Retirement Saving Scheme: The tendency of senior citizens is always on the fact that their monthly income should continue and all the expenses should be kept comfortably. In view of this, the post office scheme can be easily adopted. Read this full news to get complete information about Post Office Monthly Income Scheme and Senior Citizen Saving Scheme.
In terms of retirement investment, two schemes of the post office are seen in the most discussion. Their names are Post Office Monthly Income Scheme or POMIS and Senior Citizen Savings Scheme or SCSS. In both the schemes, along with better returns, the benefit of tax exemption is also available. Those who invest money in these schemes during their job do not have to think about the expenses after retirement. Because it helps in saving tax, so the money left is only useful for you.
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The biggest concern of senior citizens in old age is the day-to-day expenses. To get rid of this worry, investment will have to be done during the job itself. Investing should always be kept in mind while equating the expenditure during the job with the expenditure of old age.
low risk return
This is the reason why any person wants to invest money for retirement in such investments which give high returns and there is no risk of losing money. The attention of senior citizens is always on such things that monthly income should be kept and expenses should continue smoothly. In view of this, the post office scheme can be tried. Today let’s take information about the Post Office Monthly Income Scheme and Senior Citizen Savings Scheme.
Monthly Income Scheme
This is a savings scheme run by the Government of India through the post office. Investment in this keeps getting a fixed amount every month and also a tax exemption of up to Rs 1.5 lakh. If an individual opens the account, then up to a maximum of Rs 4.5 lakh can be deposited annually.
The amount deposited in the joint account can be up to 9 lakhs. This is such a scheme on which high interest is given. Right now the interest rate is getting at the rate of 6.6 percent. One thing to keep in mind is that deposits are not taxed but interest earned during the maturity period of 5 years is taxable. You can also transfer the return to the savings account. Its biggest advantage is fixed returns which are not affected by the market rates at all.
Senior Citizen Saving Scheme
This long-term investment scheme has been specially designed keeping in mind the senior citizens. Its benefit can be availed in all banks and post offices in India. The interest rate offered in this scheme is higher as compared to regular deposit accounts. Right now it is getting returns at the rate of 7.4 percent.
The interest rate on a normal savings account is around 2.5%. There is no tax on deposits up to Rs 1.5 lakh. Any amount between Rs 500 to 1.5 lakh can be invested in this savings scheme. The minimum age for investment is 58 years. Its maturity period is five years and it can be extended only once for another three years.