Budget 2023: Good news for retirees

The recently announced budget by Finance Minister Nirmala Sitharaman had a lot of things to cherish for retired individuals. Read on to find out more.

Today all eyes were glued towards the budget for FY 2023-24, putting an end to a lot of rumours looming around. Along with the pathbreaking announcement related to an income tax rebate, it also had other instances for retirees to cheer. 

In Senior Citizen Saving Scheme (SCSS), the maximum limit has been doubled. Previously maximum limit for investment in SCSS was Rs 15 lakh, which now via budget 2023, has been enhanced to Rs 30 lakh. At present, this is one of those small saving schemes that provide the highest interest rate. With effect from January 1, 2023, to March 31, 2023, the interest rate applicable on SCSS is 8 per cent. 

Moreover, the limit for Post Office Monthly Income Scheme (POMIS) has been enhanced to Rs 9 lakh from Rs 4 lakh for single account holders. However, in the case of joint holding, the limit has been increased to Rs 15 lakh from Rs 9 lakh earlier. At present, the POMIS plan offers an interest rate of 7.1 per cent, which is on par with the Public Provident Fund (PPF). 

Apart from this, the budget 2023 also announced Mahila Samman Saving Certificate, a one-time small savings scheme for women. The maximum amount that can be invested in this scheme is Rs 2 lakh. Moreover, the tenure of the same is two years with a fixed interest rate of 7.5 per cent p.a. This also is a good option to invest for women retirees.