1. What is a PPF Calculator with Variable Amounts?

Definition: This calculator estimates the maturity amount of a Public Provident Fund (PPF) account when you make variable yearly deposits.

Purpose: It helps investors plan their PPF investments when they can't contribute fixed amounts every year.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( Maturity \) — Final amount at maturity ($)
• \( Deposit_k \) — Deposit made in year k ($)
• \( i \) — Annual interest rate (decimal)
• \( n \) — Total investment period (years)
• \( k \) — Current year (1 to n)

Explanation: Each deposit compounds separately for the remaining years until maturity.

3. Importance of PPF Calculation

Details: PPF is a popular long-term savings scheme with tax benefits. Accurate calculations help in financial planning.

4. Using the Calculator

Tips: Enter investment period (15 years typical for PPF), current interest rate (default 7.1%), and yearly deposit amounts.

5. Frequently Asked Questions (FAQ)

Q1: What is the current PPF interest rate?
A: As of 2023, it's 7.1% (0.071 decimal), but check with your bank for current rates.

Q2: Can I change deposit amounts every year?
A: Yes, this calculator is specifically designed for variable yearly deposits.

Q3: What's the minimum/maximum PPF investment?
A: Minimum $500/year, maximum $150,000/year (Indian rupees converted).

Q4: How is PPF interest calculated?
A: Interest is compounded annually and credited at year-end on the lowest balance between 5th and last day of each month.

Q5: What's the PPF lock-in period?
A: 15 years, extendable in blocks of 5 years.