Retirement
SCSS Calculator
Senior Citizen Savings Scheme — 8.2% government-backed rate (highest among small savings), quarterly interest payout, 5-year tenure, 80C eligible. The retirement income workhorse.
Inputs
Q1 FY 2026-27 · Quarterly payout · 5-year tenure (extendable by 3) · Senior citizens 60+ only
SCSS rules
Eligibility
- • Age 60 or above
- • Or 55+ if retired with VRS/superannuation (within 3 months of retirement)
- • Defence personnel: 50+ (with retirement benefits)
Limits & terms
- • Min: ₹1,000 · Max: ₹30 lakh per individual
- • Tenure: 5 years, extendable by 3 more years
- • Premature withdrawal: Allowed after 1 year (1.5–2% penalty)
- • Multiple accounts: Allowed but combined limit ₹30L
Tax
- • Deposit: Eligible u/s 80C (₹1.5L cap, old regime)
- • Interest: Fully taxable as per slab
- • TDS: 10% if interest exceeds ₹50,000/year
- • Submit Form 15H if income below tax limit
SCSS is among the highest-yielding govt-backed schemes for seniors. Combined with FD ladders + dividend stocks, it can fund a comfortable retirement income stream.
FAQs
What is SCSS interest rate 2026?
8.2% per annum (Q1 FY 2026-27), paid quarterly. One of the highest rates among government-backed schemes.
Who can open SCSS?
Senior citizens 60+. Also 55–59 if retired with VRS/superannuation (within 3 months of retirement). Defence: 50+. NRIs and HUFs not allowed.
What is the maximum SCSS deposit?
₹30 lakh per individual (combined across all SCSS accounts). Min ₹1,000. Multiple accounts allowed but combined limit.
Is SCSS interest taxable?
Yes, fully taxable per slab. TDS at 10% if interest > ₹50,000/year. Submit Form 15H to avoid TDS if total income is below taxable limit. Deposit eligible u/s 80C.