PPF Calculator
PPF Calculator India 2026
Calculate Public Provident Fund Maturity Value & Tax Benefits Under Section 80C
PPF (Public Provident Fund): PPF (Public Provident Fund) is a long-term savings scheme by the Government of India with a 15-year lock-in period. It offers tax benefits under Section 80C (up to ₹1.5 lakh investment) and tax-free interest (currently 7.1% p.a.). The maturity amount is also tax-free, making it part of the EEE (Exempt-Exempt-Exempt) category.
Source: National Savings Institute, Ministry of Finance
📊 PPF Statistics India 2025-26
PPF Investment Calculator
Use our PPF calculator to estimate your Public Provident Fund maturity amount, total interest earned, and tax savings under Section 80C. PPF offers EEE (Exempt-Exempt-Exempt) tax status with guaranteed returns.
PPF Investment Summary
| Total Investment (15 Years) | ₹0 |
| Total Interest Earned | ₹0 |
| Maturity Value | ₹0 |
| Tax Saved (80C) | ₹0 |
| Effective Return (Post-Tax) | - |
Year-wise Growth
PPF Scheme Features 2026
| Feature | Details |
|---|---|
| Interest Rate | 7.1% p.a. (Compounded annually) |
| Minimum Investment | ₹500 per year |
| Maximum Investment | ₹1,50,000 per year |
| Tenure | 15 years (extendable in 5-year blocks) |
| Tax Status | EEE (Fully Tax-Free) |
| Loan Facility | Available from 3rd to 6th year (up to 25% of balance) |
| Premature Withdrawal | From 7th year (up to 50% of balance at end of 4th year) |
| Where to Open | Post Office, SBI, HDFC, ICICI, Axis, and other banks |
PPF vs Other Tax-Saving Investments
| Feature | PPF | ELSS | Tax-Saving FD | NSC |
|---|---|---|---|---|
| Returns | 7.1% (Current) | 12-15% (Market-linked) | 6.5-7% | 7.7% |
| Risk | Zero (Govt-backed) | Market Risk | Zero | Zero |
| Lock-in | 15 years | 3 years | 5 years | 5 years |
| Tax on Interest | Tax-Free | Tax-Free | Taxable | Taxable |
| Tax on Maturity | Tax-Free | Tax-Free (LTGC) | Principal only | Taxable |
| 80C Deduction | Yes | Yes | Yes | Yes |
PPF Calculator: Your Complete Guide to Public Provident Fund Investment
The Public Provident Fund (PPF) is one of India's most popular long-term investment options, offering a unique combination of guaranteed returns, tax benefits, and complete safety. Our PPF Calculator helps you estimate your maturity amount, total interest earned, and tax savings under Section 80C of the Income Tax Act, 2025. Note that the Section 80C deduction for PPF is only available under the Old Tax Regime.
Why Invest in PPF? Key Benefits Explained
PPF stands out as a preferred investment choice for several compelling reasons:
- EEE Tax Status: PPF enjoys the coveted Exempt-Exempt-Exempt (EEE) status, meaning your investment, interest earned, and maturity amount are all completely tax-free. This triple tax advantage makes PPF one of the most tax-efficient investment options in India.
- Section 80C Tax Deduction: Investments up to ₹1.5 lakh per financial year qualify for tax deduction under Section 80C. For someone in the 30% tax bracket, this translates to immediate tax savings of up to ₹46,800 (including cess) annually.
- Government-Backed Security: PPF is backed by the Government of India, ensuring complete capital protection. Your investment is 100% safe, making it ideal for risk-averse investors and retirement planning.
- Attractive Interest Rate: The current PPF interest rate is 7.1% per annum (Q1 2026), compounded annually. Interest is calculated on the lowest balance between the 5th and last day of each month.
- Long-Term Wealth Creation: With a 15-year tenure and the power of compounding, PPF can help you build substantial wealth. A maximum annual investment of ₹1.5 lakh over 15 years at 7.1% can grow to approximately ₹40.68 lakh.
How PPF Interest is Calculated
Understanding PPF interest calculation helps you maximize returns:
The interest on PPF is calculated monthly on the lowest balance between the 5th and the last day of the month. This means if you deposit money after the 5th of any month, you won't earn interest for that month on that deposit. The best strategy is to invest the maximum amount between April 1-5 of each financial year to earn interest for all 12 months.
