PPF Account Holders: Deposit by April 5 to Maximize Returns and Earn Lakhs More

• Deposit Rs 1.5 lakh into your PPF account by April 5 to earn interest for the entire year.
• PPF interest is calculated on the lowest balance between the 5th and the end of every month.
• Depositing by April 5 ensures your money earns interest from April itself, avoiding loss of one month's interest annually.
• Investing Rs 1.5 lakh between April 1-5 yields approximately Rs 10,650 interest annually at 7.1%, compared to Rs 9,763 if deposited on April 6.
• Over 15 years, timely deposits can lead to up to Rs 3 lakh more in savings due to compounding, with total maturity reaching Rs 40.68 lakh versus Rs 37.80 lakh.

Key Questions Answered

How does PPF interest calculation truly work?

PPF interest is calculated on the lowest balance between the 5th and the end of each month. The interest rate for the April-June 2026 quarter is 7.1 percent.

What are other tax-saving investment options?

Tax-saving investment options include Section 80C investments like LIC, PPF, and ELSS, an additional Rs 50,000 in NPS, and health insurance premiums under Section 80D.