What is a PPF Calculator?
A Public Provident Fund (PPF) Calculator is an online calculator that assists one in approximating the maturity value he/she would get from their PPF investments for a specified time. By providing your yearly contribution, rate of interest, and time, the calculator provides a detailed estimate of the returns..
Why PPF Calculator?
- To properly plan your long-term savings
- To calculate the amount of interest and maturity on your investment
- To evaluate various saving scenarios according to tenure and contribution
PPF's main characteristics include:
- Government-backed investments
- Section 80C tax benefits.
- Low Risk
- 15-year lock-in period with options for partial withdrawal Compound annual interest that is appealing
Frequently Asked Questions (FAQs)
1. What is the current PPF interest rate?
The Indian government makes quarterly revisions to the current PPF interest rate. Currently, it is approximately 7.1% annually (compound annually)..
2. Is the maturity amount from PPF taxable?
No, under the EEE (Exempt-Exempt-Exempt) regime, the entire maturity amount—including interest—is completely tax-free.
3. Can I invest more than ₹1.5 lakh in a PPF account?
No, ₹1.5 lakh is the highest amount that can be contributed annually to a PPF account..
4. How is interest calculated in PPF?
Although interest is computed on a monthly basis, it is credited at the conclusion of the fiscal year. An approximate annual compound interest rate is provided by this calculator..