📖 Learning Path

Government Schemes Made Simple

Understanding your safest investment options.

TL;DR

Government schemes are backed by the Indian government. Very safe, but often have lock-in periods. PPF and EPF are great for long-term. NPS is for retirement with extra tax benefits. SCSS is for senior citizens. Choose based on your age, goal, and how long you can lock money.

Quick Overview

PPFLock: 15 years

Public Provident Fund

Best for: Long-term savings + tax saving

EPFLock: Till 58 years

Employee Provident Fund

Best for: Salaried employees' retirement

NPSLock: Till 60 years

National Pension System

Best for: Retirement + extra ₹50K tax deduction

SCSSLock: 5 years

Senior Citizens Savings Scheme

Best for: Regular income for 60+ age

SSYLock: Till daughter is 21

Sukanya Samriddhi Yojana

Best for: Savings for girl child

NSCLock: 5 years

National Savings Certificate

Best for: Medium-term safe saving

How to Choose

1

Check your goal

Retirement? Tax saving? Girl child's future? Each scheme has a purpose.

2

Consider lock-in

PPF is 15 years. NPS is till 60. Make sure you won't need the money.

3

See if you qualify

SCSS is only for 60+. SSY needs a girl child under 10. EPF is for salaried.

4

Understand the tax angle

Most give 80C benefits. NPS gives extra ₹50K. But check taxability at withdrawal.

5

Start small

PPF needs minimum ₹500/year. You can always increase later.

Common Mistakes to Avoid

  • Opening PPF without understanding the 15-year commitment
  • Ignoring EPF (it's free money from employer matching)
  • Not claiming the extra ₹50K NPS deduction
  • Withdrawing EPF when changing jobs (let it grow)
  • Thinking government = low returns (PPF often beats FD post-tax)

Simple Checklist

Understood which schemes I'm eligible for
Checked lock-in periods
Calculated potential tax savings
Opened account (bank or post office)
Set up yearly contribution reminder

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