PPF, Sukanya Samriddhi, NSC, KVP Interest Rates Jan-Mar 2017

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• Has the 2017 Apr-Jun rates been declared? Which government website do you refer to for the latest rates?

  • Chan-Refer my latest post "PPF, Sukanya Samriddhi, NSC, KVP Interest Rates April-June 2017".

• Dear Sir,
  my father retired with lumpsum money as retirement benefit.Therefore,I give him a suggestion for opening a scss a/c with SBI.so my questions as per opening scss a/c ,they gave a passbook so they said interest comes after every quarter.so,i had opened it on the month of feb so then my question is to you that when my 1st interest credited to my passbook???second question is as per new vpvy 2017 scheme upcomeing in april.so,my question is that should i wait for the LIC new pension scheme or invested money to old jeevan akshay 6 right now ?????

  • Pratik-I replied to your FB message.

• Dear Basu,
  I have been depositing in SSA as per below…
  21-Mar-2015-Rs,1000- Opening installment.
  25-Mar-2015-Rs,50000- First installment.
  19-Jan-2016-Rs,50000- second installment.
  15-Feb-2017-Rs,42000- Third installment.

  I am investing on yearly basis.
  Is it the right way to invest to get more interest? Do you think that should I make any changes in the upcoming years?

  Thanks
  Vinod

  • Vinod-Refer my recent post "Sukanya Samriddhi Account -When to invest to earn more returns?".

• Hello Basa,

  I am 31 year old working in IT firm
  I want to invest around 3 Lacks per annum with below requirement.

  1) 1 L/A to invest where I could get guaranteed & fixed return's after 10 or max 15 year.
  2) 5ok I want buy term plan + medical claim for family.
  3) 1.8 L/A in mutual fund for investment.

  I need some suggestion from you on which product or where to invest for mam benefits
  for one thing I am sure, I don't need any product for tax saving .

  Regards
  Chetan

  • Chetan-You are doing the reverse. You are not targeting the financial goals. But how much you can invest a year.

    • Thanks Basa for writing back

      some home 3 to 3.5 lacks per Annum

      • Chetan-First identify your financial goals, the amount required to achieve those goals and finally how much you can save per month. But you are doing the reverse.

• Is it a good option to invest in ICICI prudential retirement income solution 1V plan ?please let me know your thoughts

  • Siva-Avoid products which is sold as RETIREMENT or PENSION product.

    • Hi Basu, Can you please elaborate why to avoid such product? Reason being - my adviser is suggesting the same thing to me for RELIANCE RETIREMENT PLAN. I am 38, M, N.Delhi, working in an IT company. Thanks in advance. - Amit VR

      • Amit-Why I have to lock my money with single product, when the same can be achieved with open ended funds? Agents are BEST in selling but not in giving you best suggestion. Refer my post "Reliance Retirement Fund-Is it a best pension plan with 80C benefit?".

• Hi,

  Interest earned on NSC is tax free? are there any post scheme which are tax free?

  thanks,
  Rajendra

  • Rajendra-It is taxable income. PPF is tax-free product.

    • thanks. is it possible to invest in PPF on behalf of my father? he is senior citizen.

      • Rajendra-What is your intention of investing? Reaching your goals or ONLY TAX SAVING??

        • only tax saving while earning secure interest. if i do FD or any other thing i earn interest but then i have to pay tax.

          i already have PPF account for me and my spouse,so thinking to open another on my dads name.

        • Rajendra-So no matter or you not at all worry about your financial goals??

        • basically, I have additional money which i want to save for future while earning some fixed interest. also, don't want to pay tax on earned interest.

          I can also opt for FD in bank or invest in Senior citizen saving scheme but then have to pay tax on earned interest.

        • Rajendra-Your goals seems to not set. First set goals, selection of products will be at END.

• Dear Basu, my father created a NSC in his and my name jointly (his name first), maturing this January. He deceased 4 year ago. I redeemed the NSC submitting his death certificate. I got the cheque in my name from Post Office.
  Is this income taxable for me? Because I heard that money received in inheritance is tax free.
  And when filing tax return, in which field/category do I need to show this amount?

  • Sanjay-Money received in your case is not inheritance. Because it is holded by both of you JOINTLY.

    • Thanks Basu for the answer. Is the complete maturity amount is taxable for me? Is it added to my total income and taxed as per my tax slab? And which category do I show this - Income from other sources ? Please clarify.

      • Sanjay-Interest income is taxable. Yes, it is added to your total income and taxed as per your tax slab. You have to show that under the income head of "Income from Other Sources".

        • Thanks Basu, but I'm still not clear. Say my father invested 25k, now I got 50k after maturity, cheque in my name (consisting principle and interest).
          Here 'interest' component is 25. Do I show 50k as 'income from other sources' or only the 25k?

        • Sanjay-Your income generated is only Rs.25,000 another Rs.25,000 is your principal.

        • Thanks Basu, in my case which amount I show in 'income from other sources', 25k of interest or 50k (principle+interest) which I got cheque for ?

        • Sanjay-Rs.25,000.

• Presently in senior citizen saving scheme maximum deposit is Rs 15 lakhs with quarterly interest @8.5%. On 31 Dec 2016, P.M announed a scheme of Rs 7.5 lakhs @8% monthly interest.
  Will the new scheme be in addition to old scheme?

  • Harsha-Yes, that is separate scheme which is not at all linked to SCSS.