How the PPF calculator works
Enter the amount you deposit each financial year, the current PPF interest rate and how long you'll keep the account. The calculator assumes each deposit is made on or before 5 April, so it earns interest for the whole year, and compounds interest annually as the Post Office and banks do.
PPF maturity formula
- F — maturity value
- P — yearly deposit
- i — annual interest rate as a decimal (7.1% = 0.071)
- n — number of years
Worked example
Depositing the maximum ₹1,50,000 every year for 15 years at 7.1%: you invest ₹22.5 lakh and the account grows to about ₹40.68 lakh — over ₹18 lakh of tax-free interest. Extend for another 10 years with contributions and it crosses ₹1 crore.
Key PPF rules
- Tenure: 15 financial years, extendable indefinitely in 5-year blocks.
- Deposit limits: ₹500 minimum and ₹1,50,000 maximum per financial year.
- Interest: calculated monthly on the lowest balance between the 5th and the last day of the month, and credited once a year on 31 March. Deposit before the 5th to earn that month's interest.
- Partial withdrawal: allowed from the 7th financial year, subject to limits.
- Loans: available from the 3rd to the 6th financial year against your balance.
- Tax: EEE status — deposits qualify for 80C (old regime) and both interest and maturity are tax-free.
PPF vs. other options
PPF offers guaranteed, tax-free, sovereign-backed returns, which makes it a strong fit for the debt portion of a long-term portfolio. For higher (but market-linked) growth, compare with the SIP calculator; for shorter goals, see the FD calculator.
Frequently asked questions
What is the current PPF interest rate?
The government reviews the PPF rate every quarter. It has been 7.1% per annum for several years; check the latest notification from the Ministry of Finance and update the rate in the calculator if it has changed.
How much can I invest in PPF?
A minimum of ₹500 and a maximum of ₹1,50,000 per financial year, in a lump sum or up to 12 instalments.
Is PPF tax-free?
PPF has EEE status: deposits qualify for Section 80C deduction (old regime), and both the interest and the maturity amount are fully tax-free.
Can I extend my PPF account after 15 years?
Yes. After maturity you can extend the account in blocks of 5 years, with or without fresh contributions, by submitting Form H within one year of maturity.
Last updated: 22 September 2026Suggest an improvement · Report a problem