Best Ways to Plan Your Retirement Using PPF Maturity Amount

Retirement means the end of the earning period for many unless somebody decides to continue with a part-time or consultant job post-retirement. But, in most cases, retirement means the closure of the earning period and thus, a retirement plan becomes the need of the hour. Investing early in PPF account proves to be one of the safest and practical options for retirement planning well in advance. The invested corpus can, later on, be used to plan retirement. However, in order to ensure the PPF maturity amount is reinvested and is able to reap maximum benefits, you must choose the reinvestment scheme wisely. 

• Senior citizen FD scheme: Senior citizen FD scheme is probably the first choice of retirees. The senior citizen FD scheme is almost like the regular FD scheme if we ignore a few things. This said investment instrument is designed especially for senior citizens and hence, only they can invest. The additional interest over and above the average and the higher TDS exemption limit (Rs 50, 000 annually) are some of the added perks the investor is entitled with.

• Senior citizen savings scheme: Senior citizen savings scheme is a must-have in investment portfolios. As the name suggests, the scheme is available only to senior citizens or early retirees and can be availed from the nearest post-office.

3. Mutual funds: Mutual funds investment can be a good choice given you have a back-up and you’re okay with taking a tad bit of risk with your money. Having said that, if you want to avoid risk totally, you can explore the different mutual funds' options and choose the best fit.

 

Bottom line: Before investing the Provident Fund(PF) maturity amount, make sure to plan and time your investment properly. 

Also, Read Related Article: How to Secure your Retirement with PPF Maturity Amount