5 Tax-Saving Investment Instruments For Senior Citizens

Outlook Money

Senior Citizens Savings Scheme (SCSS)

Investments in SCSS qualify for tax benefits up to Rs 1.5 lakh in a financial year; SCSS offers an 8.2% annual interest.


Public Provident Fund (PPF)

Senior citizens looking for long-term investments can opt for PPF, which provides guaranteed income and tax exemptions on deposits, interest income, and maturity proceeds.


National Savings Certificates (NSC)

NSC has a lock-in of five years and offers 7.7 per cent interest, paid on maturity. It also offers tax benefits under Section 80C of the Income-tax act, 1961.

Interest Rate

Tax-Saver FDs

Seniors can opt for tax saver bank FDs or post office time deposits to earn regular income and avail of tax benefits up to Rs 1.5 lakh in a financial year.

Tax Saver FD

Infrastructure Bonds

Infrastructure companies issue bonds for projects like roads, airports, railways, bridges, etc. Infra bonds have a lock-in of 7-15 years, and provide a fixed interest rate and tax benefits under Section 80C.

Compiled BY Himani Verma

Free Lock-In Period

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