How to use this SCSS calculator
- Enter your deposit, in multiples of ₹1,000, up to ₹30 lakh.
- Check the interest rate. It starts at 8.2%, the rate for October–December 2026.
- Choose who you are. Under 60, enter your retirement benefits too, because your deposit cannot be more than these. Your age also sets the TDS threshold.
- Open "More options" to add extensions of 3 years, or to choose your tax regime and slab.
The result shows your quarterly interest, the total, whether TDS is likely, and what you would get back if you closed the account in each year. It assumes full quarters from the start: the first payment actually covers only the days from your deposit to the end of that quarter. Tax figures are estimates using your slab rate plus 4% cess.
How SCSS interest works
The Senior Citizens Savings Scheme is a government savings scheme for people aged 60 or over and some early retirees, with one deposit, a 5-year term and regular income. You open it at a post office or an authorised bank. Interest is paid on the first working day of April, July, October and January. It doesn't compound: interest you leave unclaimed earns nothing extra, so have it credited to your savings account.
Quarterly interest = D × r ÷ 4 D is the deposit and r is the yearly rate as a decimal. The scheme rounds interest to the nearest rupee. For part of a quarter, such as your first payment, interest is worked out by the number of days. Your deposit comes back in full at maturity.
Worked example
You are 62 and deposit the maximum ₹30,00,000 at 8.2%. You receive ₹61,500 every quarter, or ₹2,46,000 a year, which averages ₹20,500 a month. Over 5 years the interest comes to ₹12,30,000, and you then get your ₹30,00,000 back.
Because ₹2,46,000 is above the ₹1 lakh threshold, expect about ₹24,600 a year to be deducted as TDS, unless you qualify to give Form 121.
SCSS interest by deposit
At 8.2% for 5 years, for a senior citizen:
| Deposit | Every quarter | A year | Over 5 years | TDS at 10% |
|---|---|---|---|---|
| ₹5,00,000 | ₹10,250 | ₹41,000 | ₹2,05,000 | None |
| ₹10,00,000 | ₹20,500 | ₹82,000 | ₹4,10,000 | None |
| ₹12,19,000 | ₹24,990 | ₹99,960 | ₹4,99,800 | None |
| ₹15,00,000 | ₹30,750 | ₹1,23,000 | ₹6,15,000 | ₹12,300 a year |
| ₹20,00,000 | ₹41,000 | ₹1,64,000 | ₹8,20,000 | ₹16,400 a year |
| ₹30,00,000 | ₹61,500 | ₹2,46,000 | ₹12,30,000 | ₹24,600 a year |
Spouses who are both eligible can each hold up to ₹30 lakh. Between them that is ₹60 lakh and ₹1,23,000 a quarter.
Who can open an SCSS account
| You are | Minimum age | Conditions |
|---|---|---|
| Anyone | 60 | Only the ₹30 lakh deposit limit |
| Retired, on superannuation or otherwise | 55, and under 60 | Open within 3 months of receiving retirement benefits, with proof and your employer's certificate. Deposit limited to the benefits or ₹30 lakh, whichever is lower. |
| Retired defence personnel, not civilian defence staff | 50 | The scheme's other conditions apply |
| Spouse of a central or state government employee who died in service | The employee must have been 50 or over | The scheme's other conditions apply |
Retirement benefits include provident fund dues, gratuity, commuted pension, leave encashment and ex-gratia under a voluntary retirement scheme. The window was one month until November 2023. Non-resident Indians cannot open an account.
You can open a single account or a joint one with your spouse only. In a joint account, the first holder's age decides eligibility, the second holder has no age limit, and the whole deposit counts as the first holder's.
Extending your account
After 5 years, you can extend for a block of 3 years, and again at the end of each block. Apply within a year of the maturity date or the end of the block; the extension counts from that date. Each extension earns the rate in force on that date, which may differ from your current rate. At an unchanged 8.2%, ₹30 lakh would pay ₹19,68,000 in all over 8 years, and ₹27,06,000 over 11. If you neither close nor extend, the deposit earns only the Post Office Savings Account rate, 4% at present.
