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PPF vs SIP with Rs 99,999/year investment: Which can create a larger corpus in 15 years?
- Written by ZeeBiz WebTeam
Published: Zee Business| Updated: Zee Business
PPF vs SIP: Which can create higher corpus? The Public Provident Fund, commonly known as PPF, is a government-backed scheme that offers guaranteed returns. Meanwhile, a Systematic Investment Plan (SIP) is a market-linked investment plan. Both of these are long-term investment options that may help people accumulate wealth for future financial needs like retirement, higher education, marriage, buying a house, etc.
If you are looking for an investment plan, you may consider these plans. However, it should be noted that these investment plans differ from each other in nature.
SIP: It allows investors to invest a fixed amount of money in a mutual fund.
Since it's linked to the stock market, it carries a higher level of risk.
However, there is no lock-in period, and the investor gets options to choose from.
PPF: It offers guaranteed returns and is considered a safe investment plan.
Investors can invest annually and get stable returns.
Maturity and lock-in period are 15 years.
(Disclaimer: Our calculations are projections and not investment advice. Do your due diligence or consult an expert for financial planning.)
1/10
SIP vs PPF: What is the minimum amount to invest?
1/10SIP: Investment in a Systematic Investment Plan can be started with just Rs 500 per month. PPF: The minimum amount to invest in the Public Provident Fund is Rs 500 per financial year.
2/10
SIP vs PPF: What is the maximum amount to invest?
2/10SIP: There is no maximum limit for investing. PPF: A maximum of Rs 1.5 lakh can be invested per year in this investment option.
3/10
SIP vs PPF: What interest rate are these schemes offering in 2026?
3/10The government-backed scheme offers an interest rate of 7.1 per cent. While SIP returns are not fixed and can fluctuate, for these calculations, we are assuming a 12 per cent annual return rate.
4/10
SIP or PPF: Which investment gives better returns?
4/10SIP or PPF - which investment option can create a higher corpus over 15 years with an investment of Rs 99,999 per year? Let's compare them and find out.
5/10
SIP calculation conditions: Rs 99,999/year investment for 15 years
5/10Suppose you are investing Rs 99,999 per year in a SIP mutual fund at a 12 per cent annualised return rate for 15 years. This means you are investing Rs 8,333 each month.
6/10
PPF calculation conditions: Rs 99,999/year investment for 15 years
6/10Suppose you are investing Rs 99,999 per year in PPF at a 7.1 per cent fixed interest rate.
7/10
SIP calculation for Rs 99,999 annual investment: How much will I get after 15 years in SIP?
7/10As per the calculation, your total investment will amount to Rs 14,99,940 in 15 years. The capital gains earned in these years would be Rs 24,65,996. And the total corpus generated at the end of 15 years would be approximately Rs 39,65,936.
8/10
Systematic Investment Plan Returns (with 12% annual interest rate):
8/10Monthly investment: Rs 8,333 Total investment (15 years): Rs 14,99,940 Estimated returns: Rs 24,65,996 Total value: Rs 39,65,936
9/10
SIP vs PPF: What is the corpus after 15 years in PPF with Rs 99,999 investment?
9/10As per the calculation, your total investment will amount to Rs 14,99,985 in 15 years. The interest earned would be Rs 12,12,127. With this, the final corpus will be around Rs 27,12,112.
10/10
PPF Returns (with 7.1% annual interest rate):
10/10Annual Investment: Rs 99,999 Total Investment (15 years): Rs 14,99,985 Estimated Returns: Rs 12,12,127 Total Corpus: Rs 27,12,112
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