Public Provident Funds have grown into the most trusted and safest bet for people who wish to save money. Introduced in 1968, it aims to encourage small savings among Indians by offering reasonable returns. People who wish to open a PPF account have no age requirements. Even infants can have their own accounts, but the account has to be operated by an adult, also known as guardian, until the child turns 18 years of age, after which the child can operate the account.

Public Provident Fund for Minors

Opening Public Provident Fund accounts for minors is a great way to start saving money following the birth of a child. For instance, say you have a baby and open a Public Provident Fund account in its name. You will have to invest a certain sum every year – say Rs. 2 lacs in this case. By the time your child is midway through adolescence, the amount of money in the account will have risen to around Rs. 30 lacs, which can then be used to fund their higher studies. But if they don’t need the money immediately, the account can remain as is and you can continue to invest more money, thus increasing savings for future commitments or emergencies.

Since contributions towards Public Provident Fund are made on an annual basis, it does not burn a hole in the investors’ pockets. And the promise of attractive returns makes it a worthy investment option.

Is there any particular age to start a PPF account?

PPF accounts can be started at any time. Given that there is no age limit to open PPF account, all that matters is that contributions are made at regular intervals of time so as to earn healthy returns in the future. However, it is advised that interested individuals start opening accounts sooner rather than later, because opening an account of this nature early on in the life of an individual opens up the potential for a more secure future.

In case of children, parents are recommended to start a PPF account as soon as the baby is born. For adults who have completed education and do not have a PPF account, the best time to open one would be when you get your first job. PPF accounts can also be opened after your marriage if you wish to gain access to a sustained investment option for the future. With that being said, there is no particular time that can be adjudged as right so far as Public Provident Funds are concerned. Individuals can open an account at any time they find convenient.