4 Excellent Investment Options for Senior Citizens in India

We work hard to have a peaceful retirement without any financial constraints. Our retirement years are our golden years, and we want to enjoy them with our loved ones without any hassles. Today, we know that the cost of living and the inflation rates have seen a huge rise and no doubt they will continue to rise in the coming years. Moreover, as we grow old, our health tends to deteriorate as well. Knowing that medical treatment costs have seen a rise, it might get difficult for us to manage our medical expenses. Investing in investment options for senior citizens will ensure that you do not face any financial constraints in your retirement and are able to lead a secure and peaceful life.

Investment options for senior citizens have become a preferred choice amongst numerous people for financial security in their retirement years. In this article, we will look at a few of the best investment options for senior citizens in India.

A. Senior Citizen Savings Scheme (SCSS)

• The senior Citizen Savings Scheme (SCSS) is one of the best investment options for senior citizens in India.
• This investment option is for citizens who are above the age of 60.
• This plan offers a 7.4% interest rate
• The maximum tenure of SCSS is of 5 years. In case you want to extend the tenure, you can get it extended by 3 years.
• This plan offers tax deduction benefits of Rs. 2.5 lakhs in one financial year under Section 80C of the Income Tax Act, 1961.

B. National Pension Scheme (NPS)

• National Pension Scheme is another investment option for senior citizens you can invest in.
• This is one of the safest plans and is ideal for those who are looking for a risk-free investment.
• The premiums you will have to pay for NPS are cheaper and affordable compared to other policies.
• National Pension Scheme offers tax benefits of upto Rs. 1.5 lakhs in one financial year under Section 80C of the Income Tax Act, 1961.

C. Public Provident Fund (PPF)

• Public Provident Fund is an investment plan that comes with a lock-in period of 15 years. However, if you face a financial emergency, you can withdraw a certain amount of money after completing the 6th year of the policy.
• PPF offers an interest rate of 7.6%.
• The minimum amount you have to invest in one year is Rs. 500 and the maximum amount you can invest in one year is Rs. 1.5 lakhs.
• Public Provident Fund offers tax benefits of upto Rs. 1.5 lakhs in one financial year under Section 80C of the Income Tax Act, 1961.

D. Pradhan Mantri Vaya Vandana Yojana (PMVVY)

• Pradhan Mantri Vaya Vandana Yojana (PMVVY) is an investment option for senior citizens that is backed by the Government of India.
• This plan is for citizens who are 60 years or above.
• The tenure of PMVVY is of 10 years.
• This plan offers the benefits of guaranteed returns, provision of loans against the policy, etc.

Your Way Forward

You now know the best investment options for senior citizens in India. You can compare and choose the best investment plan that matches your financial requirements for your retirement. Having a financial safety net ready in advance will ensure that you will not face any struggles in later years and can enjoy your retirement with peace of mind.

Bharti AXA is a leading insurance providing company that provides one of the best investment options in India for senior citizens. Our life insurance agents come with great knowledge and experience and will guide you in choosing the investment options for senior citizens best suited for your requirements.

For more information, get in touch with us today!