PPF Calculator
Calculate the maturity amount of your Public Provident Fund (PPF) investment. This calculator provides estimates based on your annual contribution, the assumed annual interest rate, and the investment tenure.
PPF accounts have a minimum tenure of 15 years. Contributions can be made annually (up to ₹1.5 lakhs currently) or in installments. Interest is compounded annually and currently declared quarterly by the government. This tool uses a fixed annual rate for projection.
Enter Your PPF Investment Details
Understanding PPF Calculation
The Public Provident Fund (PPF) is a popular long-term investment option in India offering tax benefits. The calculation for PPF maturity is based on compound interest, applied annually.
While actual PPF interest calculations are complex (based on the lowest balance between the 5th and last day of the month), this calculator uses a simplified annual compounding model. It assumes the annual contribution is added at the beginning of each year, and interest is calculated on the balance at the end of the year.
Simplified Annual Calculation Steps:
- Year 1: Balance = Annual Contribution. Interest = Balance * (Rate / 100). End Balance = Balance + Interest.
- Year 2: Balance = Previous End Balance + Annual Contribution. Interest = Balance * (Rate / 100). End Balance = Balance + Interest.
- ... and so on for the specified tenure.
The final 'End Balance' after the last year is the Maturity Amount.
Total Investment = Annual Contribution × Tenure
Total Interest = Final Maturity Amount - Total Investment
PPF Calculation Examples
Click on an example to see the calculation details:
Example 1: Minimum Investment (15 Years)
Scenario: Investing the minimum annual amount for the standard tenure.
Details: Annual Contribution = ₹500, Tenure = 15 Years, Assumed Rate = 7.1%
Calculation (Simplified Annual Compounding):
- Year 1: Bal = 500. Int = 500 * 7.1% = 35.5. End Bal = 535.5
- Year 2: Bal = 535.5 + 500 = 1035.5. Int = 1035.5 * 7.1% ≈ 73.52. End Bal ≈ 1109.02
- ... continues for 15 years ...
Results: Total Invested = ₹500 * 15 = ₹7,500. Total Interest ≈ ₹4,842.20. Final Maturity Amount ≈ ₹12,342.20
Example 2: Maximum Investment (15 Years)
Scenario: Investing the current maximum annual amount for the standard tenure.
Details: Annual Contribution = ₹1,50,000, Tenure = 15 Years, Assumed Rate = 7.1%
Calculation (Simplified Annual Compounding):
- Year 1: Bal = 150000. Int = 150000 * 7.1% = 10650. End Bal = 160650
- Year 2: Bal = 160650 + 150000 = 310650. Int = 310650 * 7.1% ≈ 22056.15. End Bal ≈ 332706.15
- ... continues for 15 years ...
Results: Total Invested = ₹1,50,000 * 15 = ₹22,50,000. Total Interest ≈ ₹18,18,209.42. Final Maturity Amount ≈ ₹40,68,209.42
Example 3: Extended Tenure (20 Years)
Scenario: Extending the PPF account for an additional block of 5 years after minimum maturity.
Details: Annual Contribution = ₹1,00,000, Tenure = 20 Years, Assumed Rate = 7.1%
Calculation (Simplified Annual Compounding):
- ... calculate for 20 years ...
Results: Total Invested = ₹1,00,000 * 20 = ₹20,00,000. Total Interest ≈ ₹28,26,492.24. Final Maturity Amount ≈ ₹48,26,492.24
Example 4: Lower Contribution, Longer Tenure
Scenario: Investing a modest amount for a long period.
Details: Annual Contribution = ₹10,000, Tenure = 25 Years, Assumed Rate = 7.1%
Results: Total Invested = ₹10,000 * 25 = ₹2,50,000. Total Interest ≈ ₹6,55,453.25. Final Maturity Amount ≈ ₹9,05,453.25
Example 5: Minimum Tenure, Different Rate
Scenario: Calculate maturity for standard tenure with a slightly different assumed rate.
Details: Annual Contribution = ₹50,000, Tenure = 15 Years, Assumed Rate = 7.5%
Results: Total Invested = ₹50,000 * 15 = ₹7,50,000. Total Interest ≈ ₹6,57,063.69. Final Maturity Amount ≈ ₹14,07,063.69
Example 6: Maximum Investment, Extended Tenure (25 Years)
Scenario: Investing the current maximum amount and extending the account twice.
