Public Provident Fund Calculator

PPF Calculator is a simple online tool for calculating interests and maturity amount over the next 15 years

Public Provident Fund (PPF) Details

Public Provident Fund calculation detail:

The Public Provident Fund (PPF) Scheme, 1968 is a tax-free savings avenue that was introduced by the Ministry of Finance (MoF) in India in the year 1968. Interest earned on deposits in the PPF account are not taxable. Deposits made towards PPF accounts can be claimed as tax deductions. This makes the PPF Scheme one of the most tax efficient instruments in India. It was launched to encourage savings among Indians in general, especially to encourage them to create a retirement corpus.

Public Provident Fund (PPF) Features are as below :

  • Indian Citizen who is a Resident Indian can open PPF account. Even if one has EPF account.
  • PPF account can be opened with the State Bank Of India, or its associates , Post offices, or any other Certified Bank like ICICI, Axis Bank.
  • PPF account is opened for a minimum period of 15 years. This tenure can be further extended for a minimum term of 5 years.
  • Premature closure of account is allowed in certain cases after completion of 5 years.
  • In a financial year, an investor can deposit minimum of Rs. 500 and maximum of Rs. 1,50,000 in their PPF account.
  • Deduction U/s 80C of Income Tax is available for the amount invested in PPF.
  • Government pays yearly interest on the balance in the PPF account.
  • Interest earned in the PPF account can only be redeemed after maturity.
  • Interest received from PPF investments is Tax Free.
  • Amount in PPF can be withdrawn from the 7th year onwards. This withdrawal amount is restricted to 50% of the previous years balance.
  • Loan against the balance in PPF account can be availed after three years. Maximum of 25% of the balance in the PPF account is made available as the loan amount. Amount received at the time of maturity is completely tax-free.
  • Deposits can be done maximum in 12 transactions
  • Account can be extended in a block period of 5 years after maturity

Public Provident Fund - Frequently Asked Questions

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