PPF scheme

If you want your income to remain even after retirement and you do not have to depend on anyone, then the Post Office's Public Provident Fund (PPF) scheme can prove to be a great option for you. This scheme can not only make you a millionaire, but can also become a reliable support of old age. There is only one condition regular investment in this. Because it is a long-term investment scheme, which gives both interest and tax benefits.

What is the PPF scheme of Post Office?

PPF scheme has a government guarantee on investment, that is, it is 100% safe investment. Currently, 7.1% annual interest is paid on it. Apart from this, under the Income Tax Act 80C, you can also take the benefit of tax exemption up to Rs 1.5 lakh every year.

15+5+5 Formula: This is how millionaires can be made

• If you invest 15+5+5 in PPF, ie a total of 25 years, then you can create a fund of about 1.03 crore rupees.
• Combine Rs 1.5 lakh every year for the first 15 years, total investment of 22.5 lakh rupees.
• This amount will be 40.68 lakh rupees after 15 years with 7.1% interest.
• If we increase it by 5 years without making new investment, then the amount will reach 57.32 lakh rupees.
• On leaving the next 5 years, it will increase to 80.77 lakh rupees.
• But if you keep adding 1.5 lakh rupees every year for a full 25 years, then your total amount can reach 1.03 crore rupees.

Interest up to Rs 61,000 can be received every month

After 25 years, when your fund will be Rs 1.03 crore, then it will get an interest of about 7.31 lakh rupees annually at an interest rate of 7.1%. This means that you can earn up to about 60,941 rupees every month. And the special thing will be your principal i.e. 1.03 crore rupees completely safe.

Who can open PPF account?

• Any Indian citizen can invest in this scheme.
• An account can also be opened in the name of a minor (with the help of parents).
• The minimum amount for opening an account is only 500 rupees.
• There is no joint account facility in this scheme, that is, every person's account will be different.

If you want to make your future financially secure and want a stable income every month after retirement, then the PPF scheme of the post office is the perfect option for you. Just keep a little discipline, invest regularly and over time you can also become a millionaire.