PPF Maturity Calculator — Public Provident Fund 2026
PPF Interest Rate History and Current Rate
The PPF interest rate is set quarterly by the Ministry of Finance based on the 10-year Government Securities yield plus a spread. The current rate for Q1 FY 2026-27 is 7.1% per annum, compounded annually and credited on 31 March each year.
Interest is computed on the minimum balance between the 5th and last day of each month. This means deposits made before the 5th of a month earn interest for that entire month — making early-in-month deposits optimal.
EEE Tax Status — Triple Tax Exemption
- Exempt at deposit: Annual deposits up to ₹1.5 lakh qualify for Section 80C deduction.
- Exempt during accumulation: Interest earned each year is completely tax-free (not included in income).
- Exempt at maturity: The entire maturity corpus — principal + interest — is tax-free.
This EEE status makes PPF one of very few instruments where you save tax going in AND get tax-free returns coming out. Compare this to FDs where interest is taxed annually, or NPS where the annuity is taxable.
Partial Withdrawal Rules
From the 7th financial year of the account, you can make one partial withdrawal per year of up to 50% of the balance at the end of the 4th year immediately preceding the withdrawal year, or 50% of the balance at the end of the preceding year — whichever is lower.
Loan Against PPF
Between the 3rd and 6th year of the account, you can take a loan of up to 25% of the balance at the end of the 2nd year preceding the loan year. The loan must be repaid within 36 months. Interest charged: 1% p.a. above the PPF rate.
Frequently Asked Questions
Can I open multiple PPF accounts?
No. An individual can only hold one PPF account in their name (one more in the name of a minor child as guardian). Contributions to multiple accounts are aggregated — deposits beyond ₹1.5 lakh total are returned without interest.
Is PPF still worth it under the New Tax Regime?
Under the New Tax Regime, Section 80C deductions (including PPF) are not available. However, the interest and maturity remain tax-free regardless of the tax regime. So PPF is still valuable for the risk-free 7.1% tax-free return, even without the 80C benefit.
What happens if I miss the minimum ₹500 deposit in a year?
The account becomes inactive/discontinued. You can reactivate it by paying ₹500 per year of default plus a ₹50 penalty per year of default. Reactivation must happen before maturity.
Can NRIs open a PPF account?
Existing PPF accounts held by resident Indians who later become NRIs can be continued until maturity (15 years) but cannot be extended further. New PPF accounts cannot be opened by NRIs.