Right here is the fast cash to double the cash from PPF, Know all of the important issues associated to this scheme – double your cash by investing in VPF as in comparison with PPF in lesser time

If you are looking for a new investment option, the Voluntary Provident Fund (VPF) can prove to be a good option for you. This scheme offers more interest than the public provident fund (PPF). On the other hand, your money invested in it doubles before 9 months of PPF. You do not need to open an account separately to invest in a VPF. Apart from this, the interest paid is also tax-free under the 80C. Let's know everything about this scheme … (Read also: This mistake about a PF account you are not doing, such as sitting away from home like this)

Learn what VPF- The Voluntary Provident Fund (VPF) is a scheme of the Employees Provident Fund (EPFO). Under this scheme, the beneficiary employees can contribute any part of their salary to the Voluntary Provident Fund account. This contribution should be higher than the maximum limit of 12 per cent required by the government. Tell you that the company is not obliged to contribute any amount on behalf of VPF.

No separate account for investment- VPF does not need to open separate account. An employee can pay 100% contribution in his basic salary and DA in VPF. The interest rate on this will be similar to the EPF and this amount will be credited to the EPF scheme, because there is no separate account for the VPF. (Read also: Rupees 50 thousand rupees only once, earning up to 10 years in lakhs)

Higher interest from PPF on VPF Voluntary Provident Fund is getting more interest on PPF than this time. 8% on PPF, 8.65% interest is available on VPF. Private companies have also made VPF online, so the investment is easy for you. You can minimize your investment in it and you can turn it off anytime. Although money is locked in it (Read also: Remember the account opened in the PPF, this date! Or else the profits will fall)

How much can invest- In the PPF, where you can invest only up to a maximum limit of 1.50 lakhs in a year. There is no limit to investing in the VPF. How much can you invest in this

When can you withdraw money- You can only withdraw money from it when you retire or leave a job.

Find out when this formula will be double money- This special rule of finance is rule of 72. Experts consider this to be the most accurate rule, which determines how long your investment will be double. You can understand this as if you invested in PPF and you get 8% interest here annually.
In this case, you have to give a portion of 8 in 72 under rule 72.
– 72/8 = 9 years, i.e. your money in PPF will double in 9 years.
While the interest rate at the VPF is 8.65 percent. You have to divide up to 72 in 8.65. 72 / 8.65 = 8.32 years, that means your money in the VPF will be doubled in 8.32 years. This means your money in the VPM will be double before 9 months of PPF.

Read also: Which form to fill income tax returns, use here!

One click and news itself will come running on you, subscribe News 18 Hindi WhatsApp updates