look news india
Senior citizens have a lifetime of savings in the form of retirement funds. They do not want to take any risk in this. This is why they want to invest their hard-earned money in a place where their money is safe and they get guaranteed interest on it. This is why most senior citizens prefer to invest in bank FD.
But if you deposit your savings in Post Office Senior Citizen Savings Scheme (SCSS) for just 5 years instead of bank FD, then your money will be 100% safe and you will also be able to avail better interest rates on it. At present, Senior Citizen Savings Scheme is giving interest at the rate of 8.2 percent. Know the special things related to SCSS.
What is the maximum amount you can deposit?
Any senior citizen can invest up to Rs 30,00,000 in SCSS, while the minimum investment limit is Rs 1000. In this scheme, interest is given on the deposited amount on quarterly basis. This scheme matures after 5 years. Any person whose age is 60 years or more can invest in this scheme. At the same time, civil sector government employees taking VRS and people retiring from defense are given age relaxation with certain conditions.
You can earn Rs 12,30,000 just from interest
If you want, you can earn up to Rs 12,30,000 from Senior Citizen Savings Scheme only through interest. But for this you will have to deposit Rs 30,00,000 in SCSS account. If you deposit Rs 30,00,000 in this scheme, you will get interest at the rate of 8.2 percent in 5 years. According to SCSS calculator this interest will be Rs 12,30,000. That means after 5 years you will get the maturity amount of Rs 42,30,000.
If you want to continue the benefits of this scheme even after 5 years, you can extend the account period for three years after the deposit matures. It can be extended within 1 year of maturity. The extended account earns interest at the rate applicable on the maturity date. SCSS offers the benefit of tax exemption under Section 80C.