Saving Schemes in India – 2026
Government-backed saving schemes such as PPF, Sukanya Samriddhi Yojana, SCSS, NSC, KVP and Post Office deposits offer guaranteed interest, sovereign safety and — for many — tax deductions under the Income Tax Act. Compare the latest rates, eligibility, lock-in, withdrawal rules and tax treatment in one place.
Rates for July–September 2026 (Q2 FY 2026-27) · Updated 27 September 2026List of Saving Schemes in India 2026 — latest interest rates
The Ministry of Finance notifies small-savings rates every quarter. For July–September 2026 (Q2 FY 2026-27) the Government kept every rate unchanged from the previous quarter — rates have now been held since the January–March 2024 quarter. The next revision (October–December 2026) is due around 30 September 2026.
| Savings scheme | Interest rate | Contribution amount | Duration | Tax benefit |
|---|---|---|---|---|
| Post Office Savings Account | 4.0% | Min ₹500 · No max | No limit | Interest exempt up to ₹3,500 |
| Post Office Monthly Income Scheme | 7.4% | Min ₹1,000 · Max ₹9 lakh (₹15 lakh joint) | 5 years | No deduction |
| Post Office Recurring Deposit | 6.7% | Min ₹100/month · No max | 5 years | No deduction |
| Post Office Time Deposit – 1 year | 6.9% | Min ₹1,000 · No max | 1 year | No deduction |
| Post Office Time Deposit – 2 years | 7.0% | Min ₹1,000 · No max | 2 years | No deduction |
| Post Office Time Deposit – 3 years | 7.1% | Min ₹1,000 · No max | 3 years | No deduction |
| Post Office Time Deposit – 5 years | 7.5% | Min ₹1,000 · No max | 5 years | 80C / Sec 123 |
| Kisan Vikas Patra (KVP) | 7.5% | Min ₹1,000 · No max | 115 months (9 yrs 7 m) | No deduction |
| Public Provident Fund (PPF) | 7.1% | Min ₹500 · Max ₹1.5 lakh p.a. | 15 years | EEE |
| Sukanya Samriddhi Yojana | 8.2% | Min ₹250 · Max ₹1.5 lakh p.a. | Deposits 15 yrs; matures at 21 yrs | EEE |
| National Savings Certificate | 7.7% | Min ₹1,000 · No max | 5 years | 80C / Sec 123 |
| Senior Citizens’ Savings Scheme | 8.2% | Min ₹1,000 · Max ₹30 lakh | 5 years (+3-yr blocks) | 80C / Sec 123 |
| National Pension System | Market-linked | Min ₹1,000 p.a. · Employer: 14% (new regime) | Till 60, can continue to 85 | 80CCD(1), (1B), (2) |
| Employees’ Provident Fund | 8.25% | 12% of basic + DA | Till retirement | EEE (conditions) |
| Tax-Saving FDs | ≈5.5% – 7.75% | Min ₹100 · Max ₹1.5 lakh per FY | 5 years | 80C / Sec 123 |
Source: Ministry of Finance notification for Q2 FY 2026-27; EPFO notification for FY 2025-26. Rates of NSC, KVP, SCSS, MIS and TD are locked on the day of investment. PPF, SSY and savings/RD rates change with every quarterly notification. Section 80C of the Income-tax Act, 1961 is Section 123 of the Income-tax Act, 2025 from tax year 2026-27; the deduction is available only under the old tax regime.
Small-savings interest rate trend
Rates are linked to government-bond yields of similar maturity (Shyamala Gopinath Committee formula) but the final decision rests with the Government.
| Scheme | Apr–Jun 2023 | Oct–Dec 2023 | Jan–Mar 2024 | Apr 2024 – Sep 2026 |
|---|---|---|---|---|
| PPF | 7.1% | 7.1% | 7.1% | 7.1% |
| Sukanya Samriddhi | 8.0% | 8.0% | 8.2% | 8.2% |
| SCSS | 8.2% | 8.2% | 8.2% | 8.2% |
| NSC | 7.7% | 7.7% | 7.7% | 7.7% |
| KVP | 7.5% (115 m) | 7.5% (115 m) | 7.5% (115 m) | 7.5% (115 m) |
| POMIS | 7.4% | 7.4% | 7.4% | 7.4% |
| 5-year RD | 6.2% | 6.7% | 6.7% | 6.7% |
| 3-year TD | 7.0% | 7.0% | 7.1% | 7.1% |
Historic rates shown for context; always check the current quarter’s notification before investing.
Advantages of savings schemes
Schemes like PPF, SSY and NPS are built for decades — retirement, a child’s education or marriage — and reward disciplined, regular contributions.