For monthly deposits, each deposit should be made before the 5th of that month to earn interest for the entire month. The annual interest rate is reviewed quarterly by the Ministry of Finance based on government securities yields.
PPF Tax Benefits Under Section 80C
PPF is one of the most powerful tax-saving instruments available:
- Investment Deduction: Up to ₹1.5 lakh invested in PPF qualifies for deduction under Section 80C. This reduces your taxable income directly.
- Tax-Free Interest: Unlike fixed deposits where interest is taxable, PPF interest is completely tax-free. You don't need to declare it as income.
- Tax-Free Maturity: The entire maturity amount, including principal and accumulated interest, is received tax-free. No TDS is deducted.
PPF Withdrawal and Loan Rules
While PPF has a 15-year lock-in, partial liquidity is available:
- Premature Withdrawal: From the 7th financial year onwards, you can withdraw up to 50% of the balance at the end of the 4th preceding year or 50% of the immediately preceding year's balance, whichever is lower.
- Loan Facility: You can take a loan against your PPF account from the 3rd to 6th year. The loan amount is limited to 25% of the balance at the end of the second preceding year. Interest rate is 1% above the PPF rate.
- Extension After Maturity: After 15 years, you can extend PPF in blocks of 5 years with or without fresh deposits. During extension, one withdrawal per year is allowed up to 60% of the balance at the start of the extension period.
Who Should Invest in PPF?
PPF is ideal for:
- Salaried individuals looking for tax-efficient retirement planning
- Risk-averse investors seeking guaranteed returns
- Parents planning for their children's education or marriage
- Self-employed professionals seeking safe long-term investment
- Anyone wanting to diversify their portfolio with a debt component
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"PPF is the only investment option that offers guaranteed returns with complete EEE tax status. For taxpayers in the 30% slab, a maxed-out PPF account effectively yields 10%+ pre-tax equivalent returns annually."
Frequently Asked Questions about PPF Calculator
Find answers to common questions about ppf calculator. These FAQs are designed to help you understand key concepts and make informed decisions.
1. Can I open multiple PPF accounts?
No, an individual can have only one PPF account in their name. Having multiple accounts is not allowed. However, you can open a separate PPF account for a minor child where you are the guardian. The combined investment limit is ₹1.5 lakh.
2. What is the current PPF interest rate?
The PPF interest rate for FY 2026-27 is 7.1% per annum, compounded annually. The rate is reviewed quarterly by the government and has remained at 7.1% since Q2 FY 2020-21.
3. When is the best time to invest in PPF?
Invest before 5th of every month to get interest for that month. Best strategy is to invest the full amount between April 1-5 of each financial year. This maximizes interest as your money earns interest for all 12 months.
4. Can I extend my PPF after 15 years?
Yes, after 15 years, you can extend PPF in blocks of 5 years. You can continue with or without fresh deposits. During extension, you can make one withdrawal per year up to 60% of the balance at the start of the extension period.
5. Is PPF better than FD?
PPF offers EEE tax status (tax-free investment, interest, and maturity) under the Income Tax Act, 2025, while FD interest is taxable. For someone in the 30% tax slab under the old regime, PPF's 7.1% is equivalent to FD's ~10% pre-tax. However, FD has no lock-in while PPF has 15-year tenure.
6. Can I take a loan against PPF?
Yes, you can take a loan against PPF from 3rd to 6th year of opening. The loan amount can be up to 25% of the balance at the end of 2nd preceding year. Interest rate is 1% above PPF rate. No loan facility after 6th year.
7. What are the tax benefits of PPF?
Under the Income Tax Act, 2025, PPF offers EEE (Exempt-Exempt-Exempt) tax status. Contributions qualify for deduction under Section 80C (up to ₹1.5 lakh), the annual interest earned is tax-exempt, and the maturity proceeds are completely tax-free.
This PPF Calculator is for informational and educational purposes only. The calculations are based on the current PPF interest rate of 7.1% per annum (as of Q1 2026) and may change as per government notifications. Interest rates are reviewed quarterly by the Ministry of Finance. Tax benefits under Section 80C are subject to the Old Tax Regime; the New Tax Regime does not allow 80C deductions. Always verify the latest rules from the National Savings Institute (nsiindia.gov.in) or your bank. This tool should not be considered as financial advice. Consult a qualified financial advisor for personalized guidance.