PPF Calculator

What This Calculator Really Does

The Public Provident Fund is India's long-term savings scheme: a 15-year lock-in, contributions from ₹500 up to ₹1.5 lakh per year, and a rate the government notifies quarterly. This calculator projects the maturity value by compounding each yearly contribution from the year it is made to the end of year 15.

The projection is exact for whatever rate you enter — but the rate itself is not fixed for the whole tenure. It resets quarterly with government notification, so the honest reading is "at today's rate, held constant," which is why the assumptions section matters.

Everything runs locally in your browser: no amounts uploaded, nothing tracked, offline after the first visit.

The Formula, Explained Plainly

FV = A × [((1 + r)ⁿ − 1) ÷ r] × (1 + r)

• A — the annual deposit (₹500 to ₹1,50,000 per financial year).
• r — the annual rate as a decimal (7.1% → 0.071).
• n — the number of years of deposits (up to 15).

This is the same annuity-due structure as a SIP at yearly frequency: each deposit earns from the start of its year — the convention that matches deposits made in the first days of the financial year. Deposits made late in the year earn correspondingly less.

How to Use It — In Order

1. Enter the yearly deposit — up to the ₹1.5 lakh annual ceiling.
2. Enter the current rate — the quarterly-notified figure; the tool holds it constant and says so.
3. Set the tenure — 15 years for the base account; extensions in 5-year blocks change the projection horizon.
4. Read invested vs interest — the maturity split the tool shows.
5. Compare deposit timing — the same annual sum deposited in April earns more than one deposited in March.
6. Model an extension — with or without fresh contributions, the fifth-year block compounds on the full balance.

Worked Example, Verified by Hand

₹1,50,000 every year, 7.1%, 15 years:

1. (1.071)¹⁵ = 2.79776 (compounded year by year: 1.071² = 1.14704, ¹⁴ = 1.73107 × 1.14704 × 1.071).
2. (2.79776 − 1) ÷ 0.071 = 25.3200.
3. × 1.071 = 27.1177 (annuity-due factor).
4. × 1,50,000 = ≈ ₹40,67,655 maturity value.
5. Invested: 1,50,000 × 15 = ₹22,50,000 → interest ≈ ₹18,17,655.

Extending five more years with no new deposits compounds ₹40.68 lakh at 7.1% → about ₹57.3 lakh by year 20 — the extension's entire value is compounding on what exists.

Common Mistakes to Avoid

• Assuming today's rate holds for 15 years — it is notified quarterly; projections are conditional on the rate you enter.
• Missing the deposit-timing effect — April deposits earn a full year's interest; March deposits almost none for that year.
• Exceeding the ₹1.5 lakh annual ceiling — excess deposits earn nothing; split surplus into other instruments.
• Comparing PPF to equity returns on nominal figures — PPF is sovereign-backed and tax-free at maturity; risk classes differ.
• Ignoring partial-withdrawal rules — years 7 to 15 allow limited withdrawals; modeling the full balance to maturity overstates liquidity.

Limitations

• Constant-rate projection — the government resets the rate quarterly; realized maturity varies with the path.
• Annual-frequency model — monthly deposit staggering within the year is approximated, not simulated.
• Not tax advice — the EEE treatment summary is general; confirm current rules with a professional.

Expected Accuracy

The annuity-due compounding is exact at full floating-point precision and matches a hand calculation to the rupee for the same rate and schedule. Rate-path uncertainty is an assumption issue, not arithmetic one.

Privacy — Your Data Never Leaves This Device

Deposit amounts stay in your browser: no account, no upload, no tracking — the tool works offline too.

Related Tools & Guides

Natural next steps from PPF:

• All Regional Calculators
• FD Calculator — the fixed-rate comparison point
• NPS Calculator — the retirement-account alternative
• SIP Calculator — market-linked counterpart
• Income Tax Calculator India — Section 80C context

Sources & Standards

Scheme parameters (tenure, ceiling, quarterly rate notification) follow Government of India small-savings rules.

• India Post — PPF (scheme operator)
• National Savings Institute — scheme administration

Bottom Line

Same annuity-due math as a SIP, at yearly frequency and a notified rate: deposit early in the year, respect the ceiling, and treat the rate as today's snapshot — not a 15-year promise.

Frequently Asked Questions