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Seniors get 20,000 rupees at home every month, know interest and benefits

Seniors get 20,000 rupees at home every month, know interest and benefits

Post Office Senior Citizen Savings Scheme: This scheme by the post office not only offers more than 8% interest but also provides a regular income every month. The government itself guarantees the safety of the investment.

Savings scheme for seniors: Everyone wants to save some of their hard-earned money and invest it in a place where their money is safe and they get high returns. At the same time, some people start investing thinking that they will have a steady income in their old age so that they do not face any financial problems. In these cases, various savings schemes run by the post office are becoming quite popular. One of them is the Post Office Senior Citizen Saving Scheme (Post Office SCSS Scheme), which is specially designed for senior citizens and gives an annual interest of more than 8 percent on the investment, i.e. more than bank FD.

High interest rate of 8.2 percent

Small savings schemes are being run in different categories for every age group at the post office, with the government itself guaranteeing safe investment. Talking about the Post Office Senior Citizen Savings Scheme, it not only gives more interest than FDs in all banks but also provides a regular income and by investing in it, one can earn up to Rs 20,000 per month. Talking about the interest available in POSSC, the government is offering a whopping interest of 8.2 percent to those who invest in it from January 1, 2024.

Start investing with just Rs 1000

Post Office Senior Citizen Savings Scheme is also included in the list of most favorite schemes of the post office in terms of regular income, safe investment and tax exemption. By opening an account, you can start investing with a minimum of Rs 1,000. At the same time, the maximum investment limit in this Senior Citizens Savings Scheme is fixed at Rs 30 lakh. This post office scheme can prove to be very helpful in staying financially prosperous after retirement. In this, a joint account can be opened with any person aged 60 or above or with a spouse.

The term of the scheme is 5 years

The investor in Post Office Senior Citizen Scheme has to invest for 5 years. However, if this account is closed before this period, then the account holder has to pay a penalty as per the rules. You can easily open your SCSS account by visiting any post office. Under this scheme, relaxation in age limit has also been granted in some cases. For example, the age of a person taking VRS can be more than 55 years and less than 60 years at the time of opening the account, whereas retired defence personnel can invest at the age of more than 50 years and less than 60 years, but for this also some conditions have been laid down.

Higher returns than bank FD

While on the one hand 8.2 percent interest is offered on Post Office Senior Citizen Saving Scheme, on the other hand all the banks in the country are offering only 7.00 to 7.75 percent interest to senior citizens on making FD for the same period i.e. 5 years. If we look at the FD rates of banks, the country’s largest bank SBI is giving 7.50 percent annual interest to senior citizens on five-year FD, ICICI Bank is giving 7.50 percent, Punjab National Bank (PNB) is giving 7 percent and HDFC Bank is giving 7.50 percent.

Tax benefits up to Rs 1.5 lakh

In this scheme of the post office, the account holder also gets the benefit of tax exemption. A person investing in SCSS gets an annual tax exemption of up to Rs 1.5 lakh under Section 80C of the Income Tax Act. There is a provision to pay the interest amount every three months in this scheme. In this scheme, interest is paid on the first date of every April, July, October and January. If the account holder dies before the maturity date, the account gets closed and the entire amount is transferred to the nominee named in the documents.

This is how you get an income of Rs 20,000 per month

As mentioned above, in this government scheme an investor can start investing with just Rs 1000 and a maximum of Rs 30 lakh can be invested in it. The deposit amount is fixed in multiples of 1000. Now if we look at the calculation of earning Rs 20,000 regularly from this scheme, then at an interest rate of 8.2 percent, if a person invests around Rs 30 lakh, he will get an annual interest of Rs 2.46 lakh and if we calculate this interest on a monthly basis, it comes to around Rs 20,000 per month.