Government Savings Schemes Guide (2026)
Everything about PPF, NSC, SCSS, SSY, POMIS, KVP, EPF, NPS, POTD, and RBI-backed savings in one structured reference library. Official rules, statutory deposit caps, tax treatments, nomination procedures, required documents, and life-cycle timelines explained in plain language.
Interactive Eligibility Knowledge Engine
Enter your household parameters below. The engine evaluates every sovereign scheme against official Gazette rules, explaining exactly WHY you are eligible or ineligible.
- Age 35 satisfies the statutory age eligibility criteria (0–100 years).
Open to all resident Indian citizens regardless of age or employment status. Statutory deposit limit: ₹500 to ₹1,500,000 per financial year.
- Age 35 satisfies the statutory age eligibility criteria (0–100 years).
Open to resident individuals and guardians. Minimum deposit ₹1,000 with no upper statutory ceiling.
- Applicant age (35 yrs) is below the minimum required age of 55 years for SCSS.
Open to resident seniors aged 60+ (or retired employees aged 55-60). Statutory cap: ₹30 Lakh per individual.
- Applicant age (35 yrs) exceeds the maximum opening age limit of 10 years for SSY.
- SSY is strictly an account for a girl child under 10 years of age.
Exclusively for girl children under 10 years. Capped at 2 accounts per family. Deposit window: 15 years; Maturity: 21 years.
- Age 35 satisfies the statutory age eligibility criteria (10–100 years).
Open to resident individuals aged 10+. Statutory caps: ₹9 Lakh (Single) / ₹15 Lakh (Joint). Tenure: 5 Years.
- Age 35 satisfies the statutory age eligibility criteria (0–100 years).
Open to all resident adults and guardians. Minimum deposit ₹1,000 with no maximum statutory limit.
- Age 35 satisfies the statutory age eligibility criteria (18–58 years).
Mandatory for salaried staff with basic pay up to ₹15,000/mo in covered establishments (20+ staff); optional for higher salaries.
- Age 35 satisfies the statutory age eligibility criteria (18–70 years).
Open to Indian citizens aged 18-70. Minimum annual deposit: ₹1,000. Dual tax deduction under Sec 80C & Sec 80CCD(1B).
- Age 35 satisfies the statutory age eligibility criteria (0–100 years).
Open to resident individuals. Available in 1, 2, 3, and 5-year tenures. 5-Year deposit qualifies for Sec 80C.
- Age 35 satisfies the statutory age eligibility criteria (0–100 years).
Open to resident individuals and HUFs. Floating interest reset semi-annually. Tenure: 7 Years.
Structured Scheme Knowledge Reference Cards
Select any government savings scheme below to inspect its legislative rules, deposit limits, tax rules, and life-cycle timeline.
Public Provident Fund (PPF)
Resident Indian citizens (single account per individual). Parents or legal guardians can open accounts on behalf of minor children.
Min: ₹500 per financial year
Max: ₹1,500,000 per financial year (across self and minor child accounts combined)
100% EEE Status — Deposit exempt under Sec 80C, Interest 100% tax-free, Maturity sum 100% tax-free. No TDS applicable.
Calculated monthly on the lowest balance between the 5th and last day of the month. Compounded annually on March 31st.
15 Financial Years (Matures on April 1st following completion of 15 full financial years).
Available from the 3rd to the 6th financial year up to 25% of the balance at the end of the 2nd preceding financial year (repayable at PPF rate + 1%).
Operational & Transferability Rules
One partial withdrawal per year allowed from the 7th financial year onward (up to 50% of the balance at the end of the 4th preceding year or immediately preceding year, whichever is lower). Allowed after 5 full financial years for serious illness of self/dependents or higher education of self/child (subject to 1% interest rate penalty from account opening date).
Mandatory at opening or anytime later. Multiple nominees with specific percentage shares allowed. Fully transferable across Post Offices and designated Commercial Bank branches (SBI, HDFC, ICICI, PNB, etc.) nationwide without penalty. Can be extended in 5-year blocks indefinitely upon maturity. Option 1: With fresh deposits (Form H submitted within 1 year). Option 2: Without fresh deposits (automatic).
Frequently Asked Questions (PPF)
No. Under the Public Provident Fund Scheme 2019, an individual can open only ONE PPF account in their name across all post offices and banks in India.
The account becomes 'discontinued'. It can be reactivated by paying a default penalty fee of ₹50 per missed year plus the minimum deposit of ₹500 for each year.
