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Public Provident Fund calculator

Fifteen years of PPF, year by year

The Public Provident Fund pays a government-set rate, compounded yearly, and the interest and the maturity amount are tax-free. Enter a yearly deposit to see what the account is worth at maturity — and what extending it in five-year blocks adds.

Your numbers

Change anything; the result updates as you type.

Result

PPF sets a floor. What sits above it is a separate decision.

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How PPF interest works

Interest is worked out every month on the lowest balance between the 5th and the last day of the month, and credited once a year, at the end of March. A deposit made by 5 April therefore earns interest for the whole year; this calculator assumes each year’s deposit is made by then.

balance = (balance + deposit) × (1 + rate), each year

What extending it does

The account matures after 15 years and can be extended in blocks of five, with or without fresh deposits. At the defaults, ₹1.5 lakh a year at 7.1% is worth ₹40,68,209 after 15 years. Keep depositing for 25 years and it is ₹1,03,08,015: the last ten years add more than the first fifteen, because by then the interest is being earned on a much larger balance.

The rate is not fixed

The government reviews the PPF rate every quarter. The default here, 7.1%, has been the scheme’s rate for several years; enter the current one, and remember that a projection over 15 years or more assumes it holds.

Assumptions this makes

Questions

Is PPF interest taxable?
No. The interest and the maturity amount are both tax-free, and deposits can also be deducted from taxable income if you file under the old tax regime.
What is the minimum and maximum deposit?
At least ₹500 and at most ₹1,50,000 in a financial year. The calculator's range is set to those limits.
Can I extend a PPF account after 15 years?
Yes, in blocks of five years, with or without fresh deposits. The tenure buttons show the result of continuing the same yearly deposit for 20, 25 or 30 years.
Why does the calculator assume the deposit is made in April?
Because interest is calculated on the lowest balance between the 5th and the end of each month, money deposited by 5 April earns for the whole year. A deposit made later earns less in its first year than shown here.

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