EPFO: Becoming a crorepati is like a dream for a middle class. If you want to fulfill this dream, the best way to make an investment. Long-term investment can easily make you a crorepati. If you are employed, start investing as soon as possible.
The longer you invest, the better returns you will get. Know here about such a government scheme which can make you a guaranteed crorepati in 25 years.
Know how much you will have to invest for it.
You can become a millionaire in 25 years
We are talking about Public Provident Fund i.e. PPF.
Any Indian citizen can invest in the scheme.
You can invest a maximum of Rs 1.5 lakh annually in PPF.
Accordingly, you will have to invest at least Rs 12,500 every month.
At present, 7.1 percent interest is being given on PPF.
If you start investing in this scheme even at the age of 30, you can become a crorepati by the age of 55 and secure your old age.
One advantage of PPF is that the money deposited in it, the interest received and the amount received on maturity are completely tax free. Meaning it is kept in EEE category.
How to become a crorepati
Although the PPF scheme is for 15 years, they can be extended in blocks of 5 years.
If you deposit Rs 1.5 lakh annually in PPF, then deposit it continuously for 25 years.
For it, you will have to get PPF extension done twice.
According to the PPF calculator, you will invest Rs 37,50,000 in 25 years.
You will get Rs 65,58,015 as interest. In this way, after 25 years, you will get a total of Rs 1,03,08,015.
If your salary is Rs 65-70 thousand then annual investment of 1.5 lakh is not a big deal
If you are wondering how to get Rs 1.5 lakh annually for investment, it is not a big deal in today’s time.
The financial rule says that every person should save at least 20 per cent of his income and invest.
Even if you earn Rs 65-70 thousand a month, it is not a big deal.
The 20 per cent of Rs 65,000 is Rs 13,000, you have to save only Rs 12,500 in a month.
In such a situation, you can easily make this investment and add a fund of Rs 1 crore till your retirement age.