PPF calculator
Public Provident Fund maturity, fully tax-free
Worked example
Using the default values, ppf calculator gives a maturity value of ₹40,68,209.
| Item | Value |
|---|---|
| Yearly deposit | ₹1,50,000 |
| Years | 15 |
| Rate | 7.1% a year, compounded yearly |
| Growth multiple | 1.81× |
| Tax on maturity | None — PPF is exempt at all three stages |
| Effective pre-tax equivalent at 30% slab | 10.1% |
What you need
- Yearly deposit
- Interest rate
- Years
Questions
Is PPF interest taxable?
No. PPF is exempt-exempt-exempt — the deposit qualifies for deduction under the old regime, the interest is tax-free, and so is the maturity amount. At a 30% slab, 7.1% tax-free is equivalent to about 10.1% taxable.
When should I deposit to maximise interest?
Before the 5th of the month, because interest is calculated on the lowest balance between the 5th and month end. Depositing the full year on 1 April earns the most.
Can I withdraw early?
Partial withdrawal is allowed from the seventh year, and a loan against the balance from the third to the sixth. Premature closure is permitted only in limited cases and carries a 1% interest reduction.
Important
The annual ceiling is ₹1.5 lakh across all your PPF accounts combined. Interest is credited on the lowest balance between the 5th and the last day of each month, so depositing before the 5th earns a full month more. The account runs 15 years and can be extended in blocks of five, with or without further deposits. Deposits qualify under 80C in the old regime; interest and maturity are exempt either way.