New Delhi: The Post Office Senior Citizen Savings Scheme (SCSS) offers a guaranteed return on investment to individuals aged 60 years and above who can invest a minimum of Rs 1,000 up to Rs 30 lakh. Under this scheme, Joint accounts are allowed with a spouse only. The post office offers an 8.2 per cent interest rate per annum on SCSS. Know how much you can make on investment in SCSS. Let us tell you how much return you will get on Rs 50,000, 1 lakh, 5 lakh, Rs 10 lakh, Rs 15 lakh and Rs 20 lakh investments.
How senior citizens can save tax?
How much can you invest in SCSS?
Senior citizens can invest between Rs 1,000 and Rs 30 lakh in SCSS, the Post Office scheme for senior citizens. The scheme can be started with an initial investment of up to 5 years. SCS investment tenure can be extended by 3 years from the date of maturity.
SCSS interest payment schedule
Post Office Senior Citizens Savings Scheme interest is compounded every quarter and credited according on the following dates:
Quarter
Date
1
June 30
2
September 30
3
December 30
4
March 31
Failure to claim interest in any quarter will result in forfeiting the additional interest. Interest can be auto-credited to a savings account.
SCSS quarterly interest and maturity amount
An interest rate of 8.2 per cent is offered on the Post Office Senior Citizen savings scheme. Interest is paid on a quarterly basis i.e. after every 3 months. Here is a table showing how much investors earn on in Rs 50 thousand, 1 lakh, 5 lakh, Rs 10 lakh, Rs 15 lakh and Rs 20 lakh investments.
Amount in ₹
Total Interest in 5 years
Quarterly Interest
Maturity Amount
50000
₹ 20,500
₹ 1,025
₹ 70,500
1 Lakh
₹ 41000
₹ 2,050
₹ 1,41,000
2 Lakh
₹ 82,000
₹ 4,100
₹ 2,82,000
3 Lakh
₹ 1,23,000
₹ 6,150
₹ 4,23,000
4 Lakh
₹ 1,64,000
₹ 8,200
₹ 5,64,000
5 Lakh
₹ 2,05,000
₹ 10,250
₹ 7,05,000
10 Lakh
₹ 4,10,000
₹ 20500
₹ 14,10,000
20 Lakh
₹ 8,20,000
₹ 41,000
₹ 28,20,000
30 Lakh
₹ 12,30,000
₹ 61,500
₹ 42,30,000
How are SCSS earnings taxed?
Interest earned under the Post Office Senior Citizen Savings Scheme is taxable. If the total interest exceeds Rs 50,000 in a financial year across all SCSS accounts, income tax is applicable. Submitting Form 15G/15H can exempt TDS deduction if accrued interest does not exceed Rs 50,000.
Senior Citizen FD interest rates
Premature Closure:
The SCSS can be closed prematurely at any time, subject to these conditions:
If closed before 1 year, no interest is payable.
If closed between 1 to 2 years, 1.5% of the deposit will be deducted.
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Post Office Scheme for Senior Citizens: In this scheme, senior citizens can make a lump-sum investment of Rs 1,000-30 lakh. Check quarterly returns and maturity amount. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
