PPF Calculator

PPF (Public Provident Fund) is a long-term investment option backed by the Government of India. It offers tax benefits under Section 80C of the Income Tax Act and provides guaranteed returns. The current interest rate is 7.1% per annum, compounded annually.

The lock-in period for PPF is 15 years. After 15 years, you can either withdraw the entire amount or extend the account in blocks of 5 years. During the lock-in period, partial withdrawals are allowed after completing 5 years.

The maximum investment limit in PPF is ₹1.5 lakh per financial year. You can invest in a lump sum or in installments, but the total investment in a year cannot exceed ₹1.5 lakh.

PPF interest is compounded annually. The interest is calculated on the lowest balance between the 5th and the last day of each month. The current interest rate is 7.1% per annum, subject to change by the government quarterly.

PPF offers EEE (Exempt-Exempt-Exempt) tax benefits. The investment amount is eligible for tax deduction under Section 80C, the interest earned is tax-free, and the maturity amount is also tax-free. This makes PPF one of the most tax-efficient investment options.

Yes, you can take a loan against your PPF account between the 3rd and 6th financial year. The loan amount is limited to 25% of the balance at the end of the 2nd immediately preceding year. The interest rate on PPF loans is 1% above the prevailing PPF interest rate.