Post Office Monthly Income Scheme (POMIS): Earn Guaranteed Monthly Returns

Looking for a secure monthly income option? The Post Office Monthly Income Scheme (POMIS) offers a guaranteed 7.4% interest rate with monthly payouts. Invest up to ₹15 lakh (joint) and earn ₹9,250 per month. Learn how POMIS works, eligibility, benefits, tax rules, and how to apply. Read our expert guide for a complete breakdown. Safe, reliable, and perfect for retirees & risk-free investors!

By Praveen Singh
Published on
Post Office Monthly Income Scheme (POMIS): Earn Guaranteed Monthly Returns
Post Office Monthly Income Scheme (POMIS)

The Post Office Monthly Income Scheme (POMIS) is one of the most reliable and secure investment options in India, designed for those who want a steady source of monthly income. With a guaranteed 7.4% annual interest rate (as of 2025), this scheme is a great choice for risk-averse investors, retirees, and those seeking passive income.

If you invest the maximum permissible limit under a joint account (₹15 lakh), you will receive a monthly payout of ₹9,250—ensuring financial security for individuals and couples alike.

Post Office Monthly Income Scheme (POMIS)

FeatureDetails
Interest Rate7.4% (as of 2025)
PayoutMonthly interest earnings
Maximum Investment₹9 lakh (single) / ₹15 lakh (joint)
Tenure5 years
Premature WithdrawalAllowed with penalties
TaxabilityNo TDS, but taxable under income tax
Where to Apply?Nearest Post Office (India Post)

The Post Office Monthly Income Scheme (POMIS) is a safe, government-backed investment option for those seeking fixed monthly income. With an attractive 7.4% annual interest rate, this scheme provides financial security without market risks. Whether you are a retiree, a conservative investor, or someone looking for guaranteed passive income, POMIS is a great choice.

What is the Post Office Monthly Income Scheme (POMIS)?

POMIS is a government-backed savings scheme that allows individuals to invest a lump sum amount and receive fixed monthly interest payouts. The investment remains secure, and the returns are guaranteed, making it ideal for individuals looking for a reliable source of passive income.

This scheme is especially beneficial for retirees, senior citizens, and conservative investors who prefer risk-free returns over market-linked investments.

How Does POMIS Work?

  • You invest a lump sum amount in POMIS at a post office.
  • The government provides a fixed interest rate (currently 7.4% per annum).
  • The interest is paid monthly into your linked savings account.
  • After 5 years, you can withdraw the principal amount or reinvest it.
  • Premature withdrawal is possible after 1 year with a penalty.

Example Calculation:

  • If you invest ₹15 lakh (joint account), you will receive ₹9,250 per month.
  • If you invest ₹9 lakh (single account), you will receive ₹5,550 per month.

Benefits of Investing in POMIS

Guaranteed Returns

Your investment is 100% secure, backed by the Government of India. Unlike stocks or mutual funds, your capital and returns are not affected by market fluctuations.

Monthly Payouts for Regular Income

POMIS provides consistent monthly income, making it perfect for retirees or anyone needing a steady cash flow.

Easy to Open and Manage

You can open an account at any post office with minimal paperwork. The scheme is simple to understand and manage.

Joint Account Facility

Husband and wife can open a joint account and invest up to ₹15 lakh, earning ₹9,250 per month.

Flexible Withdrawal Options

While the scheme has a 5-year lock-in, you can withdraw early with a small penalty if needed.

see also: PNB Interest Rates: Latest Loan Rates and Offers After SBI’s Rate Cut

Eligibility & Account Types

Who Can Invest in POMIS?

Indian residents aged 18 years or above. Minors aged 10 and above (Account operated by a guardian) Joint accounts allowed (Up to 3 people)

Types of Accounts:

  • Single Account: Maximum investment of ₹9 lakh
  • Joint Account (up to 3 people): Maximum investment of ₹15 lakh

How to Open a POMIS Account?

Opening a POMIS account is easy. Follow these steps:

Step 1: Visit Your Nearest Post Office

यह भी देखें Post Office Time Deposit Scheme 2025: Interest Rates, Benefits & Investment Details

Post Office Time Deposit Scheme 2025: Interest Rates, Benefits & Investment Details

Find your nearest India Post branch or visit India Post.

Step 2: Collect & Fill Out the Application Form

Ask for the POMIS application form and fill in the required details.

Step 3: Provide Required Documents

Submit the following:

  • Identity Proof: Aadhaar Card, PAN Card, Passport, Voter ID
  • Address Proof: Aadhaar, Utility Bill, Rent Agreement
  • Passport-sized photographs

Step 4: Deposit the Amount

Make the investment using cash, cheque, or demand draft.

Step 5: Link a Savings Account for Monthly Interest Payouts

Provide details of a post office savings account or any bank account to receive monthly interest.

Premature Withdrawal Rules

Withdrawal TimePenalty
Before 1 yearNot Allowed
1 to 3 years2% penalty on principal
3 to 5 years1% penalty on principal

Tax Implications

  • No TDS (Tax Deducted at Source) on interest earned.
  • Interest is fully taxable and must be declared in your Income Tax Return (ITR).
  • No tax benefits under Section 80C.

see also: Post Office Mahila Samman Savings Certificate (MSSC) 2025

Post Office Monthly Income Scheme FAQs

1. Can NRIs invest in POMIS?

No, Non-Resident Indians (NRIs) are not eligible to invest in POMIS.

2. Is the POMIS interest rate fixed?

The interest rate is subject to periodic revisions by the government. However, once you invest, your rate remains fixed for 5 years.

3. Can I transfer my POMIS account?

Yes, you can transfer your POMIS account to any post office in India.

4. Is it better than a Fixed Deposit (FD)?

POMIS offers monthly payouts and better liquidity, making it ideal for regular income seekers. However, FDs may offer higher returns with reinvestment options.

5. What happens after 5 years?

You can withdraw your principal or reinvest it in a new POMIS account.

यह भी देखें New India Co-Operative Bank में फंसे पैसे? जानें कितना मिलेगा क्लेम और RBI का नया नियम

New India Co-Operative Bank में फंसे पैसे? जानें कितना मिलेगा क्लेम और RBI का नया नियम

Leave a Comment