Senior Citizen Saving Scheme (SCSS) Update: A saving scheme designed for senior citizens is run by the post office, called the Senior Citizen Saving Scheme (SCSS). This scheme offers an interest rate of 8.2%. Any Indian citizen above 60 years of age can invest in this scheme. Additionally, retired employees aged between 55 and 60 years are also eligible to invest. Similarly, retired defence personnel between the ages of 50 and 60 years can invest, provided they do so within one month of receiving their retirement benefits.
Higher Interest than FD?
Post offices offer a variety of savings schemes, which are considered safe due to government guarantees. The interest rates on these schemes are often higher than the FD rates offered by many banks. The post office also provides schemes specifically for senior citizens to ensure a regular income. The Post Office Senior Citizen Savings Scheme (SCSS) is one such scheme, offering an attractive interest rate of 8.2%.
Start Investing from Rs 1,000
The Post Office Senior Citizen Savings Scheme is popular for regular income, safe investments, and tax benefits. You can start investing with a minimum of Rs 1,000. The maximum investment limit is Rs 30 lakh. Investors also receive a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income Tax Act.
Maturity Period
The investment period for this scheme is 5 years. A penalty is applicable for premature closure. You can easily open an SCSS account at any post office. The age limit is relaxed in certain cases.
How to Get Rs 20,000 Pension?
The minimum investment in the SCSS scheme is Rs 1,000, with a maximum limit of Rs 30 lakh. At an 8.2% interest rate, if you invest Rs 30 lakh, you will earn Rs 2.46 lakh annually, which amounts to approximately Rs 20,000 per month. The interest is paid quarterly in April, July, October, and January. In case the account holder passes away before maturity, the account is closed, and the amount is paid to the nominee.
How to Apply for SCSS Online:
- Visit India Post Website
Go to India Post’s official website. - Login/Register
Create an account or log in. - Select SCSS Scheme
Choose Senior Citizen Savings Scheme (SCSS). - Fill Form & Upload Documents
Enter your details and upload the required documents. - Enter Investment Amount
Specify your investment (min. Rs 1,000, max. Rs 30 lakh). - Payment & Confirmation
Make payment and receive confirmation.