A government scheme that can make you a millionaire. Yes, you have read it right, you will know which scheme it is in this article. My name is Rahul Kumar and you have started reading about a very popular and longest running scheme of the government PPF (Public Provident Fund). PPF scheme comes in those schemes of the Government of India, which along with giving best returns in the long term, also gives many benefits.
So, let's first know the benefits available in PPF, after all, what are the benefits in PPF that make it different from all other government schemes?
• Safe Investment
• Safe Returns
• Guaranteed Returns
So, the first benefit in this is that because it is a government scheme, our investment remains safe in this and the next benefit is that PPF is not a market linked investment scheme, so the ups and downs of the stock market will not affect our investment at all. The next benefit is that in this we get guaranteed returns at the time of maturity. Apart from this, if you have opened a PPF account with a bank, and in this case even if that bank sinks or becomes bankrupt, there will be no difference to your PPF account. So here are the safety benefits available with PPF account.
Tax Benefits available on PPF:
Now if we talk about the tax benefits available on PPF, then this scheme is also better than many other schemes in terms of tax benefits. Section 80C tax benefit is available on the PPF scheme. That is, there is no tax on investment up to 1,50,000. So, if you do not want to take much risk in your investment and also want to save tax, then PPF is a very good option for you. Apart from this, PPF scheme EEE (EXEMPT - EXEMPT - EXEMPT) category means EXEMPT - EXEMPT - EXEMPT. comes in means that in PPF scheme there is tax exemption option on all three invested amounts, earned interest and maturity amount.
How Much Invest in PPF ?
You know how much investment can be made in PPF, according to the rules so far, a maximum of Rs 1,50,000 can be deposited in the PPF account in a financial year. However, according to a report in News 18, the amount invested in the PPF account cannot be increased. There is also talk of increasing it to 3,00,000, so till now no official statement comes on this, nothing can be said on this. We are also given a lot of flexibility in this investment. In this we can invest minimum ₹ 500 and maximum ₹ 1,50,000. If you are not able to invest in any year, then now you can continue investing with an additional fee of ₹ 50. Now let's talk. The return scheme available in this scheme gives an interest of 7.1% Annum on the Government PPF scheme. Many of you must be thinking that 7.1% is very less and the interest earned in stock market mutual funds is very high. Your thinking is not wrong. But the thing is that considering the tax benefits and safety available in PPF, the interest rate of 7.1% is quite high. Apart from this, there is also a good thing that we have a very good scope of compound interest and doing it. The interest received in this is given every year on 30 March.
How you can calculate your corpus according to your investment ?
Now let us see how you can calculate your corpus according to your investment. You can see on the screen the PPF calculator which we have created to make you understand how you can calculate your corporate according to your monthly investment. As mentioned here the interest rate which is currently 7.1% and the investment period which is 15 years, you can put whatever amount you want to deposit monthly, like we have put ₹ 10,000 here. So you can see on the screen It is believed that after 15 years you can build a fund of approximately 32,00,000 for yourself. You can also calculate your fund yourself by changing it according to your investment. So you can see yourself that you have made a total investment of 18,00,000 and you have got interest on it. ₹ 13,97,323 means the total course has been made ₹ 31,97,323 So here you have also seen the proof that PPF is a very good scheme for long term investment for you.
What is Eligibility to Open a PPF Account ?
Now let us know what is the eligibility to open a PPF account? So any Indian can open an account and there is a condition that 1%. Can open only one account, so suppose you have opened an account in a post office or bank and your location has changed, then you can PPF account can also be transferred. With this, if you want to open an account for a minor, which happens in very few investment schemes, then you can do that too. Minor's account can be operated only by parents. Now your question will be that where can open PPF account? PPF account can be opened from any post office or authorized bank branch. Or you can open PPF account with today's most popular method i.e. online methods. Now we will know what documents are necessary to open an account? First, PPF form like form one is called. Passport size photos, address proof like electricity bill, Aadhaar card etcetera identity proof like your PAN card or Aadhaar card, now let's know how much is the maturity period of this scheme because PPF If there is a long term investment scheme then it has a lock in period. 15 years means that it is compulsory for you to invest in it for a minimum period of 15 years. Suppose you want to extend this period, then with Block of Fire you can also make your investment stand still. So if you want to secure your retirement and want to make a good fund bill for yourself, then you should open a PPF account as soon as possible and start investing in it.
- Safe Investment
- Safe Returns
- Guaranteed Returns
