Becoming a millionaire is everyone’s dream. But not all people become millionaires. If you want to become a millionaire through your hard work then this post office scheme can be useful for you. In this scheme, the government takes full guarantee of your money. Which keeps your money completely safe. Yes, you can become a millionaire by investing in Post Office Public Provident Fund Scheme. He gets good interest due to the government scheme. Along with this, you get tax breaks on various occasions.
- 12500 has to be invested every month
- Investment in the Public Provident Fund Scheme of the Post Office is beneficial
- 1 crore rupees will be received this year
How much can you invest?
Under this scheme, you can invest a maximum of Rs 1.50 lakh per year. A person cannot invest more than this limit in any financial year in this scheme. According to the old system of income tax, the investment in this scheme will give you an annual income of Rs. Investment up to 1.50 lakh gets tax exemption. Apart from this the scheme also gives you benefits under EEE.
The interest rate on PPF
Government fixes the interest rate every quarter for many other schemes including PPF. The interest rate on PPF for April 2020 to June 2020 is 7.1%. The maturity period of the PPF account is 15 years. However, any person can extend for five years each on more than one occasion. For this, he has to apply to the concerned bank and post office. For this, you have to fill out Form 15H in the year of maturity.
To become a millionaire, you have to invest this much every month
You can invest 12,500 rupees per month i.e. 1.5 lakhs per annum. According to this, if you invest continuously for 15 years, then at an interest rate of 7.1%, your maturity amount after 15 years sits around Rs 42.60 lakh. However, if you increase the investment twice i.e. for ten years then after 25 years your maturity amount can be Rs 1 crore.