For the past few months, investors have been facing losses in the stock market, leading many to choose safer investment options. In such a situation, we are going to tell you about a scheme that can help you build substantial savings. This government scheme is the Senior Citizen Savings Scheme (SCSS), which is considered one of the best investment options for securing a stable income after retirement.

The Senior Citizen Savings Scheme (SCSS) provides fixed returns for retired individuals. It is a risk-free investment option. This government-backed scheme offers the highest interest rates among small savings schemes, making it an attractive choice for retirees looking to grow their savings.

How Much Interest Can You Earn?

Under the Senior Citizen Savings Scheme (SCSS), you receive an annual interest rate of 8.2%. This scheme allows senior citizens to secure their retirement funds while also providing a stable income.

How Does the Scheme Work?

Senior citizens can open an SCSS account individually or jointly with their spouse. The maximum deposit allowed in each account is ₹30 lakh, with a minimum investment of ₹1,000. You can make cash deposits of up to ₹1 lakh, while amounts over ₹1 lakh must be paid by cheque.

How to Earn ₹24 Lakh?

Retired couples can maximize the benefits by opening separate SCSS accounts, which will increase their investment limit to ₹60 lakh. This will generate ₹1,20,300 as quarterly interest. Annually, they will earn ₹4,81,200 in interest. At maturity, after five years, they will receive a total interest of ₹24,06,000. So, by investing ₹60 lakh under two accounts, you can earn ₹24 lakh in interest after five years.

What Profit Will You Get by Investing ₹30 Lakh in One Account?

  • Quarterly interest: ₹60,150
  • Annual interest: ₹2,40,600
  • Total interest in five years: ₹12,03,000
  • Total maturity amount: ₹42,03,000