See how much your PPF investment grows over 35 years at the current rate of 7.1% per annum. All returns are 100% tax-free.
| Year | Deposit | Interest | Balance |
|---|
Investing in PPF for 35 years means extending your account beyond the initial 15-year lock-in in 5-year blocks. The longer tenure allows significantly more compounding of your tax-free returns.
Maturity values for different yearly deposits over 35 years:
| Yearly Deposit | Total Deposited | Interest Earned | Maturity Value |
|---|---|---|---|
| ₹500/yr | ₹17,500 | ₹58,170 | ₹75,670 |
| ₹1,000/yr | ₹35,000 | ₹1,16,314 | ₹1,51,314 |
| ₹2,000/yr | ₹70,000 | ₹2,32,632 | ₹3,02,632 |
| ₹3,000/yr | ₹1,05,000 | ₹3,48,955 | ₹4,53,955 |
| ₹5,000/yr | ₹1,75,000 | ₹5,81,590 | ₹7,56,590 |
| ₹10,000/yr | ₹3,50,000 | ₹11,63,196 | ₹15,13,196 |
| ₹12,000/yr | ₹4,20,000 | ₹13,95,822 | ₹18,15,822 |
| ₹15,000/yr | ₹5,25,000 | ₹17,44,793 | ₹22,69,793 |
| ₹20,000/yr | ₹7,00,000 | ₹23,26,384 | ₹30,26,384 |
| ₹25,000/yr | ₹8,75,000 | ₹29,07,980 | ₹37,82,980 |
| ₹30,000/yr | ₹10,50,000 | ₹34,89,553 | ₹45,39,553 |
| ₹40,000/yr | ₹14,00,000 | ₹46,52,771 | ₹60,52,771 |
| ₹50,000/yr | ₹17,50,000 | ₹58,15,949 | ₹75,65,949 |
| ₹60,000/yr | ₹21,00,000 | ₹69,79,141 | ₹90,79,141 |
| ₹70,000/yr | ₹24,50,000 | ₹81,42,330 | ₹1,05,92,330 |
| ₹80,000/yr | ₹28,00,000 | ₹93,05,507 | ₹1,21,05,507 |
| ₹90,000/yr | ₹31,50,000 | ₹1,04,68,711 | ₹1,36,18,711 |
| ₹1,00,000/yr | ₹35,00,000 | ₹1,16,31,901 | ₹1,51,31,901 |
| ₹1,20,000/yr | ₹42,00,000 | ₹1,39,58,291 | ₹1,81,58,291 |
| ₹1,50,000/yr | ₹52,50,000 | ₹1,74,47,853 | ₹2,26,97,853 |
If you invest ₹1,50,000 per year in PPF at 7.1% for 35 years, your maturity value will be ₹2,26,97,853. This includes ₹52,50,000 total deposits and ₹1,74,47,853 in tax-free interest.
Deposits up to ₹1,50,000 per year qualify for Section 80C deduction. If you are in the 31.2% tax bracket (highest old regime), you can save approximately ₹46,800 in taxes every year.
To invest ₹1,50,000 per year in PPF, you need to set aside approximately ₹12,500 per month. You can make deposits in up to 12 installments per financial year.
A 35-year PPF investment means extending beyond the initial 15-year lock-in in 5-year blocks. After maturity, you can withdraw the full amount tax-free or continue extending in 5-year blocks.
At 7.1% tax-free return, PPF significantly outperforms FDs for long-term investment. A comparable FD would need to offer 10.3% pre-tax returns (for 31.2% tax bracket) to match PPF's after-tax return. Over 35 years, this compounding advantage is substantial.