SCSS offers Rs 61,500 quarterly on Rs 30 lakh at 8.2% interest

The Senior Citizens Savings Scheme (SCSS) currently offers an annual interest rate of 8.2%, allowing eligible retirees to earn Rs 61,500 every quarter on the maximum investment of Rs 30 lakh. This translates into a monthly income of Rs 20,500, though interest is paid quarterly. The scheme is primarily available to individuals aged 60 and above, with exceptions for retired civilian employees aged 55 to 60 and retired defence personnel aged 50 to 60.

Accounts can be opened at designated banks and post offices, individually or jointly with a spouse. The minimum investment is Rs 1,000, in multiples of Rs 1,000. Interest income is taxable as per the investor's income tax slab, and deposits qualify for Section 80C deductions under the old tax regime. The scheme has a five-year maturity period, with premature closure allowed but penalties ranging from 1% to 1.5% of the deposit depending on when the account is closed.

For a Rs 30 lakh investment, total interest over five years would amount to Rs 12.30 lakh, assuming the rate remains fixed. Extensions of three years are also permitted. Interest is paid on the first working day of April, July, October and January.