You can open your account in the Public Provident Fund (PPF) scheme by going to any bank or post office. Under this scheme you can invest a minimum of Rs 500 and a maximum of Rs 1.5 lakh. The maturity period of this scheme is 15 years. Investment experts say that the benefit of compound interest in PPF account can make you a millionaire.
The Government of India is running many schemes for investment and saving. One of these schemes is the Public Provident Fund (PPF) scheme. This scheme is managed by the post office. It can prove to be very good in terms of savings and investment. At present this scheme is offering interest at 7.1 percent from April 1, 2023. This scheme can also make you a millionaire. In such a situation, let us get complete information about it.
What is PPF scheme?
You can open your account in the Public Provident Fund (PPF) scheme by going to any bank or post office. Under this scheme you can invest a minimum of Rs 500 and a maximum of Rs 1.5 lakh. The maturity period of this scheme is 15 years. Investment experts say that the benefit of compound interest in PPF account can also make you a millionaire.
PPF scheme can make you a millionaire
You can extend your PPF scheme twice for 5 years each. You can collect funds up to Rs 1 crore at the time of retirement by increasing your PPF scheme. If a working person increases his account twice after completion of 15 years, then he can become a millionaire after investing for 25 years. If someone invests Rs 1.50 lakh every year in his PPF account, then he can invest Rs 8333 every month. On investment for 25 years, an amount of Rs 1,03,08,015 or thereabouts will be deposited in the PPF account. During this period you will invest approximately Rs 37,50,000 and you will get interest of Rs 65,58,015 on it. PPF scheme also gives you the benefit of tax benefit under Section 80-C of the Income Tax Act.