Dedicated schemes exist for the girl child (SSY), senior citizens (SCSS), the unorganised sector (APY), the unbanked (PMJDY) and salaried employees (EPF/VPF).
Open at any post office or authorised bank, deposit online through net banking / IPPB, and track balances on the passbook or app.
Small-savings schemes carry a sovereign guarantee from the Government of India — there is no default risk and no deposit-insurance ceiling.
PPF, SSY and EPF are EEE — the contribution is deductible and both interest and maturity are tax-free (old regime).
Fixed, government-notified rates insulate you from market volatility — rates are locked for tenure in NSC, KVP, SCSS, MIS and TD.
Different types of savings schemes
| Scheme | Key features | Returns & tax benefits |
|---|---|---|
| Tax-Saving FDs | 5-year lock-in; bank FDs; min ₹100–₹1,000; no premature withdrawal or loan | ≈5.5%–7.75%; interest taxable; deduction up to ₹1.5 lakh |
| ULIP | Insurance + investment; equity/debt fund choice; 5-year lock-in | Market returns; deduction on premium; maturity exempt if annual premium ≤ ₹2.5 lakh |
| ELSS (Mutual Funds) | 3-year lock-in; ≥80% equity; SIP from ₹500 | Market returns; LTCG 12.5% above ₹1.25 lakh; deduction up to ₹1.5 lakh |
| Public Provident Fund | 15-year lock-in, extendable in 5-year blocks; post office/banks; loan & partial withdrawal | 7.1%; EEE — tax-free interest and maturity |
| EPF | Employer + employee 12% each; mandatory in 20+ employee establishments | 8.25% (FY 25-26); tax-free within ₹2.5 lakh contribution rule |
| NPS | Retirement account till 60 (continue to 85); up to 80% lump sum for non-govt subscribers | Market-linked; extra ₹50,000 under 80CCD(1B); employer 80CCD(2) |
| Sukanya Samriddhi Yojana | Girl child below 10; deposits 15 yrs; matures in 21 yrs; min ₹250/yr | 8.2%; EEE |
| Atal Pension Yojana | Age 18–40; non-taxpayers; min 20 years contribution | Guaranteed ₹1,000–₹5,000 pension; contribution under 80CCD |
| Voluntary Provident Fund | Extra contribution up to 100% of basic + DA into EPF | 8.25%; tax-free within ₹2.5 lakh rule |
| Kisan Vikas Patra | Money doubles in 115 months; min ₹1,000; exit after 30 months | 7.5%; no deduction; interest taxable |
| Senior Citizens’ Savings Scheme | Age 60+; 5-year tenure; min ₹1,000, max ₹30 lakh; quarterly payout | 8.2%; interest taxable; deposit deductible |
| National Savings Certificate | 5-year tenure; min ₹1,000; post offices; pledgeable | 7.7%; deduction on principal + reinvested interest |
| Post Office Savings Account | Basic savings; nationwide; min ₹500 | 4%; exempt up to ₹3,500 (₹7,000 joint) |
| Post Office Recurring Deposit | 5-year RD; ₹100/month; 5-year extension | 6.7%; interest taxable; no deduction |
| Mahila Samman Savings Certificate | One-time 2-year scheme for women — closed for new deposits after 31 March 2025 | 7.5% for existing holders; interest taxable |
Explore every saving scheme
Each page covers eligibility, how the scheme works, interest calculation, withdrawal and loan rules, tax, forms, documents, examples and FAQs.
Post Office Small Savings
Government-notified rates, sold through India Post and authorised banks
Retirement & Pension
Long-horizon products built for income after 60
Provident Fund (EPF/VPF)
Salary-linked retirement savings managed by EPFO
Tax-Saving Investments
Bank / market products that qualify for the ₹1.5 lakh deduction
Welfare & Inclusion Schemes
Basic banking and social-security schemes
Closed / Discontinued Schemes
No fresh investment — existing holders only
EPF / PF Services
Step-by-step EPFO member-portal and UMANG guides
Saving-Scheme Calculators
Estimate maturity, pension and income
Post Office saving schemes list
India Post offers nine small-savings schemes through more than 1.5 lakh post offices. All of them can also be opened at authorised banks (except POSA, KVP and NSC in most banks).
