PPF Calculation: How much can Rs 9,000 monthly investment in Post Office Public Provident Fund generate in 20, 25, and 30 years?

The Public Provident Fund (PPF) is considered a safe investment option for generating a retirement corpus. Currently, it is offering a fixed interest rate of 7.1 per cent along with tax benefits on investments up to 1.5 lakh in a year. When choosing where to open a PPF account, you can opt for either a bank or a post office, as both offer the same rules and benefits. On that note, let’s find out how much you can generate by investing Rs 9,000 monthly in the Post Office Public Provident Fund for 20,25, and 30 years.

Also Read: PPF for Regular Income: How can you get over Rs 70,000/month tax-free income from Public Provident Fund? 

PPF Account: Post Office vs Bank - Which is better for you?

When choosing where to open a PPF account, you can opt for either a bank or a post office, as both offer the same rules and benefits.

Who can open a PPF account?

An adult who is a resident of India can open a PPF account.
2. Guardian for Minor/Person: A guardian can open a PPF account on behalf of a minor or a person.
Only one PPF account can be opened across the country, either in a post office or a bank.

What are deposit rules in Public Provident Fund?

Minimum and Maximum Deposit: The minimum deposit required in a year is Rs 500, while the maximum deposit allowed in a year is Rs 1.50 lakh.

What are PPF account maturity options?

The account matures after 15 financial years, excluding the financial year of account opening.

What options does depositor have on maturity of account

The depositor can take the maturity payment by submitting the account closure form along with the passbook at the concerned Post Office.

The depositor can retain the maturity value in the account without making further deposits, and the applicable PPF interest rate will still be earned; the payment can be taken at any time, or one withdrawal can be made per financial year.

The depositor can also extend the account for a further block of 5 years, and so on, within one year of maturity, by submitting the prescribed extension form at the concerned Post Office.

What are PPF account withdrawal rules?

Here are the rules regarding withdrawals from a PPF account:

A subscriber can make one withdrawal per financial year, but only after five years from the date of account opening, excluding the year of account opening.

The amount of withdrawal allowed is up to 50 per cent of the balance credited to the account at the end of the fourth preceding year or the end of the preceding year, whichever is lower.

Post office PPF calculation conditions

Investment amount: Rs 9,000
Annualised rate of return: 7.1 per cent
Investment period: 20, 25, 30 years

What will be PPF corpus after 20 years with an investment of Rs 9,000 per month?

Annual investment: Rs 1,08,000 (9,000x12)
Your total investment amount over 20 years will be Rs 21,60,000. The estimated interest earned during this period will be Rs 26,33,967, and the estimated maturity amount will be Rs 47,93,967. 

What will be PPF corpus after 25 years with an investment of Rs 9,000 per month?

Annual investment: Rs 1,08,000 (9,000x12)
Your total investment amount over 25 years will be Rs 27,00,000. The estimated interest earned during this period will be Rs 47,21,771, and the estimated maturity amount will be Rs 74,21,771.

What will be PPF corpus after 30 years with an investment of Rs 9,000 per month?

Annual investment: Rs 1,08,000 (9,000x12)
Your total investment amount over 30 years will be Rs 32,40,000. The estimated interest earned during this period will be Rs 78,84,656, and the estimated maturity amount will be Rs 1,11,24,656.

DISCLAIMER: For information only, consult an advisor before investing