Senior Citizen Savings Scheme (SCSS) Calculator
Calculate regular quarterly income from the Government of India's flagship senior citizen scheme. Computes quarterly payouts, Sec 80C tax deduction, and TDS limits on deposits up to ₹30 Lakh.
SCSS Deposit Settings
OFFICIAL 8.20% P.A.Your annual interest is ₹1,23,000. Since this exceeds the ₹50,000 threshold for senior citizens, the bank will deduct 10% TDS unless you submit Form 15H (if your total taxable income is zero).
Principal investment qualifies for tax deduction under Section 80C (Old Tax Regime) up to ₹1.5 Lakh.
20-Quarter SCSS Interest Credit Schedule
Quarterly interest payout dates on 1st of April, July, October, and January directly to your bank account.
| Quarter | Payout Month | Quarterly Interest (₹) | Cumulative Interest (₹) | Principal Balance (₹) |
|---|
⚖️ SCSS (8.20%) vs Bank Senior Citizen FDs
- Higher Interest: At 8.20% p.a., SCSS offers approximately 0.50% to 0.75% higher returns than top PSU and private bank 5-year senior citizen fixed deposits (typically 7.50%–7.75%).
- 100% Sovereign Safety: While bank FDs are insured up to only ₹5 Lakh under DICGC, SCSS deposits are directly backed by the Central Government of India without upper safety limit.
- Sec 80C Tax Deduction: SCSS investments qualify for 80C deductions, whereas only designated 5-year tax-saver FDs qualify in banks (which lock in funds without quarterly payouts).
💡 Rules on Premature Closure & Extension
- After 1 Year: If closed between 1 and 2 years, 1.5% of the principal deposit is deducted as penalty.
- After 2 Years: If closed between 2 and 5 years, only 1.0% of the principal deposit is deducted.
- 3-Year Extension: Account can be extended for an additional 3-year block within 1 year of maturity by submitting Form-4.
Frequently Asked Questions
Can individuals below age 60 open an SCSS account?
Yes, retired civilian employees aged 55 to 60 who retired on superannuation or VRS are eligible, provided the investment is made within 1 month of receiving retirement benefits. Retired defense personnel can open an account from age 50 onwards.
How can senior citizens avoid 10% TDS deduction?
If your total taxable income (including SCSS interest) for the financial year is below the basic tax exemption limit (₹3 Lakh under old regime or ₹3 Lakh under new regime), you can submit Form 15H in April to prevent TDS deductions.
Can interest be accumulated rather than withdrawn quarterly?
No. SCSS is strictly a non-cumulative regular income scheme. If quarterly interest is not claimed or drawn from your savings account, it remains idle and does not earn any compounding interest.