Scheme Life Cycle Journey Roadmap (PPF)
An interactive graphical timeline tracing key statutory milestones from account opening to final maturity and extensions.
Account opened with min ₹500 deposit. 15-year clock begins on April 1st of the financial year.
Loan facility unlocks (up to 25% of balance at end of Year 2).
Partial withdrawal facility unlocks (1 withdrawal per financial year up to 50% cap).
Full maturity. Choose between 100% tax-free withdrawal or 5-year block extensions.
Consolidated Money Movement Rules Matrix
Compare operational money flows across every government savings scheme in a single unified matrix.
| Scheme | Deposit Mode | Monthly Payout | Loan Facility | Nomination | Transferability | Premature Exit |
|---|---|---|---|---|---|---|
| PPF | Lump sum or up to 12 installments per financial year | No (Compounded) | ✓ Yes (Yr 3–6) | ✓ Mandatory | ✓ PO / Bank | ✓ Penalty applies |
| NSC | Lump sum single deposit per certificate purchase | No (Compounded) | ✓ Pledging | ✓ Mandatory | ✓ PO / Bank | Restricted |
| SCSS | Lump sum single deposit per account (multiple accounts permitted up to total ₹30 Lakh cap) | Quarterly | No | ✓ Mandatory | ✓ PO / Bank | ✓ Penalty applies |
| SSY | Lump sum or multiple flexible deposits in a financial year | No (Compounded) | No | ✓ Mandatory | ✓ PO / Bank | Restricted |
| POMIS | Single lump sum deposit per account | ✓ Yes (Monthly) | No | ✓ Mandatory | ✓ PO / Bank | ✓ Penalty applies |
| KVP | Single lump sum certificate purchase | No (Compounded) | ✓ Pledging | ✓ Mandatory | ✓ PO / Bank | ✓ Penalty applies |
| EPF | Monthly payroll deduction matched by employer contribution (3.67% EPF + 8.33% EPS pension). | No (Compounded) | ✓ Advance | ✓ Mandatory | ✓ PO / Bank | Restricted |
| NPS | Flexible contributions anytime or via monthly SIP / e-NPS | No (Compounded) | No | ✓ Mandatory | ✓ PO / Bank | Restricted |
| POTD | Single lump sum deposit per tenure (1, 2, 3, or 5 years) | No (Compounded) | ✓ Pledging | ✓ Mandatory | ✓ PO / Bank | Restricted |
| RBI Bonds | Lump sum single bond subscription | No (Compounded) | No | ✓ Mandatory | ✓ PO / Bank | Restricted |
Interactive Scheme Rule Explorer
Search specific rule topics like loan, nomination, withdrawal, minor, extension, tax, or transfer to filter statutory provisions across all schemes instantly.
Available from the 3rd to the 6th financial year up to 25% of the balance at the end of the 2nd preceding financial year (repayable at PPF rate + 1%).
Can be pledged as collateral/security to commercial banks and government housing finance companies for securing loans.
No loan facility available against SCSS deposits.
No loan facility available against SSY accounts.
No loan facility available against POMIS accounts.
Can be pledged as collateral/security to commercial banks for obtaining business or personal loans.
Partial non-refundable advances allowed without debt obligation or repayment interest.
No direct loan facility, but 25% partial withdrawal serves emergency liquidity.
Can be pledged as security/collateral for commercial bank loans.
Bonds are NON-TRANSFERABLE and CANNOT be pledged as collateral for bank loans.
Documentation Center & KYC Requirements Matrix
Statutory document checklist required by Post Offices and Commercial Banks to open and operate small savings accounts in India.
| Scheme | Identity Proof | Address Proof | PAN Card | Aadhaar | Special Proof Required |
|---|---|---|---|---|---|
| PPF | ✓ Required | ✓ Required | ✓ Mandatory | ✓ Mandatory | Guardian proof if opening for minor |
| SCSS | ✓ Required | ✓ Required | ✓ Mandatory | ✓ Mandatory | Age proof (60+) / Retirement proof (55-60) |
| SSY | ✓ Guardian | ✓ Guardian | ✓ Guardian | ✓ Guardian | Girl Child Birth Certificate |
| POMIS | ✓ Required | ✓ Required | ✓ Mandatory | ✓ Mandatory | Post Office Savings Account passbook |
| EPF | ✓ Required | ✓ Required | ✓ Mandatory | ✓ UAN Linked | UAN & Employer Authorization |
| NPS | ✓ Required | ✓ Required | ✓ Mandatory | ✓ eKYC | Cancelled cheque / Bank details |
Operational Events Calendar & Deposit Deadlines
Recurring calendar triggers you must follow to maximize compounding interest and maintain statutory compliance.
