Public Provident Fund (PPF) Calculator

Calculate your PPF in a click! Know the interest earned in PPF account hassle free.

PPF Calculator

Invested Amount ₹0
Total Interest ₹0
PPF Maturity Amount ₹0

What is the PPF Calculator?

A PPF calculator is an online tool that helps to calculate the value of investment of your Public Provident Fund (PPF) over a certain period. This scheme is backed and powered by the Government to offer better returns on investment than other alternatives such as Fixed Deposits. It is a great way to reduce tax liability on working professionals.

When you make use of the PPF Calculator you simply have to enter the amount and duration for which the PPF investment has to be calculated you will get the value of the investment instantly given a 7.1% interest rate.

This calculator can help you plan your retirement. PPFs have a lock-in period of 15 years which means it is a great way to take the right step towards your retirement. The maximum yearly contribution in PPF is capped at a maximum of ₹1,50,000. This calculator is also known as the PPF return calculator as it helps to calculate the return on the investment.

Formula for PPF Calculation

A PPF Calculator uses the same formula that is used to calculate the future value of the annuity. It means the calculator will calculate the future value of your investment based on the amount invested yearly, prevalent interest rate, and duration of investment.
Following is the formula that the PPF return calculator uses to calculate the value of the investment.

M = P [({(1 + t) ^ n} – 1 ) / i ] x ( 1 + i )

M= value of maturity

P= annual payment

i= Interest rate

t= number of years

Let’s understand how the PPF amount is calculated using a simple example.

Suppose Mr X is making an annual investment of ₹1,20,000 in PPF for 15 years with an annual interest rate of 7.1%.

Let’s calculate the value of investment using the PPF Calculation Formula

M = 1,20,000 [ ( { (1 + 7.1%) ^ 15 } – 1 ) / 7.1% ] x (1 + 0.071)
M = ₹32,54,567

This formula can be used to calculate the maturity amount irrelevant of the interest rate, duration, and annual amount invested.

Advantages of PPF Calculator

Using the PPF Calculator makes the calculation easy. Here are certain advantages of PPF Calculator:

  • If anyone is planning to invest in PPF for retirement they can make use of Zimyo PPF Calculator to know the maturity amount of their investment.
  • It makes the whole calculation easy and fast as one can commit errors and mistakes while calculating the PF amount manually.
  • Using a PPF Calculator could help to save the taxes because once you become aware of the amount you have to invest annually you can plan out your tax deduction accordingly.

PPF Calculation with investment tenure

Investment Tenure Annual Investment(₹) Total Investment(₹) Rate of Interest Value of Maturity(₹)
15 1,20,000 18,00,000 7.1% 32,54,567
20 1,20,000 24,00,000 7.1% 53,26,631
25 1,20,000 30,00,000 7.1% 82,46,412
30 1,20,000 36,00,000 7.1% 1,23,60,728
35 1,20,000 42,00,000 7.1% 1,81,58,286

FAQs (Frequently Asked Questions)

Your money will be compounded at an annual interest of 7.1% with minimum lock in period of 15 years.

The maximum amount an individual can invest in PPF account in a particular financial year is capped at ₹1,50,000.

Over the next 15 years, if you continue to invest ₹5000 annually, your total investment will reach ₹75,000 and your total maturity amount will be ₹1,35,180.

Shift to Modern HRMS, built for Next-gen Workforce