A PPF Calculator India | EEE Tax Benefits & Maturity
Investment Details FY 2025-26
Max ₹1.5 Lakhs per financial year. Investments up to this limit qualify for Section 80C deduction.
%
Yrs
Current rate: 7.1% p.a. (reviewed quarterly by GoI)
Min 15 years. Extend in blocks of 5 years up to 50.
Total Investment
₹0
Maturity Value
₹0
Total Interest
₹0
100% Tax-Free Returns (EEE Status)
Your investment earns Section 80C deduction, interest is tax-free and the entire maturity amount is tax-free. No other fixed-income instrument in India gives you all three.
Year Opening Deposited Interest Closing
Disclaimer: This PPF calculator India uses the official interest calculation logic and current 7.1% rate. Actual returns may vary if the government revises the rate. This tool is for educational purposes only and does not constitute financial advice. Verify current rules at National Savings Institute.

PPF Calculator India - What Your Money Actually Does Over 15 Years

Most people open a Public Provident Fund (PPF) account for the Section 80C tax break and then forget about it. That's not wrong - the ₹46,800 tax saving at 30% bracket is real money. But the bigger story is the compounding. As India's most trusted government-backed savings scheme, PPF offers 7.1% with full EEE tax exemption - quietly making it one of the most powerful risk-free wealth-building instruments available.

Here's a number that surprises most people: invest ₹1.5 Lakh per year from age 30 to 45 - that's ₹22.5 Lakh invested - and your PPF maturity amount is approximately ₹40.68 Lakh. You've more than doubled your money tax-free, with zero market risk and full government backing. No equity fund guarantees that. PPF doesn't need to beat the Sensex. It just needs to reliably, predictably compound - and it does.

How This PPF Calculator Works

The calculator uses the official PPF interest logic: interest is computed on the lowest balance between the 5th and last day of each month, then credited annually on March 31st. For yearly investments (assumed deposited before April 5th), the full year's deposit earns a full year of interest. For monthly mode, each monthly deposit earns interest from the month of deposit through March.

The April 5th rule - don't miss it. If you deposit ₹1.5 Lakh before April 5th, it earns interest for all 12 months of that financial year. Deposit on April 10th - you've just lost one full month's interest on ₹1.5 Lakh. Over 15 years, that habit costs roughly ₹22,000–₹30,000 in foregone returns. Set a reminder: PPF transfer, April 1–5, every year. Also useful to know: partial withdrawal is allowed from Year 7 onwards (up to 50% of the balance at the end of Year 4 or the preceding year, whichever is lower), and a loan against PPF is available between Year 3 and Year 6 at just 1% interest above the PPF rate.

PPF Calculator India - PPF vs FD vs RD vs ELSS: The Full Picture

PPF's 7.1% doesn't sound impressive next to ELSS's potential 14% or even NPS equity's 12%. But returns alone don't tell the story - tax treatment, risk and liquidity together determine what you actually walk away with. Here's the comparison table every Indian investor needs:

Factor PPF Fixed Deposit Recurring Deposit ELSS Mutual Fund
Returns 7.1% (government-set) 6.5–8.5% (bank-specific) 6–7.5% 10–14% (historical, variable)
Tax on Returns 100% tax-free (EEE) Fully taxable as income Fully taxable as income LTCG 10% above ₹1.25L/yr
Section 80C Yes - up to ₹1.5L 5-yr FD only No Yes - up to ₹1.5L
Effective Post-Tax Return (30% slab) 7.1% (tax-free = full return) ~4.9–5.9% (after 30% tax) ~4.2–5.2% ~10–13% (after LTCG)
Risk Zero - government-backed Low (DICGC cover ₹5L) Low Medium–High (equity market)
Lock-in 15 years (partial from yr 7) 1–10 years (varies) Typically 1–3 years 3 years (shortest 80C lock-in)
Best For Long-term, tax-free, risk-free wealth building Short-term guaranteed returns Disciplined monthly saving Long-term high-growth with some risk tolerance

Notice the effective post-tax return column. A 30% taxpayer earning 7.5% FD interest actually keeps only about 5.25% after tax. PPF's 7.1% is tax-free - making it effectively better than an FD paying up to ~10.1% for the same taxpayer. That's not a small difference. To understand exactly why FDs consistently lose to inflation after tax, read our FD vs Mutual Funds: Inflation and why FDs fail inflation guides. For your real (inflation-adjusted) returns, use our Real Return Calculator alongside the PPF numbers above - or read our nominal vs real return explained guide first.