5th of Every Month
Deposit into PPF and SSY on or before the 5th to earn interest for that full month.
Quarterly Payout Dates
April 1, July 1, October 1, January 1: SCSS quarterly interest credited; Ministry of Finance resets rates.
March 31st Financial Year End
Mandatory minimum deposit deadline for PPF (₹500) & SSY (₹250). Compounding interest credited.
1-Year Extension Window
PPF & SCSS holders must submit extension applications (Form H / Form 4) within 1 year of maturity.
Factual Tax Rule Explorer
Statutory tax treatment rules across Section 80C, EEE status, TDS thresholds, and Section 80TTB benefits.
PPF & SSY
Deposit qualifies for Sec 80C deduction, annual interest earned is 100% tax-exempt, and final maturity corpus is 100% tax-free.
SCSS, NSC & 5-Yr POTD
Principal deposit qualifies for Sec 80C deduction up to ₹1.5L. Interest earned is taxable as per income slab. Senior citizens can claim up to ₹50,000 under Sec 80TTB.
National Pension System (NPS)
Sec 80C (₹1.5L) + Sec 80CCD(1B) extra ₹50,000 deduction. At age 60, 60% lump sum is 100% tax-free; 40% annuity payouts taxed as income.
Nomination & Succession Protocol Center
Official rules governing nomination registration, minor nominees, joint account operation, and deceased claim settlement.
Multiple Nominees & Allocation
Account holders can nominate up to 4 individuals (or 3 for NPS/EPF) specifying exact percentage shares. Nominees can be updated at any time by submitting Form 10 to the post office or bank branch.
Deceased Claim Settlement
Upon death of the primary holder, nominees receive the full accumulated principal and interest up to the date of death without premature withdrawal penalty upon presenting death certificate & Form 11 claim form.
Common Mistake Library & Costly Traps
Categorized real-world mistakes Indian families make with small savings schemes and how to avoid them.
Depositing after 5th misses 1 month interest. Opening 2 PPF accounts leads to interest forfeiture on the 2nd account.
Failing to submit Form 4 within 1 year loses 3-year extension privilege. Unsubmitted Form 15H triggers unnecessary 10% TDS.
Withdrawing before 5 continuous years makes past interest taxable. Pending e-nomination blocks online claim processing.
Frequently Confused Rules & Statutory FAQs
Definitive answers to common statutory doubts regarding Indian government savings schemes.
Can I have multiple PPF accounts across different banks or post offices?
No. Under the Public Provident Fund Scheme 2019, an individual can open only ONE PPF account in their name across all authorized banks and post offices in India. If a person inadvertently opens a second PPF account, the second account is declared irregular, earns zero interest, and the principal deposit is refunded without any compounding benefits.
Can PPF or Post Office Savings accounts be transferred if I shift cities?
Yes. PPF, POMIS, SCSS, SSY, and NSC accounts can be seamlessly transferred from one Post Office to another, or between Post Offices and designated Commercial Bank branches (SBI, HDFC, ICICI, Punjab National Bank, etc.) nationwide. The transfer application is submitted via Form SB-10(b) along with the original passbook and fresh KYC documents.
What happens to SCSS or POMIS if the account holder passes away before maturity?
Upon the death of the primary account holder, interest payouts cease from the date of death. The account is closed prematurely, and the entire principal balance plus accrued interest up to the date of death is paid to the registered nominee or legal heirs without any premature closure penalty.
Can EPF and PPF coexist simultaneously for a salaried employee?
Yes! Salaried employees can contribute to EPF/VPF through employer payroll AND maintain an independent PPF account in their individual capacity. Both scheme deposits qualify under Section 80C (subject to the combined ₹1.5 Lakh limit for tax deduction, though total deposits can exceed ₹1.5L across both).
Government Regulatory Change Timeline (2021–2026)
Key legislative updates, limit enhancements, and tax rule revisions issued by the Ministry of Finance and EPFO.
EPF Taxable Cap Introduced
Interest on employee EPF contributions exceeding ₹2.5 Lakh per year declared taxable under Finance Act 2021.
SCSS & POMIS Limits Doubled
Union Budget 2023 raised SCSS limit from ₹15L to ₹30L, and POMIS joint limit from ₹9L to ₹15L (Single to ₹9L).
Aadhaar-PAN Linkage Enforced
Mandatory Aadhaar and PAN verification enforced for all small savings accounts to prevent duplicate PPF accounts.
