PPF Calculator: Public Provident Fund Maturity & Returns

What Is PPF?

Public Provident Fund (PPF) is a long-term savings scheme run by the Government of India under the PPF Act. It pays a sovereign-guaranteed interest rate and gives full tax exemption on the deposit, the interest, and the maturity amount.

The account carries a 15-year lock-in from the date it is opened, during which the balance compounds once a year. After maturity, it can be extended indefinitely in 5-year blocks.

Any resident Indian can open a PPF account at a post office or most nationalised and private banks, with no employer involvement required, unlike EPF.

PPF Maturity Formula

PPF interest is compounded annually on a balance that includes each year's fresh deposit:

Closing balance = (Opening balance + Deposit) × (1 + r)

Here r is the PPF interest rate as a decimal. Running this step for every year of the tenure, starting from any existing balance, produces the maturity amount.

Worked example

Depositing Rs 1.5 lakh a year for 15 years at 7.1%, with no opening balance, matures to approximately ₹40,68,209. Total deposits are Rs 22.5 lakh, so interest earned is close to ₹18,18,209, all of it tax-free. Enter these numbers above, or use the presets, to verify.

Current PPF Interest Rate

The PPF rate is 7.1% per annum, compounded annually, and has held there since April 2020. The Ministry of Finance reviews small savings scheme rates every quarter and can revise this figure, so confirm the current rate before relying on the calculator's output for a real decision.

The rate is set centrally and applies identically at every post office and every bank offering PPF; no institution can offer a higher or lower rate on its own.

PPF Contribution Rules

The minimum deposit is Rs 500 and the maximum is Rs 1.5 lakh per financial year, in a lump sum or up to 12 instalments. Amounts above Rs 1.5 lakh earn no interest and get no Section 80C benefit on the excess.

An individual can hold only one PPF account. A parent or guardian can separately open one for a minor child, but the combined deposit across both accounts still cannot cross Rs 1.5 lakh a year.

PPF Tax Benefits

PPF follows the EEE, Exempt-Exempt-Exempt, structure. The deposit up to Rs 1.5 lakh is deductible under Section 80C, the interest credited each year is tax-free, and the maturity amount is tax-free too.

Compare the 80C benefit against your other deductions on the Section 80C Calculator before deciding how much of the Rs 1.5 lakh limit to route into PPF.

PPF Withdrawal Rules

Full withdrawal is only available at the 15-year maturity. Partial withdrawal opens up from the 7th financial year, capped at the lower of two limits tied to your balance in earlier years.

Partial withdrawal limit by year, once eligible from year 7 onward.
Withdrawal allowed from	Maximum amount
7th financial year onward	Lower of 50% of balance at end of 4th preceding year, or 50% of balance at end of immediately preceding year
One withdrawal per financial year	No cap on frequency beyond one withdrawal; amount capped as above
At 15-year maturity	Full balance, tax-free

Loan Against PPF

A loan against PPF is available between the 3rd and 6th financial year from account opening, capped at 25% of the balance at the end of the 2nd preceding year.

The loan carries an interest rate 1% above the prevailing PPF rate, and a fresh loan cannot be taken while an earlier one is outstanding.

Extending PPF After Maturity

After 15 years, the account can be extended in blocks of 5 years, with or without further deposits. Extending with deposits requires filing Form H within a year of maturity, and continues to qualify for Section 80C.

Extending without deposits lets the balance keep compounding at the prevailing rate while allowing one withdrawal a year. Set the tenure above to 20, 25, or 30 years to see either extension modelled.

Where to Open a PPF Account

PPF is available at any post office and most nationalised and private banks. The rate, deposit limits, and withdrawal rules are identical everywhere since PPF is a central government scheme, not a bank-specific product.

Common places to open a PPF account. All carry the same government-set rate.
Provider	Type
India Post Office	Government postal network
State Bank of India (SBI)	Public sector bank
HDFC Bank	Private bank
ICICI Bank	Private bank
Punjab National Bank (PNB)	Public sector bank
Bank of Baroda	Public sector bank
Union Bank of India	Public sector bank
Bank of India	Public sector bank
Canara Bank	Public sector bank
Indian Bank	Public sector bank

PPF vs EPF vs VPF

These three are often confused because all three are government-linked, tax-advantaged savings instruments, but they serve different people.

