Let’s take a hypothetical situation into consideration. Let’s just say you plan on having a healthier and fitter life. Would your first steps be lifting 200 pounds – or would it be starting off with five pounds? It would be the smaller steps that count. In the beginning, it could start off with a walk and then move forward to more intensity. Don’t you think your investment and saving journey should be the same? Well, even if you aren’t ready to start – you can start off small to experience the benefit of it in the future. 

Here – we are going to be speaking about some of the best small saving schemes in our country that you can make use of.

The Perks of Savings Schemes

The following are the primary benefits of investing in savings plans:

  • Long-term benefits: By investing in savings plans, individuals can reach long-term goals such as retirement plans, children’s schooling, and children’s marriage.
  • Security and safety: Because the schemes are created by the Indian government, the contributions made to them are low risk as well as safe and secure.
  • Various savings plans: There are numerous savings plans accessible nowadays. The perks differ according to the plan and the industry. The Pradhan Mantri Jan Dhan Yojana, for example, is intended to assist individuals living in poverty, but the Sukanya Samriddhi Yojana provides financial assistance to a female child.
  • Hassle-free: The maintenance and investment in the programs are quite simple, and the majority of contributions can be paid online.

Small Saving Schemes that Can Benefit You

Here are some of the smallest saving schemes in our country, and among them are some of the best post office saving schemes, government schemes, and more:

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a) Monthly Income Scheme of the Post Office

The Post Office Monthly Income Scheme is similar to a traditional savings account. Individual account holders can invest in the scheme with a minimum of Rs.1,500 and a maximum of Rs.4.5 lakh. The account holder will get a fixed monthly income in the form of greater interest on the same post office savings account.

The current annual interest rate is 6.6%. The scheme is exclusively available to resident Indian citizens. In the event of joint account holders, two or three people can invest in the scheme together up to Rs.9 lakh. The earnings on investments and interest are neither tax deductible nor exempt.

b) Kisan Vikas Patra

By visiting your local post office, you can invest in Kisan Vikas Patra, a fixed-rate small savings scheme. The investment has a 124-month term with a 6.9% annual interest rate. At the conclusion of 10 years and four months, your money will have been doubled (124 months). The scheme emphasizes long-term investing and is ideal for risk-averse investors with extra cash.

The minimum investment is Rs.1,000, and there is no maximum investment restriction. KVP provides guaranteed returns and a premature encashment option after two and a half years. 

The maturity time may alter as a result of interest rate fluctuations. The maturity value, on the other hand, will be printed on your certificate. The investment and interest earned are not deductible or free from taxation. You can use the certificate as collateral to obtain bank loans.

c) The Sukanya Samriddhi Scheme

Prime Minister Narendra Modi launched the SSY initiative in order to secure the future of a girl child. Parents of a girl under the age of ten can apply for this government-backed scheme. Parents must donate for a period of 15 years. Section 80C allows individuals to claim up to Rs.1.5 lakh each year. Each household may open a maximum of two such accounts, one for each girl kid.

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If there are more than two girl children in a home, the rest of the girl children are not eligible for the account. Individuals can invest as little as Rs.250 and as much as Rs.1.5 lakh every year.

The current annual interest rate is 7.6%. The account is valid for 21 years from the date of its opening or until the girl child reaches the age of 18. After reaching the age of 18, the scheme provides for a partial withdrawal of up to 50% of the balance for further education expenses.

d) National Pension System

The National Pension System is a Central Government effort that provides a steady source of income after retirement. The scheme is open to state and federal government employees and also private sector employees in both the organized and unorganized sectors. The scheme is open to Indian nationals between the ages of 18 and 60. The payment is deducted from the employee’s monthly paycheck, and the employer contributes an equal amount (including government employees).

The contribution is 14% for government employees and 10% for all other employees. For other eligible salaried employees, NPS functions similarly to other long-term pension systems. The contribution of both the employer and the employee is tax deductible under Section 80C up to a ceiling of Rs.1.5 lakh.

Individuals can make a self-contribution and get an additional Rs.50,000 deduction. When the account holders retire, they can withdraw up to 60% of the corpus tax-free. The remaining 40% is utilized to purchase an annuity plan in order to get a monthly pension after retirement.

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e) Pradhan Mantri Jan Dhan Yojana

Pradhan Mantri Jan Dhan Yojana is a savings scheme designed specifically for low-income citizens. The scheme is available to account holders for reinvestment. The scheme is beneficial to this group of people because they are not required to keep a minimum balance in their accounts.

They will receive an additional accidental insurance cover of Rs.1 lakh and a life cover of Rs. 30,000 on the beneficiary’s death. With the addition of mobile banking, the government has made this program more user-friendly. Account holders can earn interest on their deposits in addition to the other incentives. Account users would also be eligible for an overdraft facility of up to Rs.5,000 per family, applicable to one account only.

f) EPF

Employee Provident Fund (EPF) is a savings plan administered by the EPFO. Employers and employees covered by EPF are required to contribute to a Provident Fund (PF) account in the employee’s name. For the working class, EPF provides long-term retirement planning. The account can be moved from one employer to another.

The account may be kept open till retirement. Both the employer and employee contribute 12% of the employee’s monthly salary to the provident fund account. The account may earn interest on its accumulated amounts.

The interest rate for the fiscal year 2022-23 is 8.5% per annum. The account also provides financial protection to account holders in the event of an emergency. Section 80C allows for a deduction for employee contributions.


If the question comes down to saving – starting to save is bigger than how much you save. Once saving becomes a habit, you can be sure that this is going to become a habit.