Short answer: the Senior Citizens Savings Scheme pays 8.2% a year, credited quarterly, for anyone aged 60 and above, up to a ₹30 lakh limit over a 5-year term. A ₹30 lakh deposit produces roughly ₹61,500 of income every quarter.
Rates and slabs are indicative, as of August 2026
SCSS answers the biggest question retirees have — where to put provident fund/gratuity money for safe, regular income. At 8.2%, a ₹30 lakh deposit gives approximately ₹61,500 every quarter or ~₹20,500/month. Interest is paid quarterly directly into your bank account.
Open to anyone aged 60+. Retired defence at 50, other retirees at 55 (within 1 month of retirement). Both husband and wife can invest ₹30L each — a couple can generate ₹41,000/month combined.
Deposit qualifies for 80C. Interest is taxable — submit Form 121 (which replaced Form 15H from 1 April 2026) to avoid TDS if your final tax liability is nil. At maturity the account can now be extended in repeatable 3-year blocks — the extension rules decide your rate for each block.
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Written and checked by the PaisaSamajh editorial desk · Last reviewed: 24 August 2026 · How we check this →