Post Office PPF: Save Rs 250 per day, get more than Rs 24 lakh!
You can create a fund of more than Rs 24 lakh by depositing just Rs 250 daily in the Post Office Public Provident Fund scheme. This scheme comes with an attractive interest rate of 7.1% and also offers tax benefits.
Business Desk: Public Provident Fund (PPF) is a government scheme for long term investment. Investing in this scheme also provides tax exemption. In this, you can invest from Rs 500 to Rs 1.5 lakh annually. Post Office Schemes are an excellent option for investors seeking safe investment and guaranteed returns. Like banks, many types of savings schemes are also available in post offices. The Public Provident Fund Scheme of the post office is a special scheme for long term investors. In this, you can create a fund of more than 24 lakhs by saving just 250 rupees daily. Know how...
Benefits of Post Office PPF Scheme
The PPF scheme gives interest at the rate of 7.1 percent. The scheme is for 15 years. By saving small amounts daily in this scheme, you can create a big fund at the time of retirement. This ensures that there is no shortage of money and old age is spent comfortably.
Create a fund of lakhs by saving 250 rupees daily
By saving Rs 250 daily and investing Rs 7,500 every month in the Post Office PPF scheme, the annual investment will be Rs 90,000. According to the PPF calculator, if this annual investment is continued for 15 years, a total of Rs 13,50,000 will be deposited. On this, an interest of Rs 10,90,926 will be received at an interest rate of 7.1%. This means that the total fund will become Rs 24,40,926 in 15 years.
Tax saving benefits from PPF investments
PPF is considered to be an excellent scheme in terms of tax saving. This is an EEE category scheme. There is no tax on the amount deposited every year. The interest received every year on this amount and the entire amount received on maturity is tax free. There is also an opportunity to save income tax on the investment, interest and maturity made in the Public Provident Fund scheme coming under the EEE category.
Loan facility against PPF account
PPF account holders also get the facility of loan. Loan can be taken on the basis of the amount deposited in the PPF account. The special thing is that this loan is available at a lower interest rate than other loans without any security. The interest rate on PPF loan is only 1% higher than the interest rates of PPF account. That is, if 7.1% interest is being received on the amount deposited in the PPF account, then 8.1% interest will have to be paid on taking a loan under this scheme.