Who is eligible to open an SCSS account?

SCSS is open to: (1) Indian residents aged 60 years or above; (2) Retired civilian employees aged 55-60 years who have received retirement benefits (must apply within 1 month of receiving benefits); (3) Retired defence personnel aged 50 years or above. NRIs and HUFs are not eligible.

SCSS Calculator 2025 — Senior Citizen Savings Scheme Interest & Returns

Q: What is the current SCSS interest rate in 2025?

The current SCSS (Senior Citizen Savings Scheme) interest rate is 8.2% per annum for Q1 FY 2026-27. Interest is paid quarterly at 2.05% per quarter. The rate is revised by the Government of India every quarter and should be verified at nsiindia.gov.in.

Q: How much can I invest in Senior Citizen Savings Scheme?

You can invest a minimum of Rs. 1,000 and a maximum of Rs. 30,00,000 (Rs. 30 lakh) in SCSS. The maximum limit was increased from Rs. 15 lakh to Rs. 30 lakh. Investment must be in multiples of Rs. 1,000.

Q: Is SCSS interest taxable for senior citizens?

Yes, SCSS interest is fully taxable as per your income tax slab. TDS at 10% is deducted if total interest from SCSS exceeds Rs. 50,000 per year (i.e., Rs. 12,500 per quarter). Senior citizens (60+) can submit Form 15H to avoid TDS if their income is below the taxable limit. The investment qualifies for Section 80C deduction up to Rs. 1.5 lakh.

Q: Can I extend SCSS after 5 years?

Yes, SCSS can be extended for one additional block of 3 years after the initial 5-year tenure, making total tenure up to 8 years. The extension must be applied within 1 year of maturity. The interest rate applicable during extension will be the prevailing rate at the time of extension.

Last updated: July 2026. Interest rate: 8.2% p.a. (Q1 FY 2026-27). Verify at nsiindia.gov.in.

ℹ️

SCSS 2023: Max investment increased to ₹30,00,000. Open at Post Offices & authorised banks. 80C deduction available. Quarterly interest payout — not compounded.

Investment Details

Investment Amount

₹10,00,000

Tenure

Interest Rate (% p.a.)

Current: 8.2% (Q1 FY 2026-27)

Your Income Tax Slab

Used to compute net interest & 80C benefit

Age Category

SCSS Returns Summary

Quarterly Payout (Gross)
₹0
Every 3 months

Maturity Value
₹0
at 5 years

Annual Interest

₹0

Per year (simple interest)

Total Interest Earned

₹0

Over 5 years

TDS & Net Payout

Particulars	Per Quarter	Per Year

Quarterly Payout Schedule — Year 1

SCSS vs FD vs Savings — Returns Comparison

Investment Comparison (on Same Amount)

Scheme	Rate	Annual Interest	5-Year Total	Maturity Value

SCSS Score & Decision Layer

100 SCORE

Excellent

Your SCSS investment profile

How SCSS Returns Are Calculated

Quarterly Interest = Principal × Rate / 4
= P × 8.2% / 4 = P × 2.05%

Annual Interest = Principal × Rate
= P × 8.2%

Total Interest = Annual Interest × Tenure (5 or 8 years)

Maturity Value = Principal + Total Interest
(Principal returned at maturity — SCSS is simple interest)

TDS Applicability:
If Annual Interest > Rs.50,000 → TDS @ 10% deducted
Submit Form 15H if total income below taxable limit

80C Deduction = Investment amount (max Rs.1,50,000 in 80C basket)
Tax Saved = Min(Investment, 1,50,000) × Tax Slab %

Disclaimer: SCSS interest rate is revised quarterly by the Government of India. Current rate: 8.2% p.a. (Q1 FY 2026-27). TDS rules are indicative — consult a CA for tax planning. Last updated: July 2026. Verify at nsiindia.gov.in. Premature withdrawal is allowed after 1 year with applicable penalties.

Frequently Asked Questions

What is the current SCSS interest rate in 2025?

The current SCSS interest rate is 8.2% per annum for Q1 FY 2026-27, making it one of the highest risk-free rates available. Interest is paid quarterly at 2.05% per quarter directly to your bank or Post Office account. The rate is reviewed and revised quarterly by the Ministry of Finance. Always verify the latest rate at nsiindia.gov.in before investing.

How much can I invest in Senior Citizen Savings Scheme?

The maximum investment limit is ₹30,00,000 (₹30 lakh) as revised from Budget 2023. Minimum investment is ₹1,000 in multiples of ₹1,000. You can open multiple SCSS accounts (individually or jointly), but the total across all accounts must not exceed ₹30 lakh. Joint accounts can only be opened with a spouse, and the entire deposit is attributed to the first account holder.

Is SCSS interest taxable for senior citizens?

Yes, SCSS interest is fully taxable as per your applicable income tax slab. TDS at 10% is deducted if total interest earned from SCSS exceeds ₹50,000 in a financial year (i.e., if quarterly interest exceeds ₹12,500). However, senior citizens (60+) can submit Form 15H to avoid TDS deduction if their estimated total income for the year is below the taxable limit. The initial investment qualifies for Section 80C deduction up to ₹1.5 lakh.

Can I extend SCSS after 5 years?

Yes! SCSS can be extended for one block of 3 years after the initial 5-year period, making the maximum tenure 8 years. You must apply for extension within 1 year from the date of maturity. During the extended period, the interest rate applicable will be the prevailing SCSS rate at the time of extension, not the rate at the time of initial investment. You can withdraw the deposit at any time during the 3-year extension without penalty.

Who is eligible for SCSS and what are the age requirements?

SCSS eligibility: (1) Indian residents aged 60 years or above can open anytime; (2) Retired civilian government employees aged 55-60 who have received retirement/superannuation benefits can apply within 1 month of receiving benefits; (3) Retired defence personnel aged 50 years or above are eligible. NRIs and HUFs are not eligible. Accounts can be opened at Post Offices and authorised scheduled commercial banks.

Related Calculators

Senior Citizen Savings Scheme (SCSS) Calculator