PPF Investment: PPF is fully guaranteed by the government. So there is no risk on it. If you invest Rs 250 in it every day, then you can make a huge corpus of Rs 62 lakh on maturity.
New Delhi. Benefits of PPF: If you want to invest without any risk, then Public Provident Fund (PPF) can prove to be the best option. You can get good returns on investment in this. It is invested continuously for 15 years. If there is no need for money during this period, then the investment period can be extended for another 5 years.
Actually, complete security in PPF is guaranteed from the government. So there is no risk on it. If you invest Rs 250 in it every day, then you can make a huge corpus of Rs 62 lakh on maturity. It can be used for children’s education, marriage and financial emergency.
Interest is available in PPF more than FD,
usually the rate of interest on PPF remains between 7 to 8 percent. At present, interest on PPF is available at the rate of 7.1 percent per annum. This is more than the fixed deposits of many banks. In PPF account, you can invest a minimum of Rs 500 and a maximum of Rs 1.50 lakh annually. The maturity period is 15 years. After this, you can withdraw this money or you can carry forward for every 5 years.
Understand this maths, there is no tax on maturity money
if you invest Rs 1.50 lakh every year in PPF account, then after 15 years you will get about Rs 41 lakh. Apart from this, if you invest Rs 250 daily from the age of 25 and for the next 25 years i.e. till the age of 50, then you will get 62.5 lakhs on maturity. The special thing is that there will be no tax on this money and the total interest will be around Rs 40 lakh.
