PPF Calculator
See how your yearly PPF contributions grow into a tax-free corpus over the term, with annual compounding.
Maturity amount
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How the PPF calculator works
The Public Provident Fund (PPF) is a government-backed savings scheme with a 15-year term. You contribute each year, interest is compounded annually, and the entire maturity amount is tax-free. This calculator adds your yearly contribution to the balance and applies interest each year for the full term.
Why PPF is so popular
PPF enjoys EEE tax status: your contribution qualifies for the Section 80C deduction, the interest earned is tax-free, and the maturity amount is tax-free too. For a higher-rate taxpayer, a 7.1% tax-free return is effectively far higher than a taxable fixed deposit at the same rate.
The key rules
- Investment limit: ₹500 minimum and ₹1.5 lakh maximum per financial year. Amounts above ₹1.5 lakh don't earn interest.
- Lock-in: 15 years, extendable in 5-year blocks. Partial withdrawals are allowed only after year 7.
- Rate: set by the government every quarter — currently around 7.1%. You can change it in the calculator if it's revised.
Is PPF right for you?
PPF suits money you genuinely won't need for a long time and want to grow safely and tax-free. If you might need access sooner, an FD or RD is more flexible. Compare all three in our PPF vs FD vs RD guide.
Frequently asked questions
What is PPF?
The Public Provident Fund (PPF) is a government-backed long-term savings scheme with a 15-year lock-in. It offers tax-free interest and a deduction under Section 80C, making it one of the most popular safe investments in India.
What is the current PPF interest rate?
The PPF rate is set by the government every quarter and is currently around 7.1% a year, compounded yearly. You can change the rate in the calculator if it has been revised.
How much can I invest in PPF each year?
You can invest a minimum of ₹500 and a maximum of ₹1.5 lakh per financial year. Contributions above ₹1.5 lakh do not earn interest.
How is PPF interest calculated?
Interest is compounded annually. Each year your contribution is added and interest is applied on the balance. After the term you receive the full maturity amount, tax-free.