SCSS Calculator (Senior Citizens Savings Scheme)
See how much the Senior Citizens Savings Scheme pays you every quarter at 8.2%, how much TDS the post office or bank deducts, and what you keep after income tax in the new or old regime. It also works out how much to deposit for the monthly income you need, and what you get if you close the account early.
₹30,00,000 in SCSS at 8.2% pays ₹61,500 every quarter, about ₹20,500 a month, for 5 years, and your deposit comes back in full at the end. After tax at your slab you keep ₹1,94,832 a year.
You need to deposit about ₹29,27,000.
Interest is simple and paid out; it does not compound. Extensions assume today’s rate. Interest you leave unclaimed earns nothing more. Checked 2026-11-05.
How much does SCSS pay?
Quarterly interest = deposit × 8.2% ÷ 4. It is simple interest, paid out every quarter for 5 years, and the deposit comes back in full at maturity.
| Deposit | Every quarter | About a month | A year | Over 5 years |
|---|---|---|---|---|
| ₹1 lakh | ₹2,050 | ₹683 | ₹8,200 | ₹41,000 |
| ₹5 lakh | ₹10,250 | ₹3,417 | ₹41,000 | ₹2,05,000 |
| ₹10 lakh | ₹20,500 | ₹6,833 | ₹82,000 | ₹4,10,000 |
| ₹15 lakh | ₹30,750 | ₹10,250 | ₹1,23,000 | ₹6,15,000 |
| ₹20 lakh | ₹41,000 | ₹13,667 | ₹1,64,000 | ₹8,20,000 |
| ₹30 lakh (maximum) | ₹61,500 | ₹20,500 | ₹2,46,000 | ₹12,30,000 |
TDS is deducted from the quarterly payments once the year’s interest crosses ₹1 lakh. Interest is paid on the first working day of April, July, October and January. The first payment covers only the days from your deposit to the end of that quarter. For a monthly income of ₹20,000 you need about ₹29.27 lakh; the calculator works this out for any amount.
What is the SCSS interest rate?
8.2% a year for October to December 2026, unchanged since 1 April 2023, and the highest of the post office small savings schemes along with Sukanya Samriddhi. The rate on your opening date stays fixed for 5 years:
| Account opened | Rate | ₹30 lakh pays a quarter |
|---|---|---|
| From 1 April 2023 | 8.2% | ₹61,500 |
| January to March 2023 | 8% | ₹60,000 |
| October to December 2022 | 7.6% | ₹57,000 |
| April 2020 to September 2022 | 7.4% | ₹55,500 |
Who can open an SCSS account?
- Aged 60 or more: any resident Indian.
- Aged 55 to 60 and retired (on superannuation, voluntary retirement or otherwise): within 3 months of receiving retirement benefits, up to the amount received, with proof from the employer.
- Retired defence personnel: from age 50, on the same conditions.
- Spouse of a government employee who died in service after age 50.
- Joint account: only with your spouse, and the whole deposit counts against the first holder’s ₹30 lakh. A couple who are both eligible can each open an account as first holder, for ₹60 lakh between them and ₹41,000 a month.
- Not eligible: NRIs and HUFs.
Open it at a post office or an authorised bank with Form-1, your PAN and Aadhaar, and a nominee. Deposits are from ₹1,000 in multiples of ₹1,000, in one go; you cannot add to an account later, but you can open more accounts within the ₹30 lakh limit.
How is SCSS interest taxed?
The interest is taxed at your slab rate. The bank or post office deducts 10% TDS on all of it once your interest from them crosses ₹1 lakh in a year, and in the old regime you can claim the deposit under Section 123 (formerly 80C) and up to ₹50,000 of interest under Section 153 (formerly 80TTB).
| ₹30 lakh, interest ₹2,46,000 a year | Tax a year | You keep | Return after tax |
|---|---|---|---|
| Total income within the ₹12 lakh rebate (new regime) | Nil | ₹2,46,000 | 8.20% |
| 20% slab, new regime | ₹51,168 | ₹1,94,832 | 6.49% |
| 30% slab, new regime | ₹76,752 | ₹1,69,248 | 5.64% |
| 20% slab, old regime (₹50,000 interest deduction) | ₹40,768 | ₹2,05,232 | 6.84% |
| 30% slab, old regime (₹50,000 interest deduction) | ₹61,152 | ₹1,84,848 | 6.16% |
- TDS: ₹24,600 a year on ₹30 lakh, deducted from the quarterly interest once the year’s total crosses ₹1 lakh. It is adjusted against your tax; a retiree whose total tax is nil gets it back as a refund, or avoids it by filing Form 121.
