5L in Year 7. Only one withdrawal per financial year is allowed.
Can I take a loan against my PPF balance?
Yes, loans against PPF are available from the 3rd financial year up to the 6th financial year. You can borrow up to 25% of the balance at the end of the 2nd preceding year. The loan interest rate is PPF rate + 1% (currently 8.1%). The loan must be repaid within 36 months. After repayment, you can take a second loan before the 6th year ends. No loans are available after the 6th year (partial withdrawals begin instead).
How is PPF interest calculated?
PPF interest is calculated on the minimum balance between the 5th and the last day of each month. This is crucial: if you deposit before the 5th of a month, you earn interest on that deposit for the entire month. If you deposit after the 5th (say on the 10th), you miss that month's interest. Best practice: Always deposit before April 5th each year to earn interest for the entire year from April to March.
Can I open a PPF account for my child?
Yes, parents/guardians can open a PPF account in the name of a minor child. However, the aggregate investment across the parent's account and all minor children's accounts cannot exceed ₹1.5 lakhs per year. So if you invest ₹1L in your own PPF, you can only invest ₹50K in your child's PPF. Interest on minor's PPF is clubbed with the guardian's income for tax purposes until the child turns 18.
Is PPF better than FD or mutual funds?
PPF beats FD on tax-efficiency: PPF at 7.1% tax-free = FD at ~10.1% for a 30% slab taxpayer (or ~7.5% for 5% slab). PPF beats Equity Mutual Funds on safety — MFs can lose value in bear markets while PPF gives guaranteed 7.1%. However, Equity MFs have historically returned 12–15% CAGR long-term, far exceeding PPF. The ideal strategy: PPF for safe, tax-free debt corpus (retirement/goal planning) + Equity SIP for long-term wealth creation.
What happens to PPF if I become an NRI?
If you become an NRI after opening a PPF account, you can continue the existing account till maturity (15 years) at the prevailing interest rate. However, you cannot extend beyond 15 years (NRIs cannot open new PPF accounts). The account continues to earn interest and you can make contributions from NRO accounts. On maturity, the proceeds are repatriable.
Where can I open a PPF account?
PPF accounts can be opened at: (1) Post Offices (any branch across India), (2) SBI and its associate banks, (3) Most nationalized banks (Bank of Baroda, PNB, Bank of India, etc.), (4) Some private banks (ICICI, HDFC, Axis — check RBI list). Online PPF accounts via net banking are available at SBI, HDFC, ICICI, and major banks — convenient for investing before the 5th of April.