Project your Public Provident Fund balance year by year at the current 7.1% rate.
PPF rules at a glance
- Tenure 15 years, extendable in blocks of 5 years.
- Deposit ₹500 to ₹1.5 lakh per financial year; interest is paid on the lowest balance between the 5th and the end of each month — so deposit before the 5th (ideally in April) to earn on the full amount.
- Interest currently 7.1%, compounded yearly, credited on 31 March.
- EEE: 80C deduction, tax-free interest, tax-free maturity.
- Loans from year 3 and partial withdrawals from year 7.
Example
₹1.5 lakh every April for 15 years at 7.1% → ₹22.5 lakh invested, maturity about ₹40.7 lakh.
Rates change. The default rate is the one announced for the current quarter. You can type a different rate any time — the result updates instantly.
Compare with SSY (8.2%, for a girl child) and bank FDs.
How to use the PPF calculator
- Enter how much you will deposit each year — minimum ₹500, maximum ₹1,50,000 (across all your PPF accounts, including a minor child's).
- Choose whether you deposit once a year or monthly; depositing before the 5th of April (or of each month) earns interest for that month.
- The rate is pre-filled with 7.1%; the tenure is 15 years, extendable in 5-year blocks.
- Read the maturity value and the year-wise table showing deposits, interest and balance.
Step-by-step: ₹1,50,000 a year for 15 years at 7.1%
- Year 1: deposit 1,50,000; interest 1,50,000 × 7.1% = ₹10,650; balance ₹1,60,650.
- Year 2: (1,60,650 + 1,50,000) × 1.071 = ₹3,32,706.
- Year 5 balance: about ₹9,25,700. Year 10: about ₹22,30,100.
- Year 15 maturity: ₹40,68,209 on deposits of ₹22,50,000 — interest of ₹18,18,209, entirely tax-free.
Because PPF is EEE (exempt-exempt-exempt), the 7.1% is equivalent to about 10.1% pre-tax for someone in the 30% bracket — better than most FDs.
Worked examples
| Situation | Working | Answer |
|---|
| ₹50,000 a year | 15 years | ₹13,56,070 (deposit ₹7,50,000) |
| ₹1,00,000 a year | 15 years | ₹27,12,139 (deposit ₹15,00,000) |
| ₹1,50,000 a year, extended to 25 years | 15 + 5 + 5 years with deposits | about ₹1.03 crore |
Tips and common mistakes
- Interest is calculated on the lowest balance between the 5th and the last day of each month — deposit by the 5th.
- Partial withdrawal is allowed from the 7th year (50% of the balance at the end of the 4th preceding year); a loan is available in years 3–6.
- Missing a year costs ₹50 penalty per year plus the ₹500 minimum; the account stays alive.
- After 15 years you can extend without deposits and still earn 7.1% with one withdrawal a year — a good retirement income tool alongside the SCSS.
Sources & last reviewed
Small-savings interest rates notified quarterly by the Ministry of Finance (Department of Economic Affairs); this page uses the rate for the October–December 2026 quarter. Scheme rules follow the Government Savings Promotion Act, 1873 and the 2019 scheme rules. Public Provident Fund Scheme, 2019: 15-year term, ₹500–₹1.5 lakh a year, rate 7.1% for Oct–Dec 2026.
Official sources: India Post – savings schemes · National Savings Institute
Last reviewed: 17 October 2026. Rules and rates change — if you spot something outdated, tell us and we will fix it.
Frequently asked questions
What is the PPF interest rate?
7.1% per year for the October–December 2026 quarter, compounded annually.
How much will ₹1.5 lakh a year in PPF give after 15 years?
About ₹40.7 lakh at 7.1%, on ₹22.5 lakh invested — all tax-free.
Can I invest more than ₹1.5 lakh in PPF?
No. ₹1.5 lakh per financial year is the maximum; deposits above that earn no interest.
Should I deposit monthly or yearly?
A single deposit in early April earns interest for the whole year; monthly deposits before the 5th are the next best.