EPF is mandatory for salaried employees, with both employee and employer contributing, currently earning 8.25%. VPF is a voluntary top-up on top of the mandatory EPF contribution, earning the same rate. PPF is entirely separate and voluntary, open to anyone including the self-employed, at its own 7.1% rate.

For an EPF balance projection, use the EPF Calculator. To model topping up your EPF with a voluntary contribution, use the VPF Calculator.

NPS Calculator

See the market-linked side of retirement planning alongside PPF's fixed, guaranteed return.

Open calculator

PPF vs NPS for Retirement

PPF gives a fixed, government-guaranteed return with no restriction on how the maturity amount is used. NPS invests in market-linked equity and debt with historically higher long-term growth potential, but at maturity, 40% of the corpus must go into an annuity, and that annuity income is taxable.

PPF and NPS compared on the factors that matter most for retirement planning.
Factor	PPF	NPS
Returns	Fixed, government-set (7.1%)	Market-linked, not guaranteed
Lock-in	15 years, extendable	Until age 60, with limited exit options
Maturity access	Full amount, tax-free	60% lump sum, 40% mandatory annuity
Extra tax deduction	Within Section 80C limit	Additional Rs 50,000 under 80CCD(1B)

Many investors use both: PPF as the safe, tax-free core of a retirement portfolio, and NPS for equity exposure plus the extra 80CCD(1B) deduction. Compare a full projection on the NPS Calculator.

Modelling a One-Time PPF Investment

A pure one-time investment, deposit once and let it compound with no further contributions, is modelled by setting Investment to zero and entering your deposit under Existing PPF Balance instead.

The calculator then compounds that single amount for the full tenure, matching how a real PPF account behaves if you stop making fresh deposits after the first year.

How to Use This PPF Calculator

The calculator takes four inputs:

Existing PPF Balance: enter your current balance if you already have an account, or leave it at zero for a fresh account.
Investment: enter your deposit, toggling between yearly and monthly, up to the Rs 1.5 lakh annual limit.
PPF Interest Rate: the current 7.1% rate is pre-filled; adjust it only to model a different rate scenario.
Investment Period: set the tenure in years, minimum 15, or pick a preset to model an extension.

Limitations of This PPF Calculator

Assumes deposits are made at the start of each year.

A real PPF account earns interest on the minimum monthly balance, so depositing after the 5th of a month delays that month's interest. Deposit before the 5th of April each year to match this calculator most closely.

Assumes a constant rate for the full tenure.

The government can revise the PPF rate every quarter. This calculator holds the rate you enter fixed for the whole period, so treat long tenures as an estimate, not a guarantee.

Does not model partial withdrawals.

Any withdrawal taken during the tenure reduces the compounding base going forward. This tool shows uninterrupted growth only.

Frequently Asked Questions

How is PPF maturity amount calculated?

PPF uses annual compounding on a balance that grows with each year's deposit: closing balance = (opening balance + that year's deposit) x (1 + rate). Repeating this for every year of the tenure gives the maturity amount. The calculator above runs this exact year-by-year loop, so the figure it shows matches the expandable growth table below it.

What is the current PPF interest rate?

The PPF interest rate is 7.1% per annum, compounded annually. The Ministry of Finance reviews and announces small savings scheme rates every quarter, and PPF has held at 7.1% since April 2020. The rate is identical across every bank and post office since it is set by the central government, not by individual institutions.

What is the minimum and maximum PPF contribution per year?

The minimum annual PPF deposit is Rs 500 per financial year, and the maximum is Rs 1.5 lakh under Section 80C. Any amount deposited above Rs 1.5 lakh in a financial year earns no interest and gets no tax deduction on the excess. You can deposit in one lump sum or spread it across up to 12 instalments a year.

Can I open more than one PPF account, or a PPF account for my child?

No, an individual can hold only one PPF account in their own name; a second account is treated as irregular and earns no interest. A parent or legal guardian can separately open a PPF account for a minor child, but the combined deposit across the guardian's own account and the minor's account cannot exceed Rs 1.5 lakh in a financial year.

What is the PPF lock-in period, and when can I withdraw?

PPF has a mandatory 15-year lock-in from the date the account is opened, not from the date of the first deposit. Partial withdrawal is allowed from the 7th financial year onward, capped at the lower of 50% of the balance at the end of the 4th preceding year or 50% of the balance at the end of the immediately preceding year. Full withdrawal is only possible at maturity.

Is PPF interest and maturity amount tax-free?

