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PPF Calculator

The Public Provident Fund (PPF) is India's most popular long-term savings scheme. Calculate how your small yearly contributions grow into a massive, tax-free corpus over 15 years.

PPF Calculator

Public Provident Fund (Tax Free)

₹1,50,000
Min: ₹500Max: ₹1.5L (Sec 80C Limit)
15 Years
Min: 15YMax: 50Y
%

Maturity Amount

₹40,68,209

Total Invested

₹22,50,000

Total Interest

₹18,18,209

EEE Status: PPF enjoys Exempt-Exempt-Exempt tax status. Your investment, the interest earned, and the maturity amount are all 100% tax-free in India.

Everything You Need to Know About PPF

The Public Provident Fund (PPF) is a central government-backed savings scheme introduced in 1968. It is designed to encourage small savings and provide a retirement buffer for people who don't have EPF (like freelancers or business owners).

Why is PPF the "King of Savings"?

PPF follows the EEE (Exempt-Exempt-Exempt) tax model, which is the highest level of tax benefit available in India.

1. Exempt

Investment up to ₹1.5L is deductible under Section 80C.

2. Exempt

Interest earned every year is completely tax-free.

3. Exempt

The final maturity amount is also 100% tax-free.

Key Rules of PPF

  • Lock-in Period: The standard tenure is 15 years. You can extend it in blocks of 5 years indefinitely.
  • Investment Limits: Minimum ₹500 and maximum ₹1,50,000 per financial year.
  • Safety: Since it is backed by the Government of India, the principal and interest are 100% guaranteed.

Pro Tip: The "5th of the Month" Rule

"Interest on PPF is calculated on the minimum balance between the 5th and the last day of every month. To maximize your returns, always deposit your PPF amount before the 5th of the month."

Want to see if PPF is better than Mutual Funds for you? Compare these results with our SIP Calculator to see the power of compounding vs tax benefits!