How is interest calculated on PPF?
The interest rate
in your PPF account is calculated on the lowest balance between the fifth and
the last day of the month. Hence, to maximise your earnings, try making
deposits between the 1st and the 5th of the month. Interest is compounded
annually and credited on March 31 each year.
Related Articles
Interest
Any interest income received from saving bank account, FD/RD, income tax refund or any other mode. You can avail the benefit of Rs 10,000 U/S 80TTA from saving bank interest if age is below 60. If you are a senior citizen u can avail the benefit of ...
What is PPF?
Public Provident Fund (PPF) scheme is a popular long-term investment option backed by the Government of India which offers safety with returns in the form of interest, which is compounded annually.
What are the tax advantages of investing in PPF?
PPF enjoys EEE status when it come to tax. This means that PPF is exempt from tax on all its 3 components- a) initial investment, b) interest, c) maturity amount
How is ELSS different from other tax saving options like PPF & NSC?
ELSS is different from other tax saving investments in many ways. While most of them are debt instruments, ELSS is equity based. It has a relatively lower lock-in than schemes like PPF, NPS, etc. However, being market linked, it takes on more risk to ...
How much can you invest in PPF?
You can invest minimum Rs. 500 to maximum Rs. 1,50,000 in PPF in one financial year.