Public Provident Fund: Every Indian wants to be a millionaire, yet the question of how to do so remains unanswered. Everyone searches for an investment that allows them to invest less money and obtain higher returns. PPF is a kind of investment where investors can put ordinary money and potentially become millionaires. It is essential that you begin investing in PPF at a young age if you want to increase your profits. You won’t be able to get the biggest returns until then.
Investment Amount and Duration
If you invest Rs. 12,500 each month for 15 years in a PPF account. Thus, upon maturity, you will receive a total of Rs 40.68 lakh. You will invest a total of Rs 22.50 lakh in this, and you will receive Rs 18.18 lakh in interest.
An investment of Rs 12,500 for a single day equals Rs 417. For the next fifteen years, this computation has been done using an annual interest rate of 7.1%. When the interest rate fluctuates, the maturity amount could also. PPF interest is offered on a compounding basis.
Tax Exemption under Section 80C
The PPF scheme’s primary benefit is its exemption from taxes under Section 80C of the Income Tax Act. You can receive a refund on your investment up to Rs 1.5 lakh under this scheme. Furthermore non taxable is the interest earned on PPF. The government’s encouragement of small savings plans is crucial. It is therefore entirely safe to buy in.
Keep watching our YouTube Channel ‘DNP INDIA’. Also, please subscribe and follow us on FACEBOOK, INSTAGRAM, and TWITTER