PPF Calculator : A substantial sum can be generated by wisely investing in a PPF account. What makes it special is that the government provides interest on the funds placed in the account. Regardless, today we will share a formula for investing in a PPF account that can help you become a millionaire. Jitendra Solanki, a tax and investment expert registered with SEBI, stated that a PPF account has a maturity period of 15 years. A PPF account can be extended by an investor for an additional 5 years without making any withdrawals.
Experts said that when increasing your PPF account, you ought to do so with a new investment choice. This will provide interest on both the PPF maturity sum and fresh investment. If an individual takes this action, he can invest over one crore in his PPF account upon retirement.
This is the calculation
If an earning individual starts a PPF account at age 30 and renews his account three times, he will have the chance to invest in a PPF account for 30 years. If an investor contributes Rs 1.50 lakh annually to a PPF account, the total maturity amount after 30 years will be Rs 1,54,50,911, which is roughly Rs 1.54 crores. This calculation relies on the prevailing PPF interest rate, which is 7.10 percent. As per the PPF calculator, the investor’s total investment over these 30 years amounts to merely Rs 45 lakh (Rs 1.5 lakh x 30). Meanwhile, the total interest amounts to Rs 1,09,50,911.
An investor may open a PPF account at any bank or the closest post office by making a deposit of Rs 100. Nevertheless, it is necessary to invest at least Rs 500 annually in one’s PPF account.
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