PPF Calculator
PPF Calculator
🔹 What is a PPF Calculator?
A Public Provident Fund (PPF) Calculator helps you estimate the total maturity amount and interest earned from your PPF investment.
The PPF scheme, backed by the Government of India, offers secure and tax-free returns under Section 80C of the Income Tax Act.
By entering your annual deposit, tenure, and the current interest rate, you can easily know how much wealth you will accumulate at the end of 15 years.
🔹 How Does the PPF Calculator Work?
The PPF interest is compounded annually and credited at the end of each financial year.
The formula used is:
A = P × (1 + r/n)^(n×t)
Where:
- A = Maturity Amount
- P = Annual Investment Amount
- r = Interest Rate (currently around 7.1% p.a.)
- n = Compounding frequency (once a year)
- t = Time period in years (minimum 15 years)
The PPF calculator uses this formula to instantly show your total investment, interest earned, and final maturity value.
🔹 Key Features of the PPF Scheme
✅ Government-backed, safe investment
✅ 15-year lock-in period (extendable in 5-year blocks)
✅ Minimum deposit: ₹500 per year
✅ Maximum deposit: ₹1.5 lakh per year
✅ Tax-free interest and maturity amount
✅ Eligible for deduction under Section 80C
🔹 Example of PPF Returns
| Annual Deposit (₹) | Tenure (Years) | Interest Rate (7.1%) | Total Investment (₹) | Maturity Amount (₹) |
|---|---|---|---|---|
| 12,000 (₹1,000/month) | 15 | 7.1% | 1,80,000 | 3,09,571 |
| 60,000 (₹5,000/month) | 15 | 7.1% | 9,00,000 | 15,47,854 |
| 1,20,000 (₹10,000/month) | 15 | 7.1% | 18,00,000 | 30,95,709 |
| 1,50,000 (Max limit) | 15 | 7.1% | 22,50,000 | 38,69,637 |
(These are approximate calculations and may vary based on actual deposit dates and interest rates.)
🔹 Benefits of Using a PPF Calculator
✅ Quick and accurate maturity value calculation
✅ Helps plan long-term savings for retirement or education
✅ Adjust investment amount to match your goal
✅ No manual math or compounding errors
✅ Works for all banks and post office PPF accounts
🔹 Where Can You Open a PPF Account?
You can open a PPF account in:
🏦 Banks: SBI, HDFC Bank, ICICI Bank, Axis Bank, PNB, Bank of Baroda, etc.
🏤 Post Offices: All India Post Office branches offer PPF facility.
Deposits can be made online or offline through cash, cheque, or fund transfer.
🔹 PPF Calculator Helps You Plan Better
- Set financial goals like retirement, child’s education, or home purchase
- Adjust annual deposit to reach your desired maturity amount
- Compare PPF returns with other safe investments like FD or NSC