PPF Calculator: Calculate Public Provident Fund Returns & Maturity

The interest rate for PPF is reviewed every quarter. For the current quarter, the interest rate is 7.10% p.a.. The interest is compounded annually for this scheme. The interest is calculated every month but credited to the investors account at the end of the year on the 31st of March.The interest is calculated on the minimum balance left in the account between 5th and end of each month. Investors can take advantage of this by investing in PPF before 5th of every month. The deposits made before 5th will earn interest in that month. PPF deposits can be made in a lumpsum or every month. Investors making lump sum investments by the 5th of April every year can earn interest on this amount for the entire year. The maximum investment in PPF is INR 1.5 lakhs per annum, and the minimum is INR 500.

Both PPF and FD are safe investment options. Both the investments offer guaranteed returns. However, which is better is based on the investor’s needs and investment horizon. In comparison to an FD, PPF has a longer lock-in period of 15 years. Also, PPFs allow premature withdrawals only after the 5th year. Additionally, there is a withdrawal limit. On the other hand, FDs have a lock-in period ranging between 7 days to 10 years. Also, banks allow premature withdrawals, however with a penalty. Investors can avail loan against their PPF investments from the third year. While in the case of an FD, the bank provides an overdraft facility up to 90% of the deposit amount.
Both PPF and FD investments can be claimed for tax deductions. Under section 80C of the Income Tax Act, investors can claim deduction up to INR 1,50,000 per annum. Therefore, which investment is better depends on the investor. For long term investments, PPF is a promising avenue with guaranteed returns. PPF is a good investment for retirement. On the other hand, FD is suitable for investors looking at short term investments.

No. PPF doesn’t allow investors to make partial withdrawals before five years. Even after five years, PPF has a restriction on the withdrawal limit. Additionally, investors can avail a loan on their PPF investment from the third year.

Systematic Investment Plan (SIP) is one of the ways for investing in mutual funds. Investors opting for the SIP route for investing in mutual funds pay a fixed amount every month towards a mutual fund. SIP investing helps in reducing the average cost of investing. Additionally, SIP allows investors to accumulate more units than the lump sum route by spreading out the investments over some time. The returns from SIP investing are market-linked and have a higher potential to earn more returns than fixed-income savings schemes.PPF is a government-backed savings scheme with guaranteed fixed income in the form of interest payments. The interest rate for PPF is fixed by the government every quarter. Investors can invest in PPF through a lump sum route or monthly basis. The minimum and maximum investments are INR 500 and INR 1.5 lakhs, respectively.

The PPF account has a specified lock-in period of 15 years. However, investors can make partial withdrawals from the 5th year. Additionally, to keep the account active, an investor needs to invest at least INR 100 per annum. Also, investors can extend their PPF investments beyond 15 years. The extension can be done for a block period of five years. Additional contributions aren’t compulsory during the extension period.

Investors cannot open multiple PPF accounts. The PPF accounts are easily transferable from one post office or bank to another. And investors can also extend their PPF investment in blocks of 5 years.

An investor will receive the matured amount in the PPF account. This maturity amount will be the principal amount invested and the interest earned during the 15 years. To know the expected amount after 15 years in advance, use the PPF calculator, just enter the amount deposited, period and the wealth gain will be calculated.

Yes, you can withdraw the entire amount invested as deposits and the interest earned after the expiry of the locking period i.e. 15 years

The rate of interest and other facility-related to PPF is the same across all the banks. The difference among the banks is of the facility and customer service provided. Many banks provide online service which is easy to use, apply, make deposits, avail loans and withdraw. An investor can choose a bank that provides good customer experience and an online facility. Many private and public banks offer PPF facility like SBI, HDFC Bank, ICICI Bank, and others.

Yes, you can transfer the PPF account from one branch of a bank to another branch or from one branch of a post office to another. The process is quite simple, you can visit your existing branch of the bank or post office and submit an application to change the branch. This process can take from one to seven days varying from one branch to another.

The rate of interest is reviewed every quarter and regulated by the government of India. The interest on PPF is compounded annually, calculated monthly and credited at the end of the financial year i.e 31st March. The current rate of interest on PPF account is 7.10%

The PPF account has a lock-in period of 15 years, post this period the investment will mature and the entire wealth gained can be withdrawn or the PPF account can be extended in blocks of 5 years.

No, the PPF account has a lock-in for 15 years. On completion of 15 years, the entire amount will be paid. But if you are in need of funds, you can choose to partially withdraw funds after the completion of 6 years. The withdrawal is allowed up to 50% of the total balance at the end of the fourth financial year immediately preceding the year of withdrawal OR total balance at the end of the financial immediately preceding the year of withdrawal whichever is lower

In case you have missed paying the minimum amount of Rs 500 in any financial year, your account will be marked as inactive. To activate this account you will have to pay a small penalty of Rs 50 and make a deposit for the years you have missed paying the deposit. This way the account will be reactivated and start earning interest again

The PPF account carries many benefits like regulated by the Government of India, not affected by the market fluctuations, tax exemptions, loan facility, withdrawal options. It is a good investment option for an investor who seeks retirement benefits or a very long term secure investment. However, there are other alternatives to PPF like ELSS, ULIP etc.

PPF scheme in India is a popular savings investment option among the investors. PPF scheme is a long term savings scheme with the aim to provide security on retirement to its subscribers. For an Indian citizen who wants to secure his/ her retirement and wishes to invest in a long term plan, PPF is a good option to invest. The amount invested in a PPF account is tax-exempt, the interest earned and maturity amount is tax-free. The PPF interest rate is regulated by the Government of India every quarter making the investment of low risk.

The alternatives to PPF scheme are ELSS, ULIP, NPS, NSC, Pradhan Mantri Vaya Vandhana Yojana (PMVVY), tax-saving fixed deposit, Senior Citizen’s Saving Scheme (SCSS) and others

With a yearly investment of Rs 1,50,000 at the rate of 7.1%, you can expect Rs 40,68,209 at the end of 15 years. You can use Scripbox’s PPF Calculator to estimate your returns. Furthermore, the calculator is available online and is free to use

The PPF maturity amount can be calculated using the below formula:
A = P [({(1+i) ^n}-1)/i]
Where, A is the maturity amount, P is the principal amount, I is the expected interest rate of return and N is the tenure for which is the amount is invested in the scheme
Alternatives, one can use the online PPF Calculator from Scripbox to compute and estimate their PPF return

LIC and PPF are two options that offer secure returns depending on the type of LIC policy. The purpose of a LIC is to offer insurance for the life of the policyholder. While PPF is a long term investment option suitable for retirement goals. Having a LIC policy is beneficial when an individual wishes to safeguard their family’s financial future in case of the unforeseen or untimely death of the holder. Furthermore, if an individual does survive till the maturity period, they can use the return amount for their retirement.
On the other hand, PPF helps in accumulating a significant corpus in the long term. Additionally, PPF falls under the Exempt-Exempt-Exempt (EEE) category, where the investments, interest and maturity amount is completely exempted from tax. Historical returns from LIC have been around 6% to 8%, and for PPF, the current rate is 7.40% p.a.. However, this rate might be lower depending on the policy. Also, LIC is an insurance cover that comes in need during unforeseen events. Therefore, the investment objective for LIC and PPF are different. Hence, individuals have to consider their investment objective, financial obligations and other details before choosing a scheme