The Public Provident Fund is a government-backed savings scheme with a 15-year lock-in. Contributions up to ₹1.5 lakh/year qualify for Section 80C deduction, and both the interest and maturity amount are completely tax-free (EEE status).
About the PPF Calculator
PPF offers the rare EEE (Exempt-Exempt-Exempt) tax status — contribution deductible under 80C, interest tax-free, maturity tax-free. The government-set interest rate (currently 7.1% p.a.) is reviewed quarterly and is much higher than most savings accounts.
Formula used:
Frequently Asked Questions
Can I withdraw from PPF before 15 years?
Partial withdrawals are allowed from the 7th financial year (up to 50% of the balance 4 years prior). Loans against the PPF balance are available from the 3rd year.
What happens after 15 years?
You can withdraw the full balance, or extend in 5-year blocks — with or without fresh contributions — while the balance keeps earning interest.