Closing the account early
| You close | What is deducted | On ₹30,00,000 |
|---|---|---|
| Before 1 year | All interest paid is recovered from the deposit | You keep no interest |
| After 1 year, before 2 years | 1.5% of the deposit | ₹45,000 |
| From 2 years until maturity | 1% of the deposit | ₹30,000 |
| Within a year of an extension | 1% of the deposit | ₹30,000 |
| Later in an extension, or at maturity | Nothing | ₹0 |
You must close the whole account: partial withdrawals are not allowed. After closing, you can open a new account within your limit. If a holder dies, the account is closed, unless a spouse who is the joint holder or sole nominee is eligible and chooses to continue it.
TDS on SCSS interest
Banks and post offices deduct TDS at 10% (with your PAN) when interest goes above a threshold in the tax year, and it applies to the whole interest, not just the excess. For 2026-27 the threshold is ₹1 lakh for a senior citizen, meaning a resident aged 60 or over at any time in the tax year, and ₹50,000 for anyone else.
That matters for early retirees. At 57, with ₹15 lakh in SCSS, your ₹1,23,000 of interest is measured against ₹50,000, so about ₹12,300 a year is deducted; a deposit above ₹6,09,000 crosses the line. The ₹1 lakh threshold starts in the tax year you turn 60. At a post office, India Post counts the interest from all your SCSS accounts together. At a bank, interest on your other deposits there can count as well.
TDS is not an extra tax: it is credited against what you owe. If the tax on your total income for the year will be nil, you can give the bank or post office Form 121, which replaced Forms 15G and 15H from 1 April 2026, so that no TDS is deducted. Conditions apply.
How SCSS is taxed
The interest is taxable at your slab rate. The old regime offers two deductions, and the new regime neither. Your deposit counts towards the ₹1.5 lakh limit in the year you invest. And a senior citizen can deduct up to ₹50,000 a year of interest on bank and post office deposits, SCSS included, though that amount is shared with your other deposits.
| ₹30,00,000 at 8.2%, 20% slab plus cess | Interest a year | Tax a year | You keep |
|---|---|---|---|
| Old regime, senior citizen | ₹2,46,000 | about ₹40,768 | about ₹2,05,232 |
| New regime | ₹2,46,000 | about ₹51,168 | about ₹1,94,832 |
If you claimed the deduction on your deposit and withdraw within 5 years, the amount withdrawn is treated as income for that year, apart from interest already taxed. Think twice before closing early in that case. Which regime leaves you better off depends on your whole income, so check with the income tax calculator.
SCSS, MIS or an FD?
SCSS currently pays more than the Post Office Monthly Income Scheme, though it pays quarterly, not monthly. Many retirees use both. A bank FD offers more choice of term, and banks often pay senior citizens more, so compare your bank's rate. For income from a larger corpus, see the SWP calculator, or the NPS calculator if you are still saving; those returns are market-linked and not guaranteed.
Frequently asked questions
What is the current SCSS interest rate?
How much will I get every quarter on ₹30 lakh in SCSS?
What is the age limit for the Senior Citizens Savings Scheme?
Is TDS deducted on SCSS interest?
Does SCSS qualify for a tax deduction?
What happens if I close my SCSS account early?
Can I extend SCSS after 5 years?
Sources and further reading
Independent, official guidance on this topic. Rules differ by country, so check the regulator where you live.
- SCSS interest rate history · National Savings Institute, Ministry of Finance
- Small savings interest rates from 1 October 2026 (SB Order 12/2026) · Department of Posts, Government of India
- SCSS amendments (SB Order 22/2023) · Department of Posts, Government of India
- Saving schemes and current rates · India Post
- Income-tax Act, 2025, Schedule XV: deductions · Income Tax Department, Government of India
This calculator gives estimates for education and planning. It is not financial advice, and your lender's figures may differ. See how we calculate.