PPF Calculator

PPF is a popular long-term savings scheme in India. It is backed by the Indian government, designed to help individuals save for their future financial needs while also earning a fixed interest rate, which is also set by the government. But calculating the interest on the PPF manually can be a bit troublesome and this is where a PPF calculator comes to your rescue.

A PPF calculator is an online financial tool that allows you to determine the value of your investment in PPF at maturity and returns. It simplifies the difficult computations linked with the Public Provident Funds account, allowing you to evaluate the long-term growth of your investment amount. The main advantage offered by online calculators is accuracy, which often goes amiss in the case of manual calculations. Additionally, these digital calculations are not time intensive, contrary to manual calculations.

The online PPF calculator by Angel One is among these robust online calculators that allow you to compare various investing possibilities. By modifying these variables, you may analyse how changes in parameters such as the yearly investment and time duration will affect your maturity amount and interest received.

This enables you to optimise your investments to achieve your financial goals.

Using Angel One’s online PPF calculator is an easy and quick approach. Follow these steps to make the best use of this financial instrument:

1. Enter your annual investment amount
2. Enter the tenure of your investment 

Once you enter these details into the PPF account calculator, the calculator displays the maturity amount, investment amount and the interest generated during the tenure.  

Let’s look at an example to understand the usage of the PPF calculator better.

Suppose you invest ₹4,000 monthly (₹48,000 annually) for the down payment on your dream house. The current interest rate is 7.1% per annum, and the minimum investment duration is 15 years. On entering these details in the Angel One PPF calculator, you’ll get the results as follows.

• Maturity amount: ₹13,01,827
• Investment amount: ₹7,20,000
• Total interest: ₹5,81,827

Now that you know what the maturity amount is, you can check if it is enough as the down payment of your house. If not you can increase the investment amount and use the public provident fund calculator again to calculate the maturity amount as per your increased investment. This way you can use the PPF account calculator for different scenarios and get the results in less than a minute. 

Note: As per the rule, tenure for PPF matures after the completion of 15 years. Post 15 years, it can be extended for a block of 5 years. Moreover, partial withdrawal is allowed after the completion of seven years(in some cases). Also, the current PPF interest rate is fixed at 7.1%.

There are various advantages to using a PPF calculator by Angel One. Some of them are as below:

• Offers accurate estimates: Angel One PPF calculator formula gives you the right estimate of maturity value and interest you will earn. Since manual calculations are prone to errors, using an online calculator can be a good way to get accurate estimates.
• Helps you save time: Manual computations of your PPF investments can be tedious and time intensive. An online PPF calculator, thus, saves you valuable time by offering instant results.
• Aids efficient decision making: Using a PPF calculator by Angel One gives you an accurate picture of the returns on your investment and thus lets you decide whether it syncs with your financial goals.
• Helps to set goals: The online PPF calculator by Angel One allows you to establish precise financial objectives and calculate the investment necessary to accomplish those goals. 
• Free to use: The online PPF calculator by Angel One is free to use. You can use the calculator at any time as per your convenience. All you need is an active internet connection while using the calculator. 

All these advantages make the Angel One PPF calculator a useful tool for you. Ultimately, it helps you optimise your investments to achieve your long-term financial goals.

To set up a PPF account and take advantage of this investment opportunity, you must meet specific requirements. The most important conditions for setting up a PPF account are listed below:

• Citizenship: To be eligible for a PPF account, you must be a citizen of India. Non-resident Indians (NRIs) and Hindu Undivided Families (HUFs) cannot open a PPF account.
• Age Limit: Individuals must be at least 18 years old to open a PPF account. Minors Can also open a PPF account opened in their name by their parents or guardians.

The PPF investments fall under the Exempt-Exempt-Exempt (EEE) category, which means as per Section 80C of the Income Tax Act, PPF deposits are deductible. But note that your maximum contribution towards a PPF account cannot exceed ₹1.5 lakh in one financial year. It must be below ₹1.5 lakh.

Also, the maturity amount and the interest amount are also exempted from taxes, meaning there won’t be taxes levied at the time of withdrawal from the PPF.