What is the current PPF interest rate?

The government reviews PPF rates quarterly. As of the latest quarter, the PPF rate is approximately 7.1% per annum. Check the Finance Ministry notification for the exact current rate.

Can I withdraw PPF before 15 years?

Partial withdrawal is allowed from the 7th year onwards, up to 50% of the balance at the end of the 4th year or the preceding year, whichever is lower. Full premature closure is allowed after 5 years only for serious illness or higher education.

Is there a minimum and maximum contribution?

Minimum: ₹500 per year (account becomes inactive if not deposited). Maximum: ₹1,50,000 per year. Deposits beyond ₹1.5L will not earn interest.

Can NRIs open a PPF account?

NRIs cannot open new PPF accounts. However, accounts opened before becoming an NRI can continue until maturity (15 years) but cannot be extended.

PPF vs FD: which is better?

PPF offers tax-free returns at ~7.1%, which is effectively higher than most FD post-tax returns. PPF has a longer lock-in (15 years vs 5 years for tax-saver FD), but the EEE benefit makes it superior for long-term savings.

PPF Calculator

Estimate PPF maturity. Max ₹1.5L per year. Current rate ~7.1%. 15-year tenure.

Gratuity PPF EPF / PF EMI SIP FD NPS Income Tax HRA Age GST Percentage BMI

How to use this calculator

1
Enter annual contribution
Enter your yearly PPF deposit between ₹500 and ₹1,50,000. The maximum eligible amount for Section 80C benefit is ₹1.5 lakh.
2
Set rate and tenure
Use the current PPF rate (approximately 7.1%) and choose your investment tenure (15 years minimum, extendable in 5-year blocks).
3
View maturity amount
See total contributions, interest earned, and tax-free maturity value. All three are exempt under the EEE regime.

Annual contribution (₹, max 1.5L)

₹

Years

yrs

Interest rate (p.a.) %

PPF maturity

Total contribution₹ 15,00,000

Interest earned₹ 10,32,343

Maturity amount₹ 25,32,343

PPF has 15-year lock-in. Tax-free returns. Current govt rate ~7.1% (updated periodically).

Quick answer

PPF is a long-lock-in, tax-efficient option: annual disciplined deposits can build a sizable tax-free corpus over 15 years and beyond.

Public Provident Fund (PPF) is a government-backed, long-term savings scheme with a 15-year lock-in. It offers tax-free returns under the EEE (Exempt-Exempt-Exempt) regime. Contributions qualify for 80C deduction, interest is tax-free, and maturity is tax-free.

What is this calculator?

A PPF Calculator estimates the maturity amount of your PPF account. Enter your annual contribution (₹500 to ₹1.5 lakh), tenure, and the prevailing interest rate. The calculator shows total contributions, interest earned, and the maturity value.

Formula

PPF compounds annually. The future value of annual contributions:

FV = P × [((1 + r)^n − 1) / r]

Where P = annual contribution, r = interest rate (decimal), n = number of years.

PPF interest is calculated on the lowest balance between the 5th and the last day of each month, so deposit before the 5th to maximize interest.

Example

Annual contribution: ₹1,50,000 (maximum allowed). Rate: 7.1% p.a. Tenure: 15 years. Total contribution: ₹22,50,000. Interest earned: ₹18,18,209. Maturity amount: ₹40,68,209. After 15 years, you can extend in blocks of 5 years with or without fresh contributions.

Scenario snapshots

₹1.5 lakh yearly discipline

Model max annual contribution for 15 years and extension blocks.

Conservative retirement bucket

Use PPF as debt-style allocation and compare with EPF/NPS risk-return profile.

Decision guide

Choose this when

✓You want tax-efficient long-horizon savings with sovereign-backed safety.
✓You can stay invested through long lock-in and contribute consistently.
✓You are building a conservative bucket alongside market-linked products.

Pick another route when

•You need high liquidity in the next few years.
•You want market-linked upside with equity allocation flexibility.
•You need exact quarterly-rate-linked projections rather than constant-rate planning.

Common mistakes to avoid

!Assuming deposits above ₹1.5 lakh earn additional interest/benefit.
!Ignoring deposit timing before the 5th of month for interest optimization.
!Treating projected maturity as fixed despite quarterly rate resets.

Assumptions and disclaimers

Updated context: FY 2026

•Constant return assumption is used for readability in projections.
•Contribution continues each year without missed deposits.
•Withdrawal/loan behavior is not modeled unless manually compared.

In practice (India)

A common search intent is PPF calculator for 15 years with yearly 1.5 lakh contribution. This page helps you estimate maturity under a constant rate assumption, but real PPF rates are reviewed quarterly. Treat projections as planning ranges, not fixed promises.

If your goal is retirement, compare PPF with EPF and NPS to balance tax treatment, lock-in, and expected growth. For shorter or guaranteed-income goals, cross-check with FD outcomes.

Benefits

✓Completely tax-free: investment, interest, and maturity are all exempt.
✓Government-backed, so zero default risk.
✓Forced saving with 15-year lock-in builds discipline.
✓Partial withdrawals allowed from year 7; loans allowed from year 3 to year 6.

Related calculators and guides

Frequently Asked Questions

What is the current PPF interest rate?: The government reviews PPF rates quarterly. As of the latest quarter, the PPF rate is approximately 7.1% per annum. Check the Finance Ministry notification for the exact current rate.
Can I withdraw PPF before 15 years?: Partial withdrawal is allowed from the 7th year onwards, up to 50% of the balance at the end of the 4th year or the preceding year, whichever is lower. Full premature closure is allowed after 5 years only for serious illness or higher education.
Is there a minimum and maximum contribution?: Minimum: ₹500 per year (account becomes inactive if not deposited). Maximum: ₹1,50,000 per year. Deposits beyond ₹1.5L will not earn interest.
Can NRIs open a PPF account?: NRIs cannot open new PPF accounts. However, accounts opened before becoming an NRI can continue until maturity (15 years) but cannot be extended.
PPF vs FD: which is better?: PPF offers tax-free returns at ~7.1%, which is effectively higher than most FD post-tax returns. PPF has a longer lock-in (15 years vs 5 years for tax-saver FD), but the EEE benefit makes it superior for long-term savings.

Interest rate may change quarterly based on government policy. This calculator assumes a constant rate for the entire tenure.