SBI PPF Calculator
SBI PPF Calculator
To calculate the maturity amount of your Public Provident Fund (PPF) account with SBI, you can use the following formula:
M = P x [(1 + i / n) ^ (n x t)]
Where,
M = Maturity value
P = Annual deposit amount
i = Annual interest rate (as fixed by the government)
n = Number of times the interest is compounded per year (usually, it is 12)
t = Number of years of investment
For SBI PPF accounts, the interest rate is usually updated every quarter by the government. As of April-June 2023, the interest rate is 7.1% per annum.
For example, if you invest Rs. 1 lakh annually in an SBI PPF account for a tenure of 15 years, the maturity amount can be calculated as follows:
P = Rs. 1 lakh
i = 7.1%
n = 12 (compounded monthly)
t = 15
M = 1,00,000 x [(1 + (0.071/12)) ^ (12 x 15)]
= Rs. 29,61,425 (approx.)
Therefore, the maturity amount of your SBI PPF account after 15 years of investment will be approximately Rs. 29,61,425.
SBI PPF
SBI offers a Public Provident Fund (PPF) scheme, which is a long-term savings scheme backed by the government of India. The PPF account can be opened with a minimum deposit of Rs. 100 and has a maximum limit of Rs. 1.5 lakh per annum. The tenure of the PPF account is 15 years, and it can be extended in blocks of 5 years after maturity.
The interest rate on the SBI PPF account is set by the government and is subject to change every quarter. As of April-June 2023, the interest rate on SBI PPF account is 7.1% per annum. The interest on the PPF account is compounded annually and is tax-free.
The contributions made to the PPF account are eligible for tax deduction under Section 80C of the Income Tax Act up to a maximum limit of Rs. 1.5 lakh per annum. The interest earned on the PPF account is also exempt from income tax.
The PPF account can be opened at any SBI branch or authorized branches that offer PPF account services. To open a PPF account, one needs to submit the required KYC documents, including identity proof, address proof, and PAN card. The account can be opened by an individual or on behalf of a minor, with the parent or legal guardian being the guardian of the account.