Yes. PPF follows the EEE (Exempt-Exempt-Exempt) structure: your annual deposit up to Rs 1.5 lakh is deductible under Section 80C, the interest credited each year is tax-free, and the full maturity amount you receive after 15 years is also tax-free. No other 80C instrument offers this three-way exemption with a sovereign guarantee.

Can I extend my PPF account after 15 years?

Yes, in blocks of 5 years, with two options. Extension with contribution lets you keep depositing and claiming Section 80C benefit; you must file Form H within one year of maturity to choose this. Extension without contribution lets the existing balance keep earning interest while you withdraw up to once a year, with no fresh deposits.

How is PPF interest calculated on a monthly basis?

PPF interest is computed on the lowest balance in the account between the 5th and the last day of each calendar month, but it is credited to the account only once, at the end of the financial year (31 March). A deposit made on or before the 5th of a month earns interest from that month; a deposit made after the 5th only starts earning from the following month.

Where can I open a PPF account?

PPF accounts are available at any post office and most nationalised and private banks, including SBI, HDFC Bank, ICICI Bank, Axis Bank, PNB, Canara Bank, Bank of Baroda, Union Bank of India, Bank of India, and Indian Bank. The interest rate, deposit limits, and rules are identical everywhere since PPF is a central government scheme, not a bank product.

Can I take a loan against my PPF account?

Yes, between the 3rd and 6th financial year from account opening. The loan is capped at 25% of the balance at the end of the 2nd year preceding the year you apply, and carries an interest rate of 1% per annum above the prevailing PPF rate. You cannot apply for a fresh loan while an earlier one is outstanding.

What is the difference between PPF and EPF?

EPF is a mandatory retirement scheme for salaried employees, funded by both employee and employer contributions and managed through the EPFO. PPF is entirely voluntary and open to any resident individual, including the self-employed, with no employer component. For a maturity estimate on employer-linked EPF balances, use the EPF Calculator.

What is the difference between PPF and VPF?

VPF (Voluntary Provident Fund) is an optional top-up on top of the mandatory 12% EPF contribution already deducted from a salaried employee's basic pay, and it earns the EPF rate, currently 8.25%. PPF is a separate, standalone government scheme open to anyone, salaried or not, at its own 7.1% rate. The two are not interchangeable; check contribution options on the VPF Calculator.

Is PPF or NPS better for retirement?

PPF gives a fixed, sovereign-guaranteed return with fully tax-free maturity and no restriction on how you use the corpus. NPS invests in market-linked equity and debt, historically offering higher long-term growth potential, but 40% of the NPS corpus must go into an annuity at retirement, and that annuity income is taxable. Many investors hold both: PPF for a guaranteed, liquid-at-maturity core, NPS for market exposure and the extra Rs 50,000 deduction under Section 80CCD(1B).

How much will Rs 5,000 a month in PPF grow to in 15 years?

Rs 5,000 a month works out to Rs 60,000 a year. At the current 7.1% rate over 15 years, that builds to a maturity amount of roughly Rs 16.3 lakh, against a total deposit of Rs 9 lakh, so interest earned is close to Rs 7.3 lakh, all of it tax-free. Enter Rs 60,000 as the annual investment above, or switch the toggle to monthly, to see the exact figure and year-by-year table.

Can I use this calculator for a one-time PPF investment?

Yes. Set the annual investment to zero and enter your one-time deposit in the Existing PPF Balance field. The calculator then compounds that single amount for the full tenure with no further deposits, which is how a genuine one-time investment behaves inside a real PPF account.

Can NRIs open or continue a PPF account?

NRIs cannot open a new PPF account. A resident Indian who later becomes an NRI can continue an existing PPF account until its original 15-year maturity at the same terms as a resident account, but cannot extend it further as an NRI once that maturity date is reached.

What happens if I miss a PPF contribution in a year?

The account becomes inactive if the minimum Rs 500 deposit is not made in a financial year. To reactivate it, you pay a penalty of Rs 50 for each year of default, along with the minimum Rs 500 deposit due for every missed year. The account remains open and continues earning interest; only new deposits are blocked until it is reactivated.

Disclaimer: All calculations on this page are indicative only, based on the existing balance, contribution, rate, and tenure you enter. Actual PPF returns depend on the government-notified rate for each quarter and the exact timing of your deposits. This tool is for educational and planning purposes only and does not constitute financial advice. Consult a SEBI-registered investment adviser or a chartered accountant before making investment decisions.