PPF Investment: Contribute ₹12.5K Per Month and Get ₹2Cr Return in 20 Years

For investors exploring a safe way to park their hard-earned money as an investment, a Public Provident Fund or PPF serves as the best option to secure their financial future post-retirement. PPF scheme is a highly favored investment option among low-risk-bearing long-term investors. It is well-known for its reliability and high returns among citizens of different classes.

PPF Investment Contribute

PPF Investment: What Makes it Unique from Others?

Public Provident Fund, also known as PPF in short, is one of the government-backed small savings schemes. Yielding high returns, the scheme offers long-term prosperity, especially for your retirement. Falling under the class of Exempt-Exempt-Exempt or EEE, the PPF scheme offers a reliable retirement option.

Who is Eligible to Invest in PPF?

Individuals or guardians on behalf of minors can apply for a PPF account with a minimum investment amount of ₹500 and an upper cap limit of up to ₹1.5 Lakh. The government had made this scheme accessible to a large segment of investors.

How You Can Get ₹2Cr By Investing ₹12.5K monthly?

Here’s a simpler version: If you invest Rs 12,500 per month or Rs 1.50 lakh annually in a PPF account, you could end up with around Rs 2.27 crore when it matures. Just keep in mind, that PPF accounts have a 15-year maturity period, but you can extend them in blocks of five years. If you want to go beyond 20 years, you’ll need to fill out Form 16-H.

Also read:

NPS vs PPF: Exploring the Best Investment Options

Be Consistent and Taste the Fruit of Patience

Stretching a PPF account beyond 20 years can build up substantial wealth. For instance, if you invest Rs 12,500 monthly or Rs 1.50 lakh annually, you could end up with about Rs 2,26,97,857, or close to Rs 2.27 crore, considering the current PPF interest rate of 7.10 percent.

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Rishabh Sharma

Rishabh is an experienced content writer and editor, he is working for Viralbake to cover a diversified range of categories. His articles mainly focus on providing information, being a travel guide, educating others, and also making people aware of technology, after all, he is a technophile. When not writing he can be found gaming, watching movies, and travelling.

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