What Happens to PPF After 15 Years? Extension Rules Guide

Your PPF Just Matured. Now What?

You've patiently waited 15 years. Your PPF has matured. You have three options, and the decision you make can significantly impact your wealth over the next decade.

**Option 1**: Withdraw the entire amount. Take your money and go.

**Option 2**: Extend for 5 years WITHOUT making new contributions.

**Option 3**: Extend for 5 years WITH new contributions (up to Rs 1,50,000/year).

Most financial advisors don't talk about Option 2 enough. Let's dig into each.

Option 1: Full Withdrawal

Simple. You close the account and take all the money. The entire amount, including all accumulated interest, is tax-free. No TDS, no capital gains, nothing.

If your goal was to fund a specific expense (like buying a house or a child's wedding), this makes sense. But if you don't need the money immediately, keep reading.

Option 2: Extension Without Contributions

This is the hidden gem. You don't deposit any new money, but your existing corpus continues earning 7.1% interest, completely tax-free.

Let's say your maturity amount is Rs 40 lakh. If you extend without contributions:

That's Rs 16.4 lakh in tax-free interest earned on money that's just sitting there. And you can withdraw any amount at any time during this extension period (with some notice requirements). There's no restriction on withdrawals in extension-without-contribution mode.

This option is perfect if you want a tax-free income stream. Withdraw the interest each year (Rs 2.8-3 lakh) and keep the principal intact.

Option 3: Extension With Contributions

You continue depositing up to Rs 1,50,000/year and the full balance keeps compounding at 7.1%.

**Starting with Rs 40 lakh and adding Rs 1,50,000/year for 5 more years:**

The key restriction: you can only make one withdrawal per year, and it cannot exceed 60% of the balance at the start of the extension period.

For our Rs 40 lakh example: maximum withdrawal per year = 60% of Rs 40 lakh = Rs 24 lakh. That's still a lot of flexibility.

The Paperwork

**Important**: If you want to extend WITH contributions, you must submit Form H to your bank/post office within 1 year of the maturity date. If you miss this window, the account automatically becomes an extension-without-contributions account. You can still withdraw, but you can't deposit any more.

For extension without contributions, you don't need to do anything. The account just continues.

Can You Extend Again After 5 Years?

Yes. After each 5-year block, you get the same three choices again. There's no limit on how many times you can extend. Some people keep their PPF going for 30+ years.

A PPF that's been running for 30 years with regular contributions can grow to over Rs 1.5 crore at 7.1%. Use our [PPF calculator](/) to model long-term extension scenarios.

Who Should Extend?

The power of PPF really shows up in extensions. A 20-year PPF (15 + 5 extension) or 25-year PPF (15 + 10) builds serious wealth with zero risk and zero tax. Pair it with a [SIP for long-term growth](https://sip-calc-india.pages.dev) and you've got a balanced financial plan.