PPF Calculator 2026 — Public Provident Fund Maturity Calculator

What is PPF (Public Provident Fund)?

The Public Provident Fund is a long-term savings scheme launched by the Government of India in 1968 under the PPF Act, 1968 (now governed by the Public Provident Fund Scheme, 2019). It is one of the most trusted savings instruments in India because it carries a sovereign guarantee — both the principal and interest are backed by the Government of India.

PPF was originally designed to mobilise small savings from the unorganised sector and provide retirement security to non-salaried Indians who do not have access to EPF. Today, it remains the most popular tax-saving debt investment in India, with over 30 crore active accounts across post offices and authorised banks.

The scheme is administered by the National Savings Institute, which operates under the Department of Economic Affairs, Ministry of Finance. The interest rate is reviewed every quarter and notified through official gazette.

• Public Provident Fund Scheme, 2019 (Ministry of Finance)
• National Savings Institute

Current PPF Interest Rate (April–June 2026)

The PPF interest rate for the April–June 2026 quarter is 7.1% per annum, unchanged from the previous quarter. The rate has been maintained at 7.1% since the Q1 2020 reduction from 7.9%.

PPF rates are reviewed every quarter by the Ministry of Finance based on the Shyamala Gopinath Committee formula, which links small savings rates to comparable government securities (G-Sec) yields. However, the government retains discretion over actual rates notified.

Source: National Savings Institute, Ministry of Finance. Rates set quarterly through official gazette notification.

PPF Calculation Formula Explained

The PPF maturity formula uses standard yearly compounding with deposits made at the start of each financial year. The mathematical formula is:

Where F is the maturity value, P is the yearly deposit, i is the rate as a decimal (0.071 for 7.1%), and n is the number of years.

Example: If you deposit ₹1,50,000 every year for 15 years at 7.1%, your calculation is:

• F = 1,50,000 × [((1.071)^15 - 1) / 0.071] × 1.071
• F = 1,50,000 × [(2.8197 - 1) / 0.071] × 1.071
• F = 1,50,000 × 25.628 × 1.071
• F ≈ ₹40,68,209

Of this, ₹22,50,000 is your invested principal and ₹18,18,209 is the interest earned tax-free.

PPF Investment Limits and Rules (2026 Update)

Source: Public Provident Fund Scheme, 2019, Department of Economic Affairs, Ministry of Finance, Government of India.

PPF Tax Benefits Under EEE Status

PPF is one of only a handful of Indian investments that enjoys EEE — Exempt-Exempt-Exempt — tax status. This is the gold standard of tax efficiency:

Reference: Income Tax Act, 1961, Section 10(11) and Section 80C. Verified via the Income Tax Department, Government of India.

Tax Savings Comparison: PPF vs FD vs ELSS (₹1.5L Yearly for 15 Years)

*FD and NSC values assume reinvestment after each tenure at then-prevailing rates and 30% tax slab. ELSS returns are not guaranteed and subject to market risk. PPF is the only instrument here with zero tax on interest or maturity.

How to Open a PPF Account in India

You can open a PPF account through three official channels:

1. India Post Office (any branch): Visit your nearest post office with PAN, Aadhaar, address proof, and a passport-size photograph. The minimum opening deposit is ₹500. Find your nearest branch at indiapost.gov.in.
2. Authorised Banks (offline): SBI, HDFC, ICICI, Axis, PNB, Canara, Union, BoB, BoI, IDBI, Indian Bank, Central Bank of India, and Kotak Mahindra Bank are authorised to open PPF accounts. Walk in with the same documents.
3. Online (net banking): SBI YONO, HDFC NetBanking, ICICI iMobile, Axis Mobile, and most other authorised banks now allow PPF account opening online via existing net banking. You'll need a savings account with the same bank linked to your Aadhaar and PAN.

Some smaller cooperative banks and rural banks are NOT authorised to handle PPF accounts. Always verify with the official bank list at NSI before depositing.

Monu's Take — Why I Don't Have a PPF Yet (And Why You Probably Should)

Honest disclosure: I don't have a PPF account as of April 2026. I'm 22, my full-time take-home is ₹35,000/month, and my priority right now is building emergency fund + equity SIPs. Locking ₹500-1,500/month into a 15-year instrument doesn't fit my current life stage.

But that doesn't mean PPF is wrong for you. PPF is one of the smartest debt allocations for any Indian who:

• Pays income tax in the 20%+ slab
• Wants a guaranteed retirement corpus separate from EPF
• Has already maxed out emergency funds and equity SIPs
• Wants to allocate the 'safe' portion of their portfolio outside FDs (which are tax-inefficient)

For my senior colleagues at the agency — who are in the 30% slab and don't trust mutual funds — PPF is a clear winner over FD. ₹1.5L per year × 15 years = ₹22.5L invested, ₹40.68L at maturity, zero tax. The same in an FD at 6.8% would yield ₹37L pre-tax but only ₹26L post-tax in a 30% slab. PPF wins by ₹14 lakh.

I'll open a PPF when I cross the 20% slab threshold — probably 2027-28 once my side income stabilises. Use the calculator above to model your own scenario.

Read about my full portfolio allocation in Best Mutual Funds 2026 for Beginners.

5 Common Mistakes Indians Make With PPF

1. Depositing more than ₹1,50,000: Anything above this gets no interest and no tax benefit. Worse, banks may simply reject the deposit. Track your annual contribution carefully.
2. Forgetting to deposit ₹500 minimum: If you skip a financial year, your account becomes 'discontinued'. You can revive it by paying ₹500 + a ₹50 penalty per missed year, but it's avoidable hassle.
3. Not extending after 15 years: If you don't submit Form H within one year of maturity, your account auto-extends without contribution privilege. You can still earn interest but cannot deposit new money.
4. Treating PPF as your only retirement plan: PPF gives 7.1%. Inflation in India averages 6%. Real return is 1.1%. Use PPF for the safe portion only — pair it with equity SIPs for actual wealth building.
5. Opening in a child's name as a tax dodge: A guardian PPF account on behalf of a minor child has the SAME ₹1.5L combined limit with the parent — not a separate ₹1.5L. Reading the rules saves embarrassment.

Frequently Asked Questions