Last Updated:
PPF Scheme Today we are going to tell you about a scheme through which you can easily get Rs 20,000 throughout your life. There is no risk to your money in this. Besides, the returns are also high. Not only this, this is a government scheme so there will be no risk to your money.
Parents want to save some money for their children’s future, education, marriage etc. But many people remain confused about which scheme to invest in which is safe and gives good returns. If so, then this plan will be most suitable for you. Let us know about it in detail.
This scheme is Public Provident Fund (PPF). It is considered to be one of the most popular and safe savings schemes. Because it is a government scheme, your money is 100 percent guaranteed. Moreover, it is not just a savings plan. If you plan properly, you can turn it into an excellent retirement plan. Not only this, the income from this is also tax-free. This is why it is one of the best long-term investment options available in the market.
Currently, investors in the PPF scheme can get 7.1% compound interest annually. This is more than the interest available on fixed deposit (FD) schemes of many banks. Investing in it is also very easy. In this you can invest a large amount once a year. You can also invest money in installments as per your convenience. Unlike other private pension plans, there is no stock market risk. Your money is guaranteed by the government. This is an ideal plan for those who feel that they need a steady income every month after retirement. Also, you can convert your savings into monthly income.
Add StuffUnknownas
Preferred Source on Google
The duration of this scheme is 15 years. Similarly, you can continue the account even after 15 years. Additionally, if you do not deposit any new money after 15 years, you will still continue to earn interest (7.1%) on the old amount in your account.
For example, if you invest Rs 5,000 every month, then in 15 years you will have invested a total of Rs 9,00,000. That means Rs 16,27,284 will be deposited in your account including interest. After 15 years, from the interest on this Rs 16.27 lakh, you will get Rs 9,628 every month as pension.
Similarly, if you deposit Rs 12,500 every month for 15 years, you will have Rs 40.68 lakh in your account. Even if you stop investing after retirement, you will get interest of up to Rs 2.88 lakh annually on that Rs 40.68 lakh. That means you will get Rs 24,000 every month. If you wish, you will also have the option to withdraw some amount from that principal once a year.
If you want to join this scheme, you can open an account in any nationalized bank or post office near you. You will have to deposit at least Rs 500 in the account every year.
