Can I open PPF Account for my wife?
One of the most common questions that small scheme investors ask in India is whether they are eligible to open two PPF account in their name. As per the scheme, you definitely can’t have more than one account in your name. At the same time, if you wish to open another account for yourself, you can have that for your wife and start investing in it as well.
First things first! Yes, you can definitely have a PPF account for your wife if she is a homemaker and become the caretaker of the account. Moreover, you can also open the account of your wife even if she is a working woman, provided she is not claiming the tax benefits of the same account in her income tax returns.
There are several benefits of opening a PPF account in the name of your wife. Some of the most prominent ones are listed below:
- As a matter of fact, if you are left with some additional every month or every year, you can spare that for your wife’s PPF account. This way, you can save more per year and also earn tax benefits additionally on that investment.
- If both you and your wife have PPF accounts, you have double income for your retirement and this way, both of you ensure a better and financially secure old age.
- Even if you are not showing the investments made towards your wife’s PPF account in your income tax returns, you still have the benefit of securing more income that can be later used for both of you or the higher education security of your children.
Opening a PPF account in the name of wife is always a better choice few people exercise since the tax slab for women is a little higher than men and you get additional benefits. Considering the fact that PPF offers the best growth rates of interest and is completely tax exempted, this often comes up as a wise financial planning.
Apart from this, if you have kids, who are dependent on you and you have some more income to save every year, instead of going for any other financial scheme, you can have PPF account under their names and claim the tax benefits out of it. This way, you can also ensure that you accumulated a good wealth for the future of your children by contributing smaller amounts every month and year.