PPF Calculator

The Public Provident Fund (PPF) is a government-backed savings scheme available through post offices and authorised banks. It has a 15-year lock-in, a sovereign guarantee and tax-free returns, which makes it a common choice for long-term, low-risk savings in India. This calculator estimates your PPF balance at maturity based on a fixed yearly deposit.

How to use this calculator

1. Enter the yearly deposit, between ₹500 and ₹1.5 lakh.
2. The interest rate is set to 7.1%, the rate for October–December 2026. You can change it to test other scenarios.
3. The tenure is 15 years, the standard maturity period.
4. Read the total invested, the total interest and the maturity value.

Formula

The calculator assumes you deposit at the start of each financial year and that interest is compounded once a year:

Balance at end of year k = (Balance at end of year k−1 + D) × (1 + r)

Over 15 years this is equivalent to:

F = D × [((1 + r)^15 − 1) / r] × (1 + r)

• F = maturity value
• D = yearly deposit
• r = annual interest rate ÷ 100 (0.071 at 7.1%)
• 15 = number of yearly deposits

Worked example

You deposit the maximum ₹1.5 lakh at the start of every year for 15 years at 7.1%.

• (1.071)^15 ≈ 2.7980
• [(2.7980 − 1) ÷ 0.071] × 1.071 ≈ 27.121
• F = 1,50,000 × 27.121 ≈ ₹40.68 lakh

The first year's deposit of ₹1.5 lakh grows to ₹1.61 lakh by year-end. By the fifteenth year, interest alone adds roughly ₹2.7 lakh in that single year.

Things to keep in mind

• Rate is reviewed quarterly. The government notifies small savings rates every quarter. PPF has stayed at 7.1% for many consecutive quarters, but the calculator assumes the rate holds for all 15 years, which is not guaranteed.
• How interest really works. Interest is calculated monthly on the lowest balance between the 5th and the end of each month and credited once a year on 31 March. Depositing on or before 5 April matches the start-of-year assumption used here. Deposits made later in the year earn less.
• Deposit limits. The minimum is ₹500 and the maximum is ₹1.5 lakh per financial year across all PPF accounts in your name and those you open for minors. Amounts above the limit earn no interest.
• Tax treatment. PPF interest and maturity proceeds are tax-free. Deposits qualify for a deduction only under the old tax regime, within the overall ₹1.5 lakh limit for specified savings. The Income-tax Act 2025, in force from 1 April 2026, renumbers these provisions but keeps the treatment.
• Liquidity. A loan against the balance is available from the third to the sixth year. Partial withdrawals are allowed from the seventh financial year, subject to limits.
• Extension. After 15 years you can extend the account in blocks of five years, with or without fresh deposits.
• Missed years. If you skip the minimum ₹500 deposit in a year, the account becomes discontinued and must be revived with a small penalty.

This is an educational estimate based on the rate you enter. It is not investment advice.