PPF Calculator India - The April 5th Rule: How Much Are You Leaving Behind?

This is the single most important tactical tip in PPF investing - and most people get it wrong every year. Here's how it works and why it matters more than you think.

The Rule in Plain English

PPF interest is computed on the minimum balance between the 5th and last day of each month. This means: whatever is in your account on the 5th of a month is the balance that earns interest for that month. Anything deposited after the 5th earns zero interest for that month - it starts earning only from the next month.

Deposit Timing Months Earning Interest (Year 1) Impact Over 15 Years Verdict
April 1–5 (Best) 12 months full year Maximum corpus ~₹40.68L Optimal
April 6–30 11 months (April lost) ~₹22,000–30,000 less over 15 yrs Avoid if possible
May 1–5 11 months (no change from Apr 6) Same cost as April after 5th Suboptimal
Monthly SIP by 5th 12 months (per deposit, from month of deposit) ~₹22K less vs April lumpsum over 15 yrs Good if lumpsum not possible
Monthly SIP after 5th Each deposit loses 1 month ~₹45K–₹60K less vs April lumpsum Worst outcome

The bottom line: if you can invest a lumpsum - do it between April 1st and April 5th. If you invest via monthly SIP, set standing instructions to debit before the 5th of each month. If your bank SIP date is the 10th or 15th - change it. That one admin task is worth ₹22,000–₹60,000 added to your PPF maturity amount, tax-free.

PPF Calculator India - What Happens After 15 Years? The Extension Power Table

Here's what almost nobody tells you about PPF: the best years often come after maturity. At 15 years, your corpus is fully matured - but you don't have to withdraw. Extending without any fresh contributions is one of the most underrated moves in Indian personal finance.

Why? Because you've already done the hard part. Your ₹40.68 Lakh corpus is now compounding at 7.1% with zero effort, zero risk and zero tax - on a larger base. The absolute interest earned each year now exceeds what you were contributing annually in the early years.

After 15 Years Starting Corpus Extended +5 Yrs (₹1.5L/yr) Extended +5 Yrs (No Contrib) Extended +10 Yrs (₹1.5L/yr) Extended +10 Yrs (No Contrib) Extended +15 Yrs (No Contrib)
Max Invest ₹1.5L/yr ₹40.68L ₹66.58L ₹57.33L ₹1.03 Cr ₹80.78L ₹1.14 Cr
The no-contribution extension is extraordinary. Just leaving ₹40.68L in PPF for another 10 years - not adding a single rupee - gives you ₹80.78L. You've doubled it again, tax-free, with zero effort. This is why PPF extension without contributions is often recommended to people who no longer need the Section 80C deduction (e.g., post-retirement). Use the Duration slider in the calculator above to see any extension scenario in real time.

You can set the duration slider all the way to 50 years in this PPF calculator India to see the full compounding trajectory - invested vs gains in the chart and a complete year-by-year schedule in the Schedule tab. For a complete retirement picture combining PPF with other instruments, read our retirement planning India guide, then pair this with our NPS Calculator and EPF Calculator to see how your full corpus stacks up across all three.

PPF vs NPS vs ELSS: Which 80C Investment Belongs in Your Portfolio?

PPF, NPS, and ELSS all qualify under Section 80C (old regime) up to ₹1.5 lakh, but they serve completely different purposes. Treating them as interchangeable alternatives misses the point - they are designed to be complementary layers.

FactorPPFNPSELSS
Return typeGovernment-declared, fixed (7.1% Q1 FY27)Market-linked equity + debt mixMarket-linked, equity-heavy
Historical returns7-8% nominal10-13% long-term12-15% long-term
Tax statusEEE (fully exempt)Partial EEE (60% lump sum exempt; annuity taxable)12.5% LTCG on gains above ₹1.25L
Lock-in15 yearsTill age 603 years (shortest)
RiskZero (sovereign guarantee)Low-medium (diversified)High (full equity)
Extra deductionNone beyond 80C+₹50,000 under 80CCD(1B)None beyond 80C
New regime benefitNone80CCD(2) employer contribution onlyNone

The Three-Layer Approach Most Financial Planners Recommend

Layer 1 - PPF (Safety anchor): Max ₹1.5L/year for EEE tax-free compounding. The government-backed floor of your 80C allocation. Non-negotiable for conservative savers and anyone in the 30% slab where the EEE benefit is most powerful.

