Blog 2021- A Deposit of Rs 12,000 monthly to get Rs 1.03 cr on maturity!!

Easy money is no money, said who?

Now you have an easy way to earn where by spending just a few thousand rupees monthly can make you a *crorepati* in couple of years...!!

You read it right! Keep reading below and you will find out how!!

According to an article published by Zee News on 06th November 2021, they have mentioned about an age old scheme launched by the Post Office in the form of Public Provident Fund (also known as PPF in short) where you can invest your hard earned money in a risk free way and earn a decent percentage of interest amount. Which is way more safer as compared to other investment ideas such as mutual funds and the stock markets.

PPF is a government programme hence, you can be sure that you will get a good return on your investment. These post office savings plans have maturities ranging from one to fifteen years.

Let's talk about this Public Provident Fund (PPF) in detail, if you have a long-term investment strategy.

What is a Public Provident Fund (PPF)?

As per an article published by cleartax.com (they have a pdf option for download too, click here), Public Provident Fund (PPF) scheme is a long term investment option that offers an attractive rate of interest and returns on the amount invested. The interest earned and the returns are not taxable under Income Tax. One has to open a PPF account under this scheme and the amount deposited during a year will be claimed under section 80C deductions.

PPF- An age old Scheme launched by the Post Office

This post office savings scheme offers a 7.1 percent annual compounding interest rate. This scheme has a 15-year maturity, but it can be extended for another 5 years after that. You can carry the fund forward if you don't need it at the end of the 15-year period. You will get greater compounding benefits as a result of this. 

The maximum amount that can be placed in this saving scheme is Rs 1.50 lakh each year. Instead of depositing Rs 1.50 lakh once a year, you can make monthly deposits of Rs 12500.

The interest and maturity income earned in this account is tax-free.

On an investment of Rs 22.5 lakh in the savings scheme, you will receive Rs 18 lakh in interest.

For better understanding, here is the breakdown of the maturity amount that you will receive:

Maturity: 15 years

Monthly investment: Rs 12,500

1 year Investment: Rs 1.50 lakh

Total investment in 15 years: Rs 22.50 lakh

Annual Interest rate: 7.1 percent

Maturity amount: Rs 40.70 lakh

Interest benefit: Rs 18.20 lakh

If you deposit Rs 12,500 for 25 years

Monthly Investment: Rs 12,500

Total Investment in a year: Rs 1.50 lakh

Total Investment in 25 years: Rs 37.50 lakh

Annual Interest Rate: 7.1 percent

Maturity Amount: Rs 1.03 crore

Interest Benefit: Rs 62.50 lakh

So, what are you waiting for? Visit your neares post office and open a PPF scheme to secure your retirement right from this day.

Kuch to samajhdaari ka kaam karlo 2021 khatam hone se pehle...


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