PPF
The rate looks modest. It's also the only number here tax never touches — exempt on the way in, while growing, and on the way out.
A taxed deposit at 7.1% would keep
₹33.7 L
Same contributions, interest slab-taxed yearly
PPF keeps
₹40.7 L
Taxable-equivalent yield: 10.32% in your slab
Corpus at maturity
₹40.7 L
15 years at 7.1%
Contributed
₹22.5 L
Also 80C-deductible (old regime)
EEE advantage
₹7.0 L
vs the same rate, taxed
Taxable equivalent
10.32%
What an FD must pay to match, 30% (incl. cess)
Inputs
Yearly contribution₹1,50,000
₹1.5L is the annual ceiling per person.
Years15 yrs
15-year lock-in; extendable in 5-year blocks.
Your income tax slab
The EEE gap, compounding
Year by year
| Year | Contributed | Interest (tax-free) | Balance |
|---|---|---|---|
| 1 | ₹1,50,000 | ₹10,650 | ₹1.6 L |
| 2 | ₹1,50,000 | ₹22,056 | ₹3.3 L |
| 3 | ₹1,50,000 | ₹34,272 | ₹5.2 L |
| 4 | ₹1,50,000 | ₹47,355 | ₹7.1 L |
| 5 | ₹1,50,000 | ₹61,368 | ₹9.3 L |
| 6 | ₹1,50,000 | ₹76,375 | ₹11.5 L |
| 7 | ₹1,50,000 | ₹92,447 | ₹13.9 L |
| 8 | ₹1,50,000 | ₹1,09,661 | ₹16.5 L |
| 9 | ₹1,50,000 | ₹1,28,097 | ₹19.3 L |
| 10 | ₹1,50,000 | ₹1,47,842 | ₹22.3 L |
| 11 | ₹1,50,000 | ₹1,68,989 | ₹25.5 L |
| 12 | ₹1,50,000 | ₹1,91,637 | ₹28.9 L |
| 13 | ₹1,50,000 | ₹2,15,893 | ₹32.6 L |
| 14 | ₹1,50,000 | ₹2,41,872 | ₹36.5 L |
| 15 | ₹1,50,000 | ₹2,69,695 | ₹40.7 L |