| # | Post Office scheme | Rate | Best for |
|---|---|---|---|
| 1 | Post Office Savings Account | 4.0% | Base account for all PO schemes |
| 2 | National Savings Time Deposit Account | 6.9%–7.5% | Fixed deposits of 1–5 years |
| 3 | Senior Citizens’ Savings Scheme Account | 8.2% | Retirees needing quarterly income |
| 4 | National Savings Certificate | 7.7% | 5-year tax-saving fixed return |
| 5 | Sukanya Samriddhi Account | 8.2% | Girl child’s education & marriage |
| 6 | National Savings Recurring Deposit Account | 6.7% | Monthly saving habit |
| 7 | National Savings Monthly Income Account | 7.4% | Monthly income |
| 8 | Public Provident Fund Account | 7.1% | Tax-free long-term corpus |
| 9 | Kisan Vikas Patra | 7.5% | Doubling a lump sum |
Tax treatment of saving schemes
Tax benefit is judged at three stages — contribution (E/T), accumulation (E/T) and withdrawal (E/T). From tax year 2026-27 the ₹1.5 lakh deduction formerly under Section 80C sits in Section 123 of the Income-tax Act, 2025, with eligible instruments listed in Schedule XV. It is available only if you choose the old tax regime.
| Scheme | Contribution | Interest / growth | Maturity | Status |
|---|---|---|---|---|
| PPF | Deductible | Exempt | Exempt | EEE |
| Sukanya Samriddhi | Deductible | Exempt | Exempt | EEE |
| EPF / VPF | Deductible | Exempt* | Exempt after 5 yrs | EEE* |
| NSC | Deductible | Taxable (yrs 1–4 re-deductible) | — | EET |
| SCSS | Deductible | Taxable | Principal exempt | ETE |
| 5-yr PO TD / Tax-saver FD | Deductible | Taxable | — | ETE |
| NPS | Deductible (+₹50,000) | Exempt | 60% exempt; annuity taxable | EEE / EET |
| ELSS | Deductible | — | LTCG 12.5% above ₹1.25 lakh | EET |
| KVP / POMIS / PO RD | Not deductible | Taxable | Principal exempt | TTE |
*EPF interest is taxable on employee contributions above ₹2.5 lakh a year (₹5 lakh if the employer does not contribute). TDS applies on SCSS/TD interest above ₹1 lakh (senior citizens) / ₹50,000 (others).
Compare saving schemes by lock-in, liquidity & safety
| Scheme | Lock-in | Earliest access | Loan | Return type | Who can open |
|---|---|---|---|---|---|
| PPF | 15 yrs | Partial from 7th FY | Yrs 3–6 | Variable (quarterly) | Resident individuals |
| SSY | 21 yrs | 50% at 18 for education | — | Variable | Girl below 10 |
| SCSS | 5 yrs | Any time (penalty) | — | Locked at deposit | 60+ (50/55+ retirees) |
| NSC | 5 yrs | Only death / court | Pledge | Locked | Resident individuals |
| KVP | 115 months | After 30 months | Pledge | Locked | Resident individuals |
| POMIS | 5 yrs | After 1 yr (penalty) | — | Locked | Resident individuals |
| PO RD | 5 yrs | After 3 yrs | 50% after 12 inst. | Locked | Resident individuals |
| PO TD | 1–5 yrs | After 6 months | Pledge | Locked | Resident individuals |
| NPS | Till 60 | Partial after 3 yrs | — | Market-linked | Citizens 18–70, NRIs |
| EPF | Till retirement | Partial after 12 m service | — | Annual (EPFO) | Salaried employees |
Which saving scheme should you choose?
Sukanya Samriddhi (8.2%, EEE) first; add PPF in the parent’s name for flexibility.
SSY guide →SCSS up to ₹30 lakh per person, then POMIS; ladder PO TDs for the rest.
SCSS guide →EPF + VPF for debt, NPS for equity exposure and extra deduction, PPF as tax-free anchor.
NPS guide →PPF / SSY (EEE) for safety, ELSS for growth, NSC / 5-yr TD for fixed returns.
ELSS guide →APY guarantees ₹1,000–₹5,000/month; open a PMJDY account for zero-balance banking.
APY guide →Saving schemes calculator
Switch between schemes to estimate maturity, monthly income or pension at current rates.
Dedicated calculators: PPF · Sukanya Samriddhi · NPS · EPF
How to invest in saving schemes
- Pick the scheme and check eligibility.
- Fill the account opening form with nominee.
- Submit Aadhaar, PAN and photographs.
- Pay by cash, cheque or transfer.
- Collect the passbook / certificate.
- Log in to net banking of an authorised bank (PPF, SSY, SCSS, NSC via some banks).
- For post office schemes, use India Post internet banking / IPPB app linked to your POSA.
- NPS via eNPS; EPF through the UAN portal.
- Set standing instructions for regular deposits.
