Investing In Senior Citizen Saving Scheme Can Prove Helpful In Old Age: You Can Earn Rs 20,500 Every Month, Know Its Complete Mathematics

By investing a lump sum amount in the Post Office Senior Citizen Saving Scheme Account (SCSS), you can arrange regular income for yourself even after retirement. At the moment it is receiving 8.2% annual interest.

Interest is available on this scheme every three months. That is, in three months you can get a maximum interest of up to Rs 61,500, that is, Rs 20,500 every month.

You can invest a maximum of Rs 30 lakh

Under the Post Office Senior Citizen Saving Scheme, an account can be opened for just Rs 1000. You can invest a maximum of Rs 30 lakh in this scheme. This scheme is yielding 8.2% annual interest.

If you invest up to Rs 30 lakh in it, you can get an annual interest of Rs 2,46,000 at the rate of 8.2 per cent. Since the interest under this scheme is received on a quarterly basis, if it is divided into three months each, it will be Rs 61,500. That is, every three months, you will have 61,500 rupees in your account.

The interest period is five years

The interest period of this scheme is five years. That means you will have to invest in this scheme for five years. However, you can close the account even before five years, but you will have to pay a fine for doing so. Apart from this, you can extend the account for three years as long as you want. If you don’t want to do this, you can withdraw your 30 lakhs yourself.

The interest amount will come to your account. Interest is available on quarterly basis. Which will arrive in your account on April 1st, July 1st, October 1st and January 1st. The interest amount can be deposited in your savings account in the same post office. If the account holder does not withdraw the interest amount, then additional interest i.e. compound interest will not be available on such interest. Income tax exemption is available. Benefits of investing By investing in this scheme you can claim a deduction of Rs 1.5 lakh from your total income under Section 80 C of the Income Tax Act. In simple language, you can reduce your total taxable income by using up to Rs 1.5 lakh through Section 80C. If you don’t withdraw interest every 3 months, you can get 42 lakhs for 30 lakhs

If you invest Rs 30 lakh in this scheme and do not withdraw interest every three months, it becomes Rs 42 lakh after five years. See here how much money you can get after five years when you invest.

Any senior citizen can open an account

After the age of 60 years or more, an account can be opened by going to the post office. However, anyone taking VRS who is over 55 but under 60 years of age can also open this account.

Apart from this, people who have retired from insurance (security department) and are above 50 years and below 60 years of age can also invest in this scheme. In this case, however, investments have to be made within 1 month of retirement.

Disclaimer: This story is for facts only. We advise investors to consult experts before taking any investment decision.

Read Also:

1. What Are The Basic Principles Of Investment
2. Investment Options
3. Artificial Intelligence In Indian Banking And The Transformation In The Digital Age
4. Ways To Reduce Risk In Mutual Funds
5. Mutual Funds Are An Easy Way To Invest In Equity
6. Invest Little By Little And Make A Big Amount
7. Always Keep These Things In Mind While Investing
8. How Is Technical Analysis Done In Stocks
9. What Is Circuit And Value Averaging
10. Funda Of Buyback
11. India Could Freeze PAK 20 Billion-Dollar Loan: World To Raise Funding Issue With Bank; To Put Pak On FATF’s Grey List Again
12. Rights Issue, Share Split And Open Offer
13. B.S.E. How Many Groups Of Shares Are There
14. Know The Condition Of Shares From The Company  Report Card
15. Investing In Shares Can Be Safe
16. Story Of Turmoil In The Stock Market
17. What Is Stock Market