SCSS Calculator
Calculate your quarterly interest payouts and total returns from the Senior Citizen Savings Scheme (SCSS), a safe and reliable investment for retirees.
Investment Details
Currently, the SCSS interest rate is 8.2% p.a.
Investment Tenure
Fixed duration for SCSS
Quarterly Interest Payout
₹30,750
Credited to your linked bank account every 3 months.
Total Interest Earned
₹6,15,000
Over the 5-year tenure
Principal Returned
₹15,00,000
At the end of 5 years
Total Value Breakdown
Total Value Received: ₹21,15,000
Understanding the Senior Citizen Savings Scheme (SCSS)
The Senior Citizen Savings Scheme (SCSS) is one of the most popular and secure investment avenues for retirees in India. Backed by the Government of India, it guarantees a regular income stream and capital protection.
Safety & Returns
Because it is a government-sponsored scheme, SCSS carries zero sovereign risk. The interest rate is reviewed quarterly by the government, but once you invest, the rate is locked in for the entire 5-year tenure.
Regular Income
Unlike FDs where interest can be compounded, SCSS pays out interest quarterly. This makes it an ideal choice for seniors who need a reliable, periodic income to cover their living expenses.
Tax Implications
The principal amount invested (up to ₹1.5 Lakhs) is eligible for tax deduction under Section 80C. However, the quarterly interest received is fully taxable as per your income tax slab. If the interest exceeds ₹50,000 in a financial year, TDS will be deducted. You can submit Form 15H to avoid TDS if your total income is below the taxable limit.
Frequently Asked Questions
What is the Senior Citizen Savings Scheme (SCSS)?
SCSS is a government-backed savings scheme in India designed specifically for senior citizens (aged 60 years and above). It offers a regular income stream through quarterly interest payouts and provides capital safety.
Who is eligible to invest in SCSS?
Individuals aged 60 years or above can open an SCSS account. Retirees aged 55 to 60 years who have opted for VRS (Voluntary Retirement Scheme) or Superannuation, and retired defense personnel aged 50 and above, can also invest subject to certain conditions.
What is the maximum investment limit in SCSS?
The maximum investment limit in the Senior Citizen Savings Scheme was increased to ₹30 Lakhs (from ₹15 Lakhs) starting from the financial year 2023-24. The minimum investment is ₹1,000.
Are there any tax benefits for SCSS?
Yes, investments up to ₹1.5 Lakhs in a financial year qualify for tax deduction under Section 80C of the Income Tax Act. However, the interest earned is fully taxable. If the interest exceeds ₹50,000 in a year, TDS is deducted (unless Form 15H is submitted).
Can I withdraw my money before 5 years?
Premature withdrawal is allowed after 1 year, but with a penalty. If withdrawn between 1 to 2 years, 1.5% of the deposit is deducted. If withdrawn after 2 years, 1% of the deposit is deducted. In case of the depositor's death, no penalty is levied.