Post Office TD Calculation: The government has increased the interest rates of select post office time deposits for the July-September 2023 quarter. In this, deposit rates have been increased for 1 year and 2 years.
Post Office TD Calculation: The government has increased the interest rates of Time Deposit in Small Savings Schemes of the Post Office from July 1, 2023. Post office time deposit is a superhit scheme for guaranteed returns without taking any risk. In this, lump sum deposits can be made for maturity of 1, 2, 3 and 5 years. In this scheme, interest rates are paid on an annual basis. However, the interest is compounded on a quarterly basis.
Post Office Time Deposit Account: Increase in interest rates
The government has increased the interest rates on select post office time deposits for the July-September 2023 quarter. Now 6.90 percent interest will be given instead of 6.80 percent on the 1-year time deposit of the post office. At the same time, the interest rate on 2-year time deposit has increased from 6.9 percent to 7 percent. Apart from this, 7 percent interest is being received on 3-year deposits and 7.5 percent on 5-year deposits. The new interest rates are applicable from 1 July.
How much profit increased on a deposit of ₹ 10 lakh
According to the Post Office TD Calculator, the maturity amount will be Rs 10,70,806 for a deposit of Rs 10 lakh for 1 year at the rates applicable on July 1 (6.9%). That is, Rs 70,806 will be earned from interest in 1 year. Whereas at the old rates (6.8%), the maturity amount would have been Rs 10,69,754. In this the income from interest is Rs 69,754.
Whereas, at the new rates (7%), the maturity amount on a time deposit of Rs 10 lakh for 2 years will be Rs 11,48,882. In this, there will be an income of Rs 1,48,882 from interest. Whereas, at the old rates, the maturity amount would have been Rs 11,46,625 and the interest income would have been Rs 1,46,625.
Post Office TD: Quarterly review of interest rates
Single account and joint account are also opened under post office time deposit. Maximum 3 adults can be included in the joint account. This account can be opened with a minimum of Rs 1000. After this you can invest in it in multiples of Rs.100. There is no investment limit in Post Office Time Deposit. The Finance Ministry reviews the interest rates on small savings every quarter.
The benefit of tax exemption is available on 5 years FD in the post office. Tax deduction can be claimed on investment up to Rs 1.5 lakh under section 80C of income tax. Keep in mind here that the amount received on maturity in FD is taxable.
