After marriage, when life moves in a new direction, many responsibilities come. One of the biggest concerns is the cost of children's education. At present, the cost of education has increased rapidly. School fees, dresses, books-copies, transportation and school programs, all cost a lot per month. In such a case, if some savings plan is made in advance, then these costs do not be burdened.
A special post office plan can be a solution to this problem. In this, on depositing a small amount for a fixed period, you get a large amount of money on maturity, which is sufficient for large expenses like children's education.
The Post Office's Public Provident Fund (PPF) scheme is a reliable option for long -term investment. This plan is safe and also offers good returns. The scheme can invest at least Rs 500 per year and a maximum of Rs 1.5 lakh. The maturity of the scheme is 15 years. That is, if you invest regularly for 15 years, you get a large amount of money on maturity, which can be helpful in costs like children's higher education. Currently, 7.1% annual interest is being offered on the scheme, which is also tax -free. This is the reason why this plan is considered to be especially beneficial for the middle class.
If you save only 70 rupees per day, you can deposit Rs 2,100 a month. Accordingly, you will invest Rs 25,200 a year. If this investment is made continuously for 3 years, the total deposit amount will be around Rs 3.75 lakh. Now if 7.1% annual interest is added to it, you can get about 6.78 lakh rupees at maturity. This amount is very useful when children want to enroll in a large course or college after the standard of 5th or 12th and require a unit amount.
PPF is a government -run plan, so it is completely safe to invest in it. It is not affected by market fluctuations like a bank. In addition, both interest and maturity are in the scope of complete exemption in income tax, that is, the taxpayer also gets tax benefits. This is a double advantage for the savers, on the one hand, large funds are made from regular small savings, and on the other hand tax is also relieved.
This plan is a better option as it helps to prepare timely funds for study costs. Interest rates under this scheme are fixed, which makes it easier for future costs. Investment is completely secure and comes with a government guarantee. Also, the benefit of tax exemption is also available. Most notably, even a strong long -term plan can be made from a small budget, which easily provides future educational costs (Note: The information provided here is only for your information.) (All Image – Canva)
The post office scheme will have a direct benefit of 2 lakh, TAX will also get exemption, click here to know.
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