PPF Calculator (Public Provident Fund)
PPF Calculator (Public Provident Fund)
What a Public Provident Fund account could grow to over its 15-year term, year by year — and how much the date you deposit each year matters.
PPF maturity value
$1,50,000 deposited by 5 April every year for 15 years at 7.1%
PPF maturity with yearly deposits
- D
- the deposit each financial year
- r
- the annual rate as a decimal. Interest is r ÷ 12 a month on the month’s lowest balance after the 5th, added once a year, so the balance compounds yearly.
- k
- how much of a year’s interest each year’s deposit earns in its own year: all 12 months if paid by 5 April; on average 6.5 of 12 months if paid monthly; none if paid after 5 March
- N
- the number of yearly deposits
Worked example
$1,50,000 deposited by 5 April every year for 15 years at 7.1%
1.07115 = 2.7980
M = 1,50,000 × 1.071 × (2.7980 − 1) ÷ 0.071 = $40,68,209
Deposited $22,50,000; interest $18,18,209
Deposited after 5 March each year instead: $37,98,515, $2,69,695 less
In today's money at 4% inflation: $22,58,932
1,50,000 a year for 15 years at 7.1%, by deposit timing
| When you deposit | Maturity value | Interest |
|---|---|---|
| By 5 April | $40,68,209 | $18,18,209 |
| Monthly, by the 5th | $39,44,599 | $16,94,599 |
| After 5 March | $37,98,515 | $15,48,515 |
Maturity value at 7.1% for other yearly deposits (by 5 April, 15 years)
| Yearly deposit | Maturity value | Interest |
|---|---|---|
| $12,000 | $3,25,457 | $1,45,457 |
| $50,000 | $13,56,070 | $6,06,070 |
| $1,00,000 | $27,12,139 | $12,12,139 |
| $1,50,000 | $40,68,209 | $18,18,209 |
How PPF interest is really worked out
The Public Provident Fund Scheme, 2019 pays interest for each calendar month on the lowest balance in the account between the close of the fifth day and the end of the month, and credits it once, at the end of the financial year. Two things follow. The balance compounds yearly, not monthly. And the date you deposit decides how many months a deposit earns in its first year: money in by 5 April earns all twelve, while money that arrives after 5 March earns nothing until the next year. Over fifteen years at 7.1%, depositing $1,50,000 by 5 April each year rather than at the end of the year is worth $2,69,695. Monthly instalments by the 5th fall in between.
The rate is set by the government each quarter for all small savings schemes. It is 7.1% a year for July to September 2026, unchanged from the previous quarter, under the Ministry of Finance’s office memorandum of 30 June 2026. The next rate is due at the end of September. This projection holds the rate you enter for every year, which will not happen, so treat the result as an estimate.
The rules: at least ₹500 and at most ₹1,50,000 in a financial year, in multiples of ₹50, in one go or in instalments. The limit covers your own account and any you hold for a minor. Miss the minimum and the account is treated as discontinued until revived with a fee and the arrears. The account matures after fifteen full financial years counted from the end of the year you opened it, so it can take sixteen yearly deposits. Opened by 5 April, $1,50,000 a year for sixteen years matures at about $45,17,702. At maturity you can extend in blocks of five years.
Tax: PPF is usually described as EEE — exempt, exempt, exempt. Interest and withdrawals have been tax-free under the Income-tax Act, and deposits have qualified for a deduction, but only for people using the old tax regime; the new regime does not allow it. The Income-tax Act, 2025 replaced the 1961 Act from 1 April 2026 with new section numbers, so check the current position before relying on the deduction. Because the interest is not taxed, this page has no tax input.
A tax-free return still has to beat inflation. At 7.1% and 4% inflation the real return is about 2.98% a year, and the maturity value in the example is worth $22,58,932 in today’s money. For a bank deposit use the FD calculator or the RD calculator; for a market-linked alternative, the SIP calculator. This is arithmetic on the figures you enter, not financial advice.
Frequently asked questions
What is the current PPF interest rate?
7.1% a year, compounded annually, for 1 July to 30 September 2026 (Ministry of Finance office memorandum of 30 June 2026). The government reviews it every quarter.
How is PPF interest calculated?
Monthly, on the lowest balance between the close of the 5th and the end of the month, and credited at the end of the financial year. That is why a deposit made by the 5th counts for that month.
What will 1.5 lakh a year in PPF become after 15 years?
About $40,68,209 at 7.1% if deposited by 5 April each year: $22,50,000 deposited and $18,18,209 interest. Deposited at the end of each year, about $37,98,515.
Is PPF tax-free?
Interest and the maturity amount are tax-free, and deposits have qualified for a deduction under the old tax regime only. The Income-tax Act, 2025 took effect on 1 April 2026, so check the current rules.
What are the minimum and maximum PPF deposits?
₹500 and ₹1,50,000 in a financial year, in multiples of ₹50, as a lump sum or in instalments.
Related calculators
References
- Ministry of Finance (Department of Economic Affairs). Public Provident Fund Scheme, 2019. G.S.R. 915(E), Gazette of India, 12 December 2019: para 2 (“year” means the financial year); para 4 (₹500 to ₹1,50,000 a year, in multiples of ₹50); para 5 (lump sum or instalments); para 6 (discontinued accounts); para 7 (interest for a calendar month on the lowest balance between the close of the fifth day and the end of the month, credited at the end of each year); para 11 (maturity after fifteen years from the end of the year of opening); para 12 (extension in blocks of five years).
- Government of India, Ministry of Finance (Department of Economic Affairs). Office Memorandum F.No.1/4/2019-NS dated 30 June 2026: rates on small savings schemes for 1 July – 30 September 2026 unchanged from the first quarter; Public Provident Fund 7.1% a year, compounded annually. As listed by Indian Bank, “Interest rates for Small Savings Schemes” (accessed 21 September 2026).
- Income-tax Act, 1961: section 10(11) (PPF interest and withdrawals exempt), section 80C (deduction for deposits) and section 115BAC (the new regime, which does not allow the section 80C deduction). The Income-tax Act, 2025 replaced the 1961 Act from 1 April 2026 and renumbers these provisions.
- Central-bank inflation targets used as default inflation by currency: Reserve Bank of India (4% CPI, flexible inflation targeting framework); U.S. Federal Reserve (2% PCE); European Central Bank (2%); Bank of England (2% CPI); Bank of Canada (2%); Reserve Bank of Australia (2–3%); Bangko Sentral ng Pilipinas (3% ± 1). Actual inflation often runs above target.