Post Office SCSS: Turn Your Savings Balance Into Rs 7,000 Monthly Income

Post office: Everyone wants good returns along with protection for their investment without any risk. For such people, the well-known public sector organization, the Post Office, is offering a great scheme. 

Senior Citizen Savings Scheme

The Senior Citizen Savings Scheme (SCSS) is for those over 60. The quarterly interest rate is 8.2%, offering higher income than banks. The minimum investment is Rs 1,000, up to Rs 30 lakh.

Money into the account quarterly

Currently (Q2 2025-26), the SCSS interest rate is 8.2%. This interest is credited to the account every three months. This system serves as a regular income for seniors.

If you invest Rs 10 lakh

For example, if you invest Rs 10 lakh, you'll earn Rs 82,000 in annual interest. The quarterly interest is Rs 20,500, meaning you can get about Rs 6,833 per month on average.

Tax benefit on income

Get a tax exemption up to Rs 1.5 lakh under Section 80C for SCSS investments. Even with tax on interest, the high rate ensures good net profit. It's great for stable post-retirement income.

Maturity and premature withdrawal

The scheme term is 5 years, extendable by 3. No interest if withdrawn before one year. Penalty: 1.5% for 1-2 years, 1% for 2-5 years. Spouses can open a joint account.