PPF News: The government pays 7.1 percent annual interest rate on PPF accounts. The investment period is for 15 years.
PPF News: If you want to become a millionaire, now is a good time. Start investing to improve your future. You don’t even need a lot of money to do this. For this, just a few rupees have to be deposited every month in the Public Provident Fund. If you invest in PPF, you will get rich even before retirement.
Public Provident Fund is a better investment option in the long term with great returns. You can deposit up to Rs 1.5 lakh in a PPF account in a year or Rs 12,500 in a month. How much profit do you want in future? Accordingly, the amount every month and for how much time will need to be invested.
7.1 percent interest is available on PPF
The government pays an interest rate of 7.1 percent per annum on PPF accounts. The investment period is for 15 years. In such a situation, the total value of monthly investment of Rs 12500 after 15 years will be Rs 40,68,209. The total investment is Rs 22.4 lakh with Rs 18,18,209 in interest.
1 crore will be deposited in this way
1. Let’s say you are 30 years old and you want to start investing in PPF.
2. Now you keep increasing your PPF for the next 5-5 years.
3. That is, after 15 years and invest for 5 years. Then after 20 years you will have total Rs 66,58,288.
4. When it reaches 20 years, extend the investment for another 5 years, resulting in a total of Rs 1,03,08,015 after 25 years.
If you want to become a millionaire at the age of 55. Then you have to start investing first. Instead of Rs 12500, you will have to invest a little less in PPF. Let’s know how-
1. Suppose you contributed Rs 10,000 every month to your PPF account at the age of 25.
2. At 7.1 percent, the total value after 15 years will be Rs 32,54,567.
3. Extend it for another 5 years and after 20 years the total value will be Rs 53,26,631.
4. Extend it for another 5 years. After 25 years the total value will be Rs 82,46,412.
5. Then extend it further by 5 years. The total value after 30 years will be Rs 1,23,60,728.
6. That is, at the age of 55, you will become a millionaire.
