Friends, human life is full of uncertainties, where anything can happen at any time. Therefore, we must be prepared for the future, especially financially. For senior citizens looking for a secure and stable income source after retirement, the Post Office Senior Citizens Savings Scheme (SCSS) is one of the best government-backed investment options. Let's learn the full details about this scheme.

Eligibility:

Any Indian citizen aged 60 years or above can open an SCSS account. Retired defense personnel can also invest, subject to certain conditions.

Investment Limit:

The minimum investment starts at ₹1,000, while the maximum limit is ₹30 lakh per person.

Attractive Interest Rate:

For the second quarter of FY 2025-26, the interest rate is 8.2% per annum, making it the highest among small savings schemes.

Tax Benefits:

Investments made under SCSS are eligible for a tax deduction of up to ₹1.5 lakh under Section 80C of the Income Tax Act.

Quarterly Interest Payments:

Interest is credited directly to the investor's account every quarter, ensuring a steady flow of income—ideal for managing monthly expenses.

Maturity and Extension:

This scheme matures in 5 years and can be extended once for 3 years, ensuring long-term financial stability.

Premature Withdrawal Rules

If funds are withdrawn before maturity, the following deductions apply:

Before 1 year: No interest is payable.

Between 1-2 years: 1.5% of the deposit amount is deducted.

Between 2-5 years: 1% of the deposit amount is deducted.

Joint Account Option

A joint account can be opened with your spouse, which not only increases financial flexibility but also increases the family's total interest income—providing peace of mind during the golden years.