Current Sovereign Rates
SSY & SCSS sustained at 8.2% p.a., EPF at 8.25%, RBI Bonds at 8.05%, POMIS at 7.4%, NSC at 7.7%, PPF at 7.1%.
Government Savings Schemes Master Reference Table
Side-by-side statutory summary across limits, interest rates, lock-in tenures, and Section 80C tax benefits.
| Scheme | Sovereign Rate | Min Deposit | Max Deposit / Yr | Lock-in Period | Tax Status | Payout / Compounding |
|---|---|---|---|---|---|---|
| PPF | 7.1% p.a. | ₹500 per financial year | ₹1,500,000 per financial year (across self and minor child accounts combined) | 15 Financial Years (Matures on April 1st following completion of 15 full financial years). | 100% EEE Status | Compounded annually on March 31st. |
| NSC | 7.7% p.a. | ₹1,000 | No upper limit (in multiples of ₹100) | 5 Years fixed tenure. | Deposit qualifies for Section 80C deduction. Annual accrued interest for Years 1–4 is deemed reinvested and qualifies for 80C tax deduction. Year 5 interest is taxable. | Compounded annually, paid as a single cumulative lump sum at maturity. |
| SCSS | 8.2% p.a. | ₹1,000 | ₹3,000,000 (₹30 Lakhs per individual across all bank and post office SCSS accounts combined) | 5 Years initial tenure. | Deposit qualifies for Sec 80C deduction (up to ₹1.5L). Interest is fully taxable as income. Seniors can claim up to ₹50,000 deduction under Sec 80TTB. TDS applicable if interest > ₹50,000/yr (unless Form 15H submitted). | Not compounded; paid out directly every quarter on statutory government payout dates. |
| SSY | 8.2% p.a. | ₹250 per financial year | ₹150,000 per financial year | Deposits required for 15 years from account opening. Account matures when the girl child turns 21 years old. | 100% EEE Status | Compounded annually on March 31st. |
| POMIS | 7.4% p.a. | ₹1,000 | ₹900,000 for Single Account; ₹1,500,000 for Joint Account | 5 Years fixed tenure. | No tax deduction under Section 80C. Interest income is 100% taxable as per the account holder's income tax slab. No TDS deducted by Post Office. | Not compounded; paid out every month directly into linked Post Office Savings Account or bank account. |
| KVP | 7.5% p.a. | ₹1,000 | No upper limit (in multiples of ₹1,000) | 2 Years & 6 Months (30 Months statutory lock-in period). | No Section 80C tax deduction on deposit. Interest is fully taxable on accrual/maturity as per holder's tax slab. No TDS. | Compounded annually, paid as 2x principal at final maturity. |
| EPF | 8.25% p.a. | 12% of Basic Salary + Dearness Allowance (DA) | No upper limit (Voluntary Provident Fund / VPF permits up to 100% Basic + DA) | Until retirement at age 58. | Employee contribution qualifies under Sec 80C. Interest is 100% tax-free provided employee's annual contribution does NOT exceed ₹2.5 Lakhs (or ₹5 Lakhs if no employer contribution). Maturity sum is 100% tax-free if continuous service >= 5 years. | Compounded annually. |
| NPS | 9.5% - 12.5% (Market Linked) | ₹1,000 per financial year for Tier-1 Account | No upper cap | Until age 60. | Section 80C (up to ₹1.5L) + Exclusive Section 80CCD(1B) additional ₹50,000 deduction. Employer contribution up to 10% basic salary exempt under Sec 80CCD(2). At age 60, 60% lump sum withdrawal is 100% TAX-FREE. | Daily NAV compounding based on asset allocation (Active or Auto Choice). |
| POTD | 6.9% - 7.5% p.a. | ₹1,000 | No upper limit (in multiples of ₹100) | 1, 2, 3, or 5 years depending on chosen tenure. | ONLY 5-Year POTD qualifies for Section 80C tax deduction (up to ₹1.5L). Interest on 1, 2, 3, and 5-year POTD is fully taxable as per holder's tax slab. No TDS. | Compounded quarterly, paid annually into linked savings account. |
| RBI Bonds | 8.05% p.a. (Floating) | ₹1,000 | No upper limit (in multiples of ₹1,000) | 7 Years lock-in period for general citizens. | No Section 80C tax deduction. Interest is fully taxable as per holder's income tax slab. TDS is deducted at 10% under Section 194K if annual interest > ₹10,000 (Form 15G/15H accepted). | Not compounded; paid semi-annually on July 1st and January 1st. |
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