A savings scheme is run in the post office keeping senior citizens in mind. The name of that scheme is Senior Citizen Savings Scheme (SCSS). This scheme offers interest at the rate of 8.2%. Any Indian citizen above 60 years of age can invest in this scheme.
Retired employees above 55 years of age and below 60 years of age can invest in this scheme. Retired defense personnel above 50 years of age and below 60 years of age can invest in this scheme. However, the condition for both of them is that they have invested within 1 month of receiving retirement benefits.
Higher interest than FD?
Post offices offer a variety of savings schemes for people of all ages, which are considered safe due to government guarantee. Interest rates on these schemes are often higher than the FD rates of many banks. The post office also has schemes for senior citizens to ensure regular income. Post Office Senior Citizen Savings is one such scheme, which is offering an attractive interest rate of 8.2%.
Start investing from Rs 1000
The Senior Citizen Savings Scheme of the post office 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 get a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income Tax Act.
Maturity period
The investment period is 5 years. There is a penalty for premature closure. You can easily open an SCSS account in any post office. Age limit is relaxed in some cases. ..
How to get Rs 20,000 pension?
The minimum investment in SCSS scheme is Rs 1,000, and the maximum is Rs 30 lakh. If you invest Rs 30 lakh at 8.2% interest rate, you will get Rs 2.46 lakh annually, which is about Rs 20,000 per month. Interest is paid on quarterly basis on April 1, July, October and January. If the account holder dies before maturity, the account is closed and the amount is given to the nominee.
