Post Office SCSS: How good it would be if you don’t have to depend on anyone else for money in old age. For this, it is important to make safe investments for your hard-earned money.
Post Office SCSS: How good it would be if you don’t have to depend on anyone else for money in old age. For this, it is necessary to make safe investments for hard-earned money. There is a great scheme of the post office. In this, you get safe and guaranteed returns on investment. This is the Senior Citizen Savings Scheme (SCSS).
The most special thing about this scheme is that it is a central government sponsored scheme, in which investors get tremendous returns on lump sum deposits, which is more than bank FD. Let us tell you that currently 8.2% annual interest is being offered in this saving scheme, which also changes every year.
The scheme is very special for the elderly
Post Office SCSS is especially for people above 60 years of age. This scheme is also for those who have taken VRS. Currently, 8.2% interest is being given on the scheme. Senior citizens can earn Rs 10,250 every quarter from interest only on a lump sum deposit of Rs 5 lakh in this scheme. In 5 years, you will earn up to Rs 2 lakh only from interest. Let us understand this through calculation…
Post Office SCSS Calculation
Lump sum deposit amount: Rs 5 lakh
Deposit period: 5 years
Interest rate: 8.2%
Maturity amount: Rs 7,05,000
Interest income: Rs 2,05,000
Quarterly income: Rs 10,250
Many benefits of Post Office SCSS
- This saving scheme is a small saving scheme supported by the Government of India. It is considered one of the reliable and safe options for investment.
- Under Income Tax Act Section 80C, investors get the benefit of tax exemption up to Rs 1.5 lakh every year.
- An interest rate of 8.2% is available every year, which is much better than other investment options based on risk factors.
- The account of this post office scheme can be transferred to any center in the country.
- Under the scheme, interest is paid every 3 months. Interest is credited to the account on the first day of April, July, October and January every year.
How to open an account for SCSS?
To open an account for this, you have to fill a form in any post office or government/private bank. Along with the form, 2 passport size photographs, identity proof and a copy of other KYC documents have to be submitted with the form. Another advantage of opening a bank account is that the interest received on the deposit can be deposited directly in the bank account. Account statements are sent to the depositors through post or email.
