What is Senior Citizens’ Savings Scheme?

1. SCSS is a government-backed retirement savings programme.

2. People above 60 or those who have opted for VRS and are within the age bracket of 55-60 and retired defence personnel over the age of 50 can also invest in this scheme.

3. SCSS has a maximum limit of Rs 15 lakh or the retirement corpus, whichever is less. The account can be opened with a minimum amount of Rs 1,000.


4. The scheme matures at the end of five years but is extendable by a further three years.

5. The current interest rate applicable to SCSS is 7.4%. Tax benefits under Sec 80C are available but interest is fully taxable.

(Content on this page is courtesy Centre for Investment Education and Learning (CIEL). Contributions by Girija Gadre, Arti Bhargava and Labdhi Mehta.)