The Post Office Public Provident Fund (PPF) scheme offers 7.1% interest. Invest up to Rs 1.5 lakh yearly and accumulate up to Rs 40 lakh in 15 years. Tax benefits included.

Post office schemes are a great choice for those looking to safely invest and earn good returns. The PPF is designed for tax-free returns with low risk. It offers 7.1% interest, allowing you to accumulate a large sum through consistent investment.The central government offers a 7.1% annual interest rate on this scheme. This interest is tax-free, making it very beneficial for high-income tax filers. The invested amount, interest earned, and maturity amount are all tax-exempt under Section 80C, falling under the EEE (Exempt-Exempt-Exempt) tax rule.

You can start a Post Office PPF account with just Rs 500. The maximum investment allowed in a financial year is Rs 1,50,000. The investment period is 15 years, extendable in five-year blocks.

Suppose you invest the maximum Rs 1.5 lakh annually (Rs 12,500 monthly). Over 15 years, your total investment would be Rs 22,50,000. At 7.1% interest, you'd earn Rs 18,18,209, totaling Rs 40,68,209 upon maturity. Adjust investment amounts as needed.

After opening a PPF account, a loan facility is available from the third financial year's end. After five years, you can partially withdraw funds. Open a PPF account at any post office or bank.