Work out the quarterly income from a Senior Citizen Savings Scheme deposit at the current 8.2% rate, the yearly and 5-year totals, and what you keep after tax.
The Senior Citizen Savings Scheme is a government-backed deposit at post offices and banks for people aged 60 and above (55 for those who retired on superannuation or VRS, with conditions). You can invest from ₹1,000 up to ₹30 lakh in total across your SCSS accounts. Interest is 8.2% a year for October–December 2026, and the rate you lock in at opening stays fixed for the full 5 years.
Interest is paid every quarter, on the first working day of April, July, October and January. A ₹15 lakh deposit pays ₹30,750 a quarter (₹1.23 lakh a year); the full ₹30 lakh pays ₹61,500 a quarter. At maturity after 5 years you get the deposit back, or you can extend the account once by 3 years.
The deposit qualifies for the deduction under section 123 of the Income Tax Act, 2025 (the old section 80C), up to ₹1.5 lakh, in the old tax regime only. The interest is fully taxable at your slab rate. Senior citizens have TDS deducted only if SCSS interest crosses ₹1 lakh in a year, and those with tax-free income can submit Form 121 (formerly Form 15H) to avoid TDS.
Premature closure is allowed after 1 year with a penalty (1.5% of the deposit before 2 years, 1% after). Rates are revised by the government each quarter for new deposits.
Last reviewed: 6 November 2026 by the YogiCalc team · How we calculate and verify · Spotted an error? Tell us
8.2% a year, paid quarterly. The rate is locked for 5 years for deposits made now.
₹30 lakh in total across all your SCSS accounts. A married couple who are both eligible can invest up to ₹30 lakh each in their own names.
SCSS pays quarterly, not monthly: ₹61,500 a quarter at 8.2%, which works out to ₹20,500 a month on average.
Yes, at your income-tax slab rate. TDS applies if interest exceeds ₹1 lakh a year for senior citizens, unless you submit Form 121 (which replaced Form 15H under the Income Tax Act, 2025) where eligible.
Yes, after 1 year. 1.5% of the deposit is deducted if you close before 2 years and 1% between 2 and 5 years. Closing within the first year forfeits the interest.