Documents required
| Document | Requirement |
|---|---|
| Aadhaar | Mandatory for all small-savings accounts (since April 2023); proof of Aadhaar enrolment accepted temporarily |
| PAN | Mandatory at opening, or within 2 months if deposit exceeds ₹50,000 / credits exceed ₹1 lakh in a year |
| Source of funds | For investments above ₹10 lakh (KVP / NSC / SCSS) |
| Photograph | Recent passport size |
| Age / birth proof | For SSY (girl), SCSS (60+), minor accounts |
EPF & PF services
Everything salaried employees need for their provident fund — from UAN activation to withdrawal. EPF interest for FY 2025-26 is 8.25%; partial withdrawals were simplified into three categories in October 2025.
Closed & discontinued schemes
| Scheme | Status | Alternative |
|---|---|---|
| Mahila Samman Savings Certificate | Closed for deposits after 31 March 2025 | SSY, NSC, 2-yr PO TD |
| Pradhan Mantri Vaya Vandana Yojana | Closed for new subscriptions after 31 March 2023 | SCSS, POMIS, annuity |
Common mistakes to avoid
A taxable 8.2% (SCSS) can be worth less than a tax-free 7.1% (PPF) in higher slabs.
Money in PPF, SSY or NSC is not an emergency fund.
PPF (₹500) and SSY (₹250) accounts become discontinued with penalties.
The ₹1.5 lakh deduction does not apply in the new regime — plan contributions accordingly.
Aadhaar/PAN gaps can freeze accounts; missing nominees delay claims.
PPF and SSY interest uses the lowest balance between the 5th and month-end.
Latest updates on saving schemes
| Date | Update |
|---|---|
| 30 Jun 2026 | Small-savings rates for July–September 2026 kept unchanged: SSY & SCSS 8.2%, NSC 7.7%, KVP 7.5%, POMIS 7.4%, PPF 7.1%, 5-yr RD 6.7%. |
| 2026 | EPFO notified 8.25% interest on EPF deposits for FY 2025-26. |
| 1 Apr 2026 | Income-tax Act, 2025 in force — Section 80C is now Section 123 (₹1.5 lakh limit unchanged). |
| Dec 2025 | PFRDA amended NPS exit rules — non-government subscribers can take up to 80% as lump sum; continue till 85. |
| Oct 2025 | EPFO merged 13 partial-withdrawal rules into 3 categories; 12-month minimum service; 25% minimum balance. |
FAQs on saving schemes in India
Can I get a tax rebate for investment in post office savings schemes?
Yes. PPF, SSY, NSC, SCSS and the 5-year Time Deposit qualify for the ₹1.5 lakh deduction (Section 80C / Section 123) in the old regime. MIS, RD, KVP and 1–3 year TDs do not.
Which post office savings scheme is suitable for 5 years?
For regular saving, the 5-year Post Office RD; for a lump sum, the 5-year TD (7.5%, tax-deductible) or NSC (7.7%); for monthly income, POMIS (7.4%).
Can students open a post office savings scheme?
Yes. Anyone aged 18+ (and minors above 10 in own name for some schemes) can invest in most schemes. SSY is only for girls below 10 and SCSS only for 60+ (or eligible retirees).
How to buy Kisan Vikas Patra?
Visit a post office (or use India Post internet banking), fill Form A, submit Aadhaar/PAN and pay the amount. You receive the certificate or e-KVP.
Which post office scheme gives 8% interest?
Senior Citizens’ Savings Scheme and Sukanya Samriddhi Yojana both pay 8.2% for July–September 2026.
Which savings scheme gives the highest returns?
Among guaranteed schemes: SSY and SCSS (8.2%), EPF (8.25% for salaried), NSC (7.7%), KVP and 5-yr TD (7.5%). For tax-adjusted return, PPF and SSY (tax-free) often win in higher slabs.
What is a small saving scheme?
Government-run instruments — PPF, SSY, NSC, KVP, SCSS, MIS, RD, TD and POSA — that encourage savings with steady, low-risk returns.
What is a government saving scheme?
A scheme offered or guaranteed by the Government of India, with notified rates, tax benefits and sovereign safety.
What is the importance of saving schemes in India?
They help achieve long-term goals, provide safety of capital, support retirement and monthly-income needs, offer tax savings and encourage financial inclusion.
How often do small-savings interest rates change?
They are reviewed every quarter. The rate for the next quarter is announced near the end of the current quarter.
Are saving schemes safe compared with bank FDs?
Small-savings schemes carry a sovereign guarantee; bank FDs are insured by DICGC up to ₹5 lakh per depositor per bank.
Can NRIs invest in saving schemes?
NRIs cannot open new PPF, NSC, KVP, SCSS, SSY or PO accounts. They can invest in NPS, and continue existing PPF/NSC till maturity if opened as residents.