Senior Citizen Day: The key to a happy and tension-free life post-retirement is wise investment and saving decisions. Senior citizens need to choose their investment tools wisely to ensure a regular income from an accumulated corpus. Most elderly people prefer a conservative route to keep their hard-earned money safe.
Senior Citizen Day: Top investment options for elderly
On the occasion of Senior Citizen Day 2024, here are top investment options for the elderly for higher safety, better returns, and greater liquidity of their money.
Senior Citizens Savings Scheme (SCSS)
The Senior Citizen Savings Scheme (SCSS) is a government-backed savings scheme for people above the age of 60 years. The scheme for Indian senior citizens is a good way for them to earn higher returns without taking any risk. The scheme provides higher interest rate than bank fixed deposits (FDs). The scheme has a lock-in period of five years. However, individuals can take out their money after the first year by paying some amount as a penalty. The scheme is a good option for senior citizens who want to earn higher returns.
Post Office Monthly Income Scheme (POMS)
The Post Office Monthly Income Scheme is a low-risk monthly income scheme. It also offers considerable capital protection, safeguarding individuals during the initial years of retirement.
Senior Citizen Fixed Deposits
Fixed Deposit schemes (FDs) are popular investment options for individuals with low risk appetites. FDs are provided by banks and Non-Banking Financial Companies (NBFCs). These options are popular due to their simplicity, reliability, and steady returns. Investment in a fixed deposit might be safe, but the deposited amount becomes inaccessible for a fixed duration.
Mutual Funds scheme
Senior Citizens who are willing to invest a portion of their money in high-return instruments can invest money in debt-oriented mutual funds or hybrid mutual funds. These investment options ensure higher-returns and opportunity for capital appreciation.