Details: Annual Contribution = ₹1,50,000, Tenure = 25 Years, Assumed Rate = 7.1%
Results: Total Invested = ₹1,50,000 * 25 = ₹37,50,000. Total Interest ≈ ₹98,31,798.72. Final Maturity Amount ≈ ₹1,35,81,798.72
Example 7: Modest Contribution, Minimum Tenure
Scenario: A moderate annual investment for the minimum period.
Details: Annual Contribution = ₹30,000, Tenure = 15 Years, Assumed Rate = 7.1%
Results: Total Invested = ₹30,000 * 15 = ₹4,50,000. Total Interest ≈ ₹3,63,641.88. Final Maturity Amount ≈ ₹8,13,641.88
Example 8: Extended Tenure (30 Years)
Scenario: Investing for a very long term by extending the account multiple times.
Details: Annual Contribution = ₹75,000, Tenure = 30 Years, Assumed Rate = 7.1%
Results: Total Invested = ₹75,000 * 30 = ₹22,50,000. Total Interest ≈ ₹83,53,638.19. Final Maturity Amount ≈ ₹1,06,03,638.19
Example 9: Higher Assumed Rate (Minimum Tenure)
Scenario: What if the interest rate were higher for the standard term?
Details: Annual Contribution = ₹1,00,000, Tenure = 15 Years, Assumed Rate = 8.0%
Results: Total Invested = ₹1,00,000 * 15 = ₹15,00,000. Total Interest ≈ ₹14,76,846.00. Final Maturity Amount ≈ ₹29,76,846.00
Example 10: Zero Contribution (Extended Tenure)
Scenario: Calculating maturity when no fresh contribution is made during an extension block (interest continues on existing balance).
Details: Annual Contribution = ₹0, Tenure = 20 Years, Assumed Rate = 7.1%. (Note: This scenario isn't typical for a calculator focused on *fresh* annual contributions, but demonstrates the math if only interest accrues. A more realistic scenario would involve calculating maturity after 15 years with contributions, and then extending for 5/10 years *without* contributions).
Note: This example calculates the growth if ₹0 is added annually. To see growth on a previous balance without new contributions, you'd typically calculate maturity at year 15 with contributions, then input that as a starting balance for the next block with 0 annual contribution. This calculator simplifies by only handling fixed annual contributions from Year 1.
Results (with ₹0 annual contribution): Total Invested = ₹0 * 20 = ₹0. Total Interest = ₹0. Final Maturity Amount = ₹0.
(As noted above, this calculator model requires a positive annual contribution for meaningful results beyond year 1. To model extension without contribution, calculate maturity at Year 15, then use a compound interest calculator for the lump sum over the extension period).
Frequently Asked Questions about PPF
1. What is PPF?
PPF stands for Public Provident Fund. It is a long-term, tax-advantaged savings scheme in India, backed by the government.
2. What is the minimum and maximum investment per year?
The minimum annual contribution is ₹500. The maximum annual contribution is currently ₹1.5 lakh.
3. What is the tenure of a PPF account?
The initial tenure is 15 years. After 15 years, you can withdraw the full amount or extend the account in blocks of 5 years, with or without making fresh contributions.
4. How is PPF interest calculated?
Interest is declared quarterly by the government and compounded annually. It is calculated on the lowest balance in the account between the 5th and the last day of each month.
5. Is the interest rate fixed?
No, the interest rate is not fixed for the entire tenure. It is reviewed and potentially revised by the government every quarter. This calculator uses a single assumed rate for projection.
6. Are PPF investments tax-exempt?
Yes, PPF follows the EEE (Exempt-Exempt-Exempt) model. Contributions (up to ₹1.5 lakh per year under Section 80C), the interest earned, and the maturity amount are all tax-exempt in India.
7. Can I withdraw money before maturity?
Partial withdrawals are allowed after 6 years from the end of the year of initial subscription, subject to certain limits and conditions. Full withdrawal is only at maturity (after 15 years or extended period).
8. Can I open a PPF account for a minor?
Yes, a parent or legal guardian can open a PPF account on behalf of a minor. The investment limit of ₹1.5 lakh applies combined to the adult's and the minor's account managed by that adult.
9. What happens if I miss an annual contribution?
If you fail to contribute the minimum ₹500 in a financial year, your account becomes inactive. It can be revived by paying a penalty plus the minimum contribution for each year of default.
10. Why is the calculator result slightly different from official figures?
This calculator uses a simplified annual compounding model with a fixed rate. Official calculations use the lowest balance between the 5th and last day of each month and the rate changes quarterly. Therefore, results from this tool are estimates for projection purposes.