- Form 121 replaced Form 15H from 1 April 2026. Submit it at the start of each financial year to the bank or post office if your tax for the year will be nil.
- Deduction on the deposit: in the old regime, up to ₹1.5 lakh of the deposit counts under Section 123 (formerly 80C) in the year you invest, worth up to ₹46,800 at the 30% slab. It does not apply in the new regime.
- Most retirees pay no tax in the new regime: with the rebate, taxable income up to ₹12 lakh is tax-free, so ₹2.46 lakh of SCSS interest plus a modest pension usually means nil tax.
Can you close SCSS early?
Yes, at any time, but with a deduction from the deposit: all interest received is taken back within the first year, 1.5% of the deposit between 1 and 2 years, and 1% after 2 years. There is no deduction on the holder’s death.
| ₹30 lakh closed after | Deduction | Deposit returned | Interest received till then | Total you got |
|---|---|---|---|---|
| 6 months | ₹1,23,000 (interest recovered) | ₹28,77,000 | ₹1,23,000 | ₹30,00,000 |
| 1½ years | ₹45,000 (1.5%) | ₹29,55,000 | ₹3,69,000 | ₹33,24,000 |
| 3 years | ₹30,000 (1%) | ₹29,70,000 | ₹7,38,000 | ₹37,08,000 |
| 4 years | ₹30,000 (1%) | ₹29,70,000 | ₹9,84,000 | ₹39,54,000 |
After 2 years, closing early to move to a higher rate elsewhere costs only 1%, which a rate gap of half a percent can repay within two years.
Extending SCSS after 5 years
You can extend in blocks of 3 years, as many times as you like, by submitting Form-4 within a year of maturity (or of the end of each block). The extension earns the rate in force on the maturity date. The extension starts from the maturity date even if you apply later, and interest keeps being paid quarterly. Closing within a year of an extension costs 1% of the deposit; after that year there is no deduction. Under the Fourth Amendment of November 2023, the earlier one-extension limit was replaced by these 3-year blocks.
SCSS vs bank FD, POMIS and RBI bonds
| Option | Rate now | Pays | Limit | Lock-in |
|---|---|---|---|---|
| SCSS | 8.2% | Quarterly | ₹30 lakh a person | 5 years, early exit with deduction |
| Post Office Monthly Income Scheme | 7.4% | Monthly | ₹9 lakh (₹15 lakh joint) | 5 years |
| RBI Floating Rate Savings Bonds | NSC rate + 0.35% (8.05%) | Half-yearly | No limit | 7 years (earlier for seniors) |
| Bank senior citizen FD | Bank’s rate, usually 0.5% above normal | Monthly, quarterly or at maturity | ₹5 lakh insured per bank | Flexible, with a small penalty |
SCSS is backed by the Government of India with no limit on the guarantee, while bank deposits are insured only up to ₹5 lakh per bank. Many retirees fill SCSS first, then add the Post Office Monthly Income Scheme for monthly cash flow. Compare a bank deposit in the FD Calculator.
When to use a different calculator
- A bank fixed deposit? Use the FD Calculator.
- How big a retirement corpus you need? Use the Retirement Corpus Calculator.
- Your EPS or NPS pension? Use the Pension Calculator.
- Monthly withdrawals from mutual funds instead? Use the SWP Calculator.
Sources
- Senior Citizens Savings (Fourth Amendment) Scheme, 2023, G.S.R. 829(E) (gazette text reproduced by TaxGuru)
- Senior Citizens Savings Scheme (State Bank of India)
- Small savings interest rates unchanged for October–December 2026 (Free Press Journal)
- Form 15H replaced by Form 121 from 1 April 2026 (Business Today)
This is general information, not tax or investment advice. See how we check rates and our corrections log.
