Why and How To Use The PPF Calculator in 2022?


Public Provident Fund or PPF is a profitable scheme that helps you invest money and get valuable returns. Of late, people are finding ways to invest their money risk-free and PPF is one such option. 

But it might get difficult for you to calculate your interest money regularly without any help. In this case, a PPF interest calculator will help you. Do you know how to use a PPF calculator? 

If not, then don’t worry because, in this article, we will be discussing everything about a PPF account calculator. You will know about PPF, the PPF calculator, its features and benefits, and how to use it like a pro.

What is PPF and what are its features? 

PPF is a small savings scheme which gives you returns once you start investing your money in it. It is a government-assured scheme that came into being in 1968. It is one of the most favourable savings options for people who want to invest without any risks. 

You can make little savings from your monthly or yearly expenses and invest it here. To calculate your interest regularly, you need to use a PPF interest calculator. Though the returns are not very high, you will still make good profits from it. 

Features of PPF

  • The tenure of a PPF account is about 15 years, though you can prematurely break it if you are in urgent need of money. 
  • The minimum amount you can invest in a PPF account is Rs 500 and the maximum amount is Rs 1.5 lakh. 
  • You can only open one PPF account if you are an investor. In some cases, you can open another on behalf of a minor, but as an individual, one person can open only one account. 
  • You can open a PPF account if you are a non-resident Indian (NRI) or you belong to a Hindu Undivided Family (HUF). 
  • You at least have to make one investment in 15 years to keep your PPF account alive. 

What are the benefits of a PPF account? 

There are many benefits, such as:

  1. It is a risk-free option which means your principal and the investments you make are safe and secure. 
  1. The interest you earn from a PPF account is exempted from tax and the principal you deposit is tax-free as well. 
  1. You can withdraw your money by the end of the 6th year of opening an account, although the lock-in period is 15 years. 
  1. It is supported by the government, so you don’t have to worry about anything. 
  1. It allows you to make investments even if you don’t have a lump-sum amount of money. 

To have a perfect idea about how much money you should invest and how much interest you get in return, you can use a PPF account calculator. This will help you make an informed decision regarding your investment. 

What is a PPF calculator? 

The PPF calculator is an online tool that helps you calculate your PPF interest out of the money you invest in your PPF account. The PPF interest calculator is a very easy-to-use, handy, and user-friendly option to look for. You only need your principal money, an interest rate, and a time period to calculate it. 

How to use a PPF calculator? 

There is a standard formula to calculate your PPF interest amount and it goes as follows:

       F = P[({(1+i)^n}-1)/i]

Where F is your maturity amount, P is your annual instalments, n is your number of years, and i stands for rate of interest. 

However, if you manually use this formula to derive your interest amount, it could be difficult to calculate. Therefore, you should use a PPF calculator instead. 

Since a PPF calculator is already programmed to provide you with your interest money, all you need is to put in your investment details. Here are some steps:

  1. Enter your principal money, which should be at least Rs 500 INR but must not be more than Rs 1.5 lakh. 
  1. The interest rate is already set in some PPF interest calculators as the interest rate is not fixed. For this financial year, the interest rate is 7.1%, which keeps on changing every year. 
  1. In the tenure bar, put the number of years for which you want to invest. It is 15 years as such, but in case you want to prematurely break your account, you can cut it short. 
  1. After entering all the details, click on “Calculate” and there you go. You have your interest amount in front of you. 

Why should you use a PPF interest calculator? 

Here are some reasons for you to use a PPF calculator:

  • It will help you understand how the account and the interest rate work. 
  • It gives you a sketch of how much interest rate you should expect out of the principal you invest. 
  • Since interest rates keep on changing, you can use a PPF account calculator frequently to be aware of the recent updates regarding your interest money. 
  • It is a time-saving affair, free from errors, which will provide you with precise results. 
  • It is free of cost and AI-generated and that means it is dependable. 


Investing in PPF is a very safe option and it comes under the “exempt-exempt-exempt” category, which means all your money is free from tax. A PPF account calculator will help you to understand how the whole game works. 

Do you want to keep reading more on a PPF interest calculator? Well, then visit the official page of Piramal Finance. They have many engaging articles and blogs about all types of investments.