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PPF Calculator

The Public Provident Fund pays interest on the lowest balance between the 5th and the end of each month, and credits it once a year. This calculator applies that rule rather than compounding your total deposit annually, so the maturity figure is the one your passbook will show.

₹

The scheme allows ₹500 to ₹1,50,000 per financial year in total.

Interest is paid on the lowest balance between the 5th and month end, so this changes the answer.

%

7.1% for July-September 2026. The government revises it every quarter.

15 years is the standard term. Extend in blocks of five.

Maturity value

₹39,44,599

Total interest

₹16,94,599

Total deposited

₹22,50,000

Per financial year

₹1,50,000

Depositing on or before the 5th is worth ₹22,475 more over 15 years than depositing later in the month, on exactly the same money.

Deposits vs interest

Deposited
₹22,50,000 (57%)
Interest
₹16,94,599 (43%)
Year by year
Year by year
YearDepositedInterestBalance
1₹1,50,000₹5,769₹1,55,769
2₹1,50,000₹16,828₹3,22,597
3₹1,50,000₹28,673₹5,01,270
4₹1,50,000₹41,359₹6,92,629
5₹1,50,000₹54,945₹8,97,575
6₹1,50,000₹69,497₹11,17,071
7₹1,50,000₹85,081₹13,52,152
8₹1,50,000₹1,01,772₹16,03,923
9₹1,50,000₹1,19,647₹18,73,571
10₹1,50,000₹1,38,792₹21,62,363
11₹1,50,000₹1,59,297₹24,71,660
12₹1,50,000₹1,81,257₹28,02,916
13₹1,50,000₹2,04,776₹31,57,692
14₹1,50,000₹2,29,965₹35,37,657
15₹1,50,000₹2,56,942₹39,44,599

Maturity value

₹39,44,599

₹16,94,599 interest

What it is:
A calculator for a Public Provident Fund account, a 15-year government-backed savings scheme.
What it calculates:
The maturity value, total interest and total deposited, year by year, applying the scheme's lowest-balance interest rule.

Assumptions

  • The rate is 7.1% per year, the rate in force for July-September 2026. The government revises it every quarter, so a 15-year projection assumes a rate that will change.
  • Deposits are capped at ₹1,50,000 per financial year, the statutory maximum.
  • Interest accrues on the lowest balance between the 5th and the month end, and is credited at year end.
  • Withdrawals, loans against the account and partial withdrawals after year seven are not modelled.

How it works

PPF interest accrues monthly on the lowest balance held between the close of the 5th day of the month and the last day of that month. It is credited to the account at the end of the financial year, not monthly.

That one rule has a consequence most calculators ignore: a deposit that lands on or before the 5th earns interest for that month, and a deposit on the 6th earns nothing for it. Over 15 years of monthly deposits, the timing alone moves the maturity value by a visible amount. Use the deposit-timing switch to see it.

Because interest is credited only at year end, it starts earning interest from the following year. A calculator that compounds your total annual deposit as though it were sitting there from day one will overstate the maturity value.

Deposits are capped at the statutory maximum of ₹1,50,000 per financial year, and the calculator applies that cap rather than letting you project a figure the scheme would not allow.

The standard term is 15 full financial years from the end of the year the account was opened, extendable in blocks of five. Change the period to model an extension.

Formula

Year interest = Σ (lowest balance in month m) x rate / 1200, credited at year end

lowest balance
= the lowest balance between the close of the 5th and the month end
rate
= the annual rate set by the government, revised quarterly
m
= each of the 12 months in the financial year

This is not annual compounding on the deposit. A deposit made in March earns one month of interest for that year, not twelve.

Example calculation

₹12,500 a month for 15 years at 7.1%

Total deposited
₹22,50,000
Interest earned
₹16,94,599
Maturity value, depositing on or before the 5th
₹39,44,599
Maturity value, depositing after the 5th
₹39,22,125
Cost of depositing late
₹22,475
Same ₹1.5 lakh deposited once in April instead
₹40,68,209

Frequently asked questions

What is the current PPF interest rate?
7.1% per year for the July to September 2026 quarter, unchanged from the previous quarter. The Ministry of Finance notifies the rate every quarter, so any projection over 15 years is assuming a number that will move. Run the calculator at a lower rate to see how much that matters.
Why does the deposit date change my maturity value?
Because interest for a month is calculated on the lowest balance between the close of the 5th and the end of that month. Money deposited on the 6th was not in the account at the close of the 5th, so it earns nothing for that month. Do this every month for 15 years and you have given up 15 months of interest on your contributions.
Is a yearly deposit better than monthly?
If you deposit the full ₹1,50,000 on or before 5 April, yes: the whole amount earns interest for all twelve months of that year, while a monthly deposit earns interest on a balance that only reaches the full amount in March. The calculator lets you compare the two directly. Whether you can spare ₹1.5 lakh in April is a separate question.
How much can I deposit in a year?
Between ₹500 and ₹1,50,000 per financial year, in multiples of ₹50, across all PPF accounts you hold. Falling below the ₹500 minimum makes the account dormant until you pay the arrears and a penalty.
When does a PPF account mature?
After 15 complete financial years from the end of the year the account was opened, so an account opened in June 2026 matures on 1 April 2042 rather than in 2041. After that you can withdraw, keep the account without depositing, or extend it in blocks of five years.
Is PPF interest tax-free?
Yes. PPF falls in the exempt-exempt-exempt category: the contribution is deductible under section 80C, the interest is not taxed, and the maturity amount is not taxed. That is why comparing a PPF rate with an FD rate directly understates PPF - the FD return is taxed at your slab and the PPF return is not.

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Further reading

Sources

Reviewed by Pradipta Ray, Editor · Last updated