Layer 2 - NPS (Retirement booster): The additional ₹50,000 deduction under 80CCD(1B) is available only through NPS and only under the old regime. For a 30% slab taxpayer, this alone saves ₹15,600/year in tax at no additional investment beyond the deduction ceiling. Use the NPS corpus and pension projection to see how this extra deduction compounds into retirement.

Layer 3 - ELSS (Growth engine): If your 80C is not fully used by EPF contributions, PPF, and NPS, ELSS fills the remaining space with equity-linked growth. The 3-year lock-in is the shortest among all 80C instruments. Post-lock-in, gains above ₹1.25L/year attract 12.5% LTCG, still lower than most slab rates.

Is PPF Enough for Retirement by Itself?

At 7.1% and ₹1.5L/year for 25 years: approximately ₹1.03 crore corpus. Inflation-adjusted real return at 6% CPI: approximately 1.04%, barely positive. PPF alone is not enough for retirement for most urban Indians, but it is an essential low-risk layer within a diversified retirement plan. Pair it with EPF (mandatory), NPS (optional top-up), and equity SIP for a complete picture. For a deep dive into how NPS, EPF, and PPF compare across returns, tax treatment, lock-in, and withdrawal rules with full worked examples for each life stage, the complete comparison covers every decision point between these three instruments.

PPF Calculator India - FAQs

What is the current PPF interest rate in India?
The current Public Provident Fund interest rate is 7.1% per annum, compounded annually. The Government of India reviews this rate every quarter, though it has remained at 7.1% since April 2020. Don't let the number fool you - at 7.1% with EEE status in this government-backed savings scheme, the effective post-tax yield for a 30% taxpayer is significantly better than a fixed deposit offering up to 10%. Try adjusting the rate in the PPF calculator India above to model different rate scenarios.
How is PPF interest calculated - what is the 5th of month rule?
PPF interest is calculated on the lowest balance in your account between the 5th and the last working day of each month. Practically: if you deposit before the 5th, that deposit earns a full month's interest. If you deposit after the 5th, that deposit earns zero interest that month - it only starts earning from the next month. Interest is credited annually on March 31st. The practical implication: for yearly investors, deposit your full ₹1.5 Lakh between April 1st and April 5th to earn interest for all 12 months of the financial year. For monthly investors, set your SIP date to the 1st or 2nd of each month.
Is PPF completely tax-free - what is EEE status?
Yes - PPF has the coveted EEE (Exempt-Exempt-Exempt) status, which is rare even among government schemes. Here's what it means: (1) Contribution - up to ₹1.5 Lakh per year qualifies for Section 80C deduction, saving you ₹15,600–₹46,800 in tax depending on your slab; (2) Interest earned - the annual interest credited to your account is completely exempt from income tax under Section 10(11) (unlike FD interest, which is taxable in the year it accrues); (3) Maturity withdrawal - the entire maturity amount you receive at closure is tax-free under the same Section 10(11). None of this income needs to be declared. This triple exemption is what makes the Public Provident Fund uniquely powerful for long-term wealth building.
Can I extend my PPF account beyond 15 years?
Yes - after the 15-year lock-in, you can extend your PPF account in blocks of 5 years indefinitely. There are two options: Extension with contributions - you continue depositing up to ₹1.5 Lakh per year and earn Section 80C benefits; Extension without contributions - you make no fresh deposits but your existing corpus continues to earn 7.1% interest tax-free. The second option is particularly powerful if you've moved to a lower tax bracket or if you don't need the 80C deduction any longer. Note: partial withdrawal rules change on extension - during an extension without contributions, you can make one withdrawal per year. Our PPF calculator India supports durations up to 50 years - use the slider to see both scenarios.
Should I invest in PPF monthly or as a yearly lumpsum?
Yearly lumpsum before April 5th wins - always. When you deposit the full ₹1.5 Lakh between April 1–5, your entire amount earns interest for all 12 months of the financial year. Monthly investing earns slightly less because each monthly deposit only earns interest from the month of deposit. The difference over 15 years is approximately ₹22,000–₹30,000 in favour of the April lumpsum - not huge but it's free money you're leaving on the table. If lumpsum isn't possible (cash flow constraints), monthly deposits before the 5th of each month are the next best approach. Just don't invest monthly on the 10th or later - that costs you a full month's interest on every single deposit.