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Invest as low as Rs 1,000 in PPF and get over Rs 18 lakh, here’s how

The Public Provident Fund (PPF) is one of the most popular long-term investment options in India. Millions of Indian citizens in the country opt for PPF to earn bigger interests and also be secure. PPF I is a government-backed small saving scheme designed for the citizens of India to secure their future after retirement. It is also popular because it is tax-free.

Currently, PPF is giving the highest interest rates among any other private or public sector banks. The rates are at 7.1% which is significantly higher than any FD interest rates.


According to the PPF guidelines, you can invest in your PPF account for 15 years, however, if you wish to extend it past 15 years, you can extend it for as long as you want in terms of 5 years by filling a PPF Account Extension form.

Now, if you put Rs 33 every day in your PPF account, your monthly investment will be Rs 1,000 approximately. So in a year, you will invest Rs 12,000. If you start doing this from the age of 25 to the age of 6 i.e. 35 years, you will receive up to Rs 18 lakhs at the time of your retirement. This amount is tax-free and you will get up to 14 lakh interest on your invested amount. You will invest roughly Rs 4.19 lakh in 25 years.


However, if you are not able to invest this amount of money, PPF has an extremely lower limit which is Rs 500 per year. Investors must deposit Rs 500 every year minimum to keep their PPF account going.

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