If you’re looking for a safe investment option that guarantees a fixed monthly income, the Post Office Monthly Income Scheme (POMIS) might be the perfect choice for you. Did you know that by investing smartly in this scheme, you can receive ₹3000 every month directly from the post office? Sounds simple, right? But how does it actually work, and is it worth your money? Let’s break down everything you need to know.
Whether you’re a salaried professional planning your retirement, a homemaker seeking steady returns, or even a beginner investor, understanding the Post Office MIS Scheme can help you make smarter financial decisions. Let’s dive deep into how it works, how much you should invest, and what you’ll get in return.
Post Office MIS Scheme 2025
| Feature | Details |
|---|---|
| Scheme Name | Post Office Monthly Income Scheme (POMIS) |
| Interest Rate (as of March 2025) | 7.4% per annum, payable monthly |
| Minimum Investment | ₹1,000 |
| Maximum Investment (Single Account) | ₹9 lakh |
| Maximum Investment (Joint Account) | ₹15 lakh |
| Maturity Period | 5 years |
| Monthly Income Example | Invest ₹4,86,500 to receive ₹3,000/month |
| Tax Benefits | No tax benefit under Section 80C, interest is taxable |
| Official Website | India Post |
The Post Office Monthly Income Scheme (POMIS) is a great option if you’re looking for safe, fixed monthly returns. It’s simple to understand, easy to open, and backed by the Indian government, making it ideal for conservative investors, retirees, and beginners alike.
What is the Post Office MIS Scheme?
The Post Office Monthly Income Scheme (POMIS) is a government-backed savings plan. It’s designed to provide you with guaranteed monthly income by investing a lump sum amount for a fixed term of 5 years. You receive interest payouts every month, which is ideal for retirees, homemakers, or anyone looking for a steady, risk-free income.
Think of it like planting a tree today, and every month, it gives you fruits in the form of interest payments.
see also: India’s 10 Safest Banks to Keep Your Money in 2025
How Much Should You Invest to Get ₹3000 Every Month?
Now, let’s get practical.
The current interest rate under POMIS is 7.4% per annum (as of March 2025). The formula to calculate your monthly interest is:
Monthly Income = (Investment Amount × Annual Interest Rate) ÷ 12
So, if you want ₹3000 per month:
Investment Amount = (3000 × 12) ÷ 0.074 = ₹4,86,486 (approximately ₹4.86 lakh)
In simple terms:
- Invest ₹4.86 lakh = Earn ₹3000/month
- For smaller amounts like ₹1 lakh, you would receive approximately ₹616/month.
Important Tip: The interest rate is subject to change quarterly, so always check the latest rates on the India Post official website.
Key Features of the Post Office MIS Scheme
1. Safety & Government Backing
Being a post office product, POMIS is 100% secure, backed by the Government of India. There is minimal risk of losing your principal.
2. Flexible Investment Limit
- Minimum: ₹1,000
- Maximum:
- ₹9 lakh (Single Account)
- ₹15 lakh (Joint Account, up to 3 people)
3. Fixed Tenure
- Lock-in period is 5 years.
- You can withdraw your amount after 5 years or reinvest.
4. Nomination Facility
You can nominate any family member to receive the funds in case of your demise.
5. Easy Transferability
Accounts can be transferred from one post office branch to another across India.
Step-by-Step Guide to Open a POMIS Account
Step 1: Visit Nearest Post Office
Go to any India Post Office branch.
Post Office Scheme: मात्र 1000 रुपये के निवेश से पाएं 8 लाख रूपये का फंड, होगा फायदा ही फायदा
Step 2: Fill the Application Form
Request for the POMIS account opening form.
Step 3: Submit Documents
Provide:
- Identity Proof (Aadhaar, PAN, Voter ID)
- Address Proof
- Passport-sized photographs
Step 4: Deposit the Amount
Minimum ₹1,000 (cash/cheque). You can deposit up to ₹9 lakh (single) or ₹15 lakh (joint).
Step 5: Nominate a Beneficiary (Optional)
Step 6: Get Your Passbook
The post office will issue a passbook showing all details.
Who Should Invest in the Post Office MIS Scheme?
| Ideal For | Why It’s Suitable |
|---|---|
| Senior Citizens & Retirees | Safe, fixed monthly income to cover living expenses. |
| Homemakers | Secure investment with low risk, regular payouts. |
| New Investors | Easy to understand, no market dependency. |
| Risk-Averse Professionals | Provides stability without worrying about stock market fluctuations. |
Tax Implications of POMIS
- No TDS Deducted at source.
- However, interest income is fully taxable and must be declared under “Income from Other Sources” while filing ITR.
- No tax benefit under Section 80C unlike PPF or NSC.
Pro Tip: If you’re in a lower tax bracket, this may not affect you significantly. But if you’re in the higher tax slab (30%), consult a tax advisor to plan accordingly.
see also: Top 5 Mutual Funds Gave Better Returns Than FD
Pros and Cons of Post Office MIS Scheme
| Pros | Cons |
|---|---|
| Government-backed, risk-free investment | No tax benefits under Section 80C |