Post Office Public Provident Fund Account: Employees who are nearing their retirement age, here is an important update for you. To lead a better retired life and to manage your expenses well, here is one Post Office scheme which will help you to great extent. Salaried employees can get the maximum benefit of pension facility from this scheme. If you are an employee in the unorganized sector and know that you will face difficulties in managing daily expenses at the time of retirement or old age, then you mist open an account on Indian Post’s PPF (Public Provident Fund) scheme which will offer you good return and tax benefits.
Post Office Public Provident Fund Account: Who can open
As part of the plan of the post office, any Indian citizen who is an adult can open his account. Apart from this, the account of a minor person can also be opened by his guardian.
Post Office Public Provident Fund Account: How much amount to invest
You can start investing in this post office scheme with as little as Rs 500 annually. At the same time, the maximum amount of investment under this is Rs 1.50 lakh. Under this, the depositors are also eligible for deduction under section 80C of the Income Tax Act.
Post Office Public Provident Fund Account: Interest rate
At present, on investing under this scheme, the depositor gets the benefit of 7.1 percent interest rate annually. The interest is credited to the depositor’s account at the end of each financial year. Apart from this, the interest earned under this is outside the purview of income tax.
Post Office Public Provident Fund Account: Maturity period
You can invest under this scheme for 15 years, after which your account will mature. However, the year in which the account was opened is not counted.
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