Public Provident Fund (PPF) remains one of India most popular long-term savings instruments — and for good reason. It offers guaranteed returns, complete tax exemption on contribution, interest, and maturity (EEE status), and sovereign backing from the Government of India. Our free PPF Calculator shows your exact maturity amount and year-by-year balance with the current 7.1% annual interest rate.
Current PPF Interest Rate 2025-26
The PPF interest rate for Q1 FY 2025-26 (April to June 2025) is 7.1% per annum, compounded annually and credited at the end of each financial year. The rate is reviewed quarterly by the Ministry of Finance. PPF has maintained a rate between 7.1% and 8% over the last several years, making it one of the best risk-free instruments available to Indian retail investors.
PPF Rules You Need to Know
- Minimum investment — Rs 500 per year
- Maximum investment — Rs 1,50,000 per year
- Lock-in period — 15 years (extendable in 5-year blocks)
- Partial withdrawal — Allowed from 7th year onwards (up to 50% of balance)
- Loan facility — Available from 3rd to 6th year (up to 25% of balance)
- Tax benefit — Eligible for Section 80C deduction (up to Rs 1.5 lakh per year)
- Interest — Completely tax-free under Section 10(11)
- Maturity amount — 100% tax-free
How the PPF Calculator Works
Our PPF Calculator uses the standard compound interest formula with annual compounding. Enter your yearly contribution amount (between Rs 500 and Rs 1,50,000), the current interest rate (default 7.1%), and the investment period (minimum 15 years). The calculator instantly shows the total maturity amount, total interest earned, and a year-by-year balance breakdown table.
Why PPF Beats Fixed Deposits for Long-Term Goals
While FD interest is fully taxable (added to your income and taxed at your slab rate), PPF interest is completely tax-free. For someone in the 30% tax bracket, a 7.1% PPF return is equivalent to a pre-tax FD return of over 10%. This tax efficiency, combined with sovereign guarantee and disciplined long-term savings, makes PPF an excellent core holding in any Indian investor portfolio.
Calculate Your PPF Returns Now
Open the free PPF Calculator and enter your yearly contribution to see your 15-year maturity amount instantly. No login, no registration required.