If you are not investing your money today, in PPF, EPF, bank FD, equity or something else, you will probably repent tomorrow. In fact, if you do not start investing very early in your life, you will rue the fact as you may well have missed the opportunity to turn yourself into a crorepati. Making money is a fact of life and if anyone is ignoring it, they are doing it at their peril. We are talking about investments in the Public Provident Fund and its crucial role in build a huge amount of wealth for PPF account holders. And notably, PPF calculator ‘baba’ shows how money can be made to earn more money for you. Here we show you how the very high PPF interest rate can easily turn your Rs 5000 investment into a huge over Rs 1 crore amount. Check PPF calculator numbers below.
One trick that everyone should adopt is to start their PPF account as early as possible. The assumption we take here is that the PPF account was started at the age of 20 by the subscriber. The PPF period is for 15 years, but the subscriber can keep on extending it in batches of 5 years over and over again.
Another most important factor to look at is the PPF interest rate. The same has been set at 7.1% by the government. Notably, this is as high as the interest available in bank FDs. However, PPF interest carries the benefit of being tax free in the hands of the members unlike bank FDs and other investments.
PPF calculator for extended period:
PPF starting age: 20 years
PPF investment amount: Rs 5000
PPF investment frequency: Monthly
PPF investment tenure: 40 years
We are assuming that this PPF account holder is a very dedicated saver and he will not have withdrawn even a rupee from it and that the payment was continued in a disciplined manner throughout the years.
After the PPF calculator monthly number crunching was done, the massive amount that the high 7.1% interest rate delivered in his account is Rs 1,31,63,864! And that too from a starting base of Rs 5000. It will power crorepati dreams.
Clearly, PPF interest rate is an investor’s delight especially as it carries no risk and the amount is guaranteed by the government itself. That is something even bank FDs cannot claim.
Also, do remember, the earlier you start your PPF account, the more money you will earn. PPF accounts can be opened in children’s names, but they will be linked to parents.
Let the PPF calculator tell you that you can turn your Rs 5000 into a massive sum of Rs 1,31,63,864. Yes, turn you into a crorepati. Just check PPF interest rate. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
