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Save 2000 monthly in PPF for your childs future and get 1.08 crore
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News18•16-10-2026, 13:56
Save 2000 monthly in PPF for your childs future and get 1.08 crore
- •The Public Provident Fund (PPF) is a safe central government savings scheme ideal for securing childrens future.
- •Starting to save Rs 2000 per month from the childs birth year yields maximum benefits through compound interest.
- •An investment of Rs 12 lakhs over 50 years grows into a corpus of more than Rs 1.08 crore at maturity.
- •A PPF account can be easily opened in the name of a minor child at any major bank branch or post office.
- •Investments up to Rs 1.50 lakh per year qualify for tax deductions under Section 80C of the Income Tax Act.
Key Questions Answered
By starting a Public Provident Fund account from the birth of a child and continuously saving Rs 2,000 per month for 50 years at the government's 7.1 percent interest rate, compound interest helps accumulate a fund exceeding Rs 1.08 crore.
A PPF account for a minor can be opened by parents or legal guardians at any post office or major bank branch, with only one account allowed per child. The guardian operates the account until the child turns 18, after which it must be converted into a major account.
Investments made into a PPF account up to Rs 1.50 lakh per year are eligible for tax deductions under Section 80C of the Income Tax Act.
