What is the maximum amount I can deposit in PPF?

The maximum deposit limit for a Public Provident Fund (PPF) account is ₹1.5 Lakh per financial year. Any amount deposited above this limit will not earn interest and is not eligible for tax deductions.

How is PPF maturity amount calculated?

PPF maturity is calculated by compounding interest annually. However, the interest is calculated monthly on the lowest balance between the 5th and the last day of the month.

Is PPF interest tax-free?

Yes, PPF falls under the EEE (Exempt-Exempt-Exempt) category. The principal investment, the interest earned, and the final maturity amount are all completely tax-free under Section 10(10D) of the Income Tax Act.

Can I extend my PPF account after 15 years?

Yes, after the mandatory 15-year lock-in period, you can extend your PPF account in blocks of 5 years indefinitely, with or without making further contributions.

PPF Calculator India – Public Provident Fund Maturity & Tax Benefits

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PPF Calculator – Public Provident Fund

Calculate maturity corpus and interest for your PPF account.

Monthly Investment (₹) ₹10000

Max ₹12,500/month (Annual limit ₹1.5L)

per month

Maximum monthly limit is ₹12,500

Duration (Years) 15 Years

Lock-in period is 15 years. Extendable by 5 years.

Interest Rate (%) 7.1%

*Current Govt Rate: 7.1% (Resets quarterly)

Tax Benefits (Section 80C)

Investment Deduction (Max): ₹1,50,000

Interest Earned: 100% Tax Free

Maturity Amount: 100% Tax Free

Total Tax Saved (Approx): ₹0

*Assuming 30% tax bracket on investment.

Maturity Amount
₹0

Total Investment

₹0

Total Interest

₹0

Note: PPF offers the EEE status (Exempt-Exempt-Exempt). The entire maturity corpus is tax-free.

Important: The PPF interest rate is reviewed by the Government of India every quarter. This calculator assumes the rate remains constant for the entire tenure.

What is Public Provident Fund (PPF)?

PPF is a long-term savings scheme backed by the Government of India. It is one of the most popular retirement savings options because of its safety and tax efficiency. The scheme has a mandatory lock-in period of 15 years.

For those looking for higher market-linked returns over the long term, you might compare this with our NPS Calculator to see the difference in corpus accumulation.

How is PPF Maturity Calculated?

The calculation of your PPF maturity amount is based on three specific rules set by the government:

Annual Compounding: Although interest is calculated every month, it is credited to your account only once a year on March 31st. This compounding effect significantly boosts your corpus over 15 years.
Monthly Balance Rule: Interest is calculated on the lowest balance in your account between the 5th and the last day of the month.
Timing Matters: To maximize returns, you should deposit your contribution on or before the 5th of the month. If you deposit on the 6th, you lose interest on that amount for the entire month.

Key Features of PPF

Interest Rate: Currently 7.1% per annum (compounded annually).
Tenure: Minimum 15 years. Can be extended in blocks of 5 years indefinitely.
Investment Limits: Minimum ₹500 and Maximum ₹1.5 Lakh per financial year.
Tax Status: EEE (Exempt on Investment, Exempt on Interest, Exempt on Maturity).

Is PPF Better Than Fixed Deposits?

It depends on your financial goal and liquidity needs. PPF is generally superior for long-term wealth creation due to its tax-free status. Bank FDs are fully taxable as per your income slab, which reduces the real rate of return.

However, FDs offer better liquidity (you can withdraw anytime with a penalty), whereas PPF has a strict 15-year lock-in with only partial withdrawals allowed after the 7th year.

PPF vs FD vs Mutual Funds (ELSS)

Parameter	PPF	Bank FD	ELSS Mutual Funds
Returns	7.1% (Fixed)	6-7.5% (Fixed)	12-15% (Market Linked)
Tax on Returns	Tax Free	Taxed as per slab	12.5% on gains > ₹1.25L
Lock-in	15 Years	5 Years (for tax saver)	3 Years
Risk	Nil (Govt Backed)	Low	High

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