National Saving Certificate Calculator
NSC, It is a fixed income tax saving scheme, where you can save up to 1.5 lakhs in tax under section 80c of the Income Tax Act. NSC is the government scheme where it encourages the peoples of India to start saving. You invest in this scheme through your nearest Post Office, and currently it offers 6.8% interest per year.
If you are willing to find interest on your NSC investment, then you use the NSC Calculator given below.
Table Of Content
- National Saving Certificate Calculator
- NSC Calculator
- Table Of Content
- Important Pages
- How To Calculate Your NSC Investment?
- What Is The National Saving Certificate (NSC)?
- How To Buy A National Saving Certificate (NSC)?
- How Our NSC Calculator Can Help You?
- NSC Interest Rates & Maturity Period
- Features Of National Saving Certificate (NSC)
- What Are The Tax Benefits Of NSC Investment?
- Comparison of NSC with other tax-saving investments
- National Saving Certificate (NSC) Interest, How IT Calculator?
- FQS | Frequently Asked Questions
- NSC VS Other Fixed Income Scheme
- Why To Invest In NSC?
- National Savings Certificate VS PPF
- How To Find Post Office Near You?
How To Calculate Your NSC Investment?
- Amount: Add the total amount you want to invest
- Interest: Add the rate of interest proposed by the post office
- Tenure: Time period of your interest
Once you fill out these informations, our tool will automatically show the result.
What Is The National Saving Certificate (NSC)?
It is a fixed Income Scheme, which means you will get your return on the fixed schedule. NSC is one of the very famous TAX saving fixed Income Scheme in India for the small and mid-income investors.
This scheme encourages small and mid-income investors to start saving, and it also helps in tax saving. By investing in the NSC scheme, you can save tax up 1.5 lakhs under section 80c of the Income Tax Act.
This is one of the most secure and low-risk investments, so your returns are guaranteed without any worry.
NSC comes with the 5 years of the time period, so you get your investment back after the 5 years with the interest you earned over the period of 5 years.
The current rate of interest of NSC is 6.8%; previously, it was 7.5. The minimum deposit is Rs 100, and no maximum limit; also, there is no TDS on NSC investments.
How To Buy A National Saving Certificate (NSC)?
This scheme is only for the individual Indian residents, so any Indian residents can invest in the NSC scheme from the post office. NRI (Non-Residents Indian), HUF (Hindu United Families), and trusts are not allowed to invest in this saving scheme.
Follow The Below Steps To Invest In NSC Scheme.
- Visit your nearest bank and get the application form for the NSC.
- Fill all of the required information
- You also need any ID and resident proof
- You can pay the investment amount via cash, DD 9demand draft), or cheque.
How Our NSC Calculator Can Help You?
If you are planning to invest your money in the National Saving Certificate Scheme, then you must know all of the calculations of total interest and total money you will get on maturity.
Calculating the interest on the NSC is a little complex because of the compound interest. Which means after the interest calculated over your money for the first year, it automatically adds to your original investment, and next time you will get the interest on the total amount.
Yes, you can calculate the interest manually, but it will time consuming. With the help of our tool, you can get all of the calculations within a minute with 100% accuracy.
- Using the tool is very easy, just add all of the required information and click calculate.
- Manual calculation can take a long time, but with our tool, it is the work of a few seconds.
- Our tool gives you 100% accurate results all the time.
- Our tool is free to use without any limit, use as much as you want
NSC Interest Rates & Maturity Period
Currently, from April 1, 2020, NSC Interest Rates are 6.8%.
Previously NSC certificates came with the two option NSC VIII Issue and NSC IX Issue, but since December 2015, “NSC IX Issue” has been discontinued, which comes with the 10 years of the lock-in period.
Now only the NSC VIII exist, which comes with the 5 years of lock in period.
Features Of National Saving Certificate (NSC)
- This scheme is to attract small and mid-size investors. You can invest a minimum of 100, which means anyone can do NSC.
- Your returns are guaranteed, this is one of the low-risk investment where you do not need to worry about your returns
- The lock in period of NSC is 5 years
- Investor gets compound interest on the investment
- There is no TDS on the maturity payout, so you get the full money, but you have to pay the tax on the total interest on maturity
- The investor has the option to get a loan against their NSC
- Premature withdrawal is not allowed, except for some exceptional cases like death, etc.
- Any of your family members, even the minor, can be the nominee.
What Are The Tax Benefits Of NSC Investment?
Investors can get tax benefit up to 1.5 lakh under the section 80c of the income tax act. Also, you can claim tax advantage for the interest you earn on your NSC Investment for the first four years.
On maturity, there will be no TDS, but you have to pay the tax on the total interest according to your tax slab.
Comparison of NSC with other tax-saving investments
What are other Similar tax-saving investments Like NSC (National Savings Certificate)?
- Sukanya Samriddhi Yojana @ 7.6%
- Equity Linked Savings Scheme @ 12-15% (market-linked)
- National Pension Scheme @ 8-10% (market-linked)
- Public Provident Fund @ 7.1%
- Senior Citizens Savings Scheme @7.4%
National Saving Certificate (NSC) Interest, How IT Calculator?
Let’s take an example.
- Amount of investment: 100,000
- Rate Of Interest: 6.8%
- Year: 5
- Compound: Half Yearly
Your interest will be: 39703
Total Amount: 139703
FQS | Frequently Asked Questions
Yes, NSC is a great low risk fixed income saving scheme for the small and mid-size investors. It includes tax saving up to 1.5 lakh under section 80c of the income tax act.
From April 1, 2020 interest rate on NSC is 6.8% (source Department of Posts circular).
Yes, there will be tax on the interest, as per your tax slab. Your invested amount will be tax-free.
There is no option for premature withdrawal.
You need an ID proof and address proof.
Any Indian Resident can invest in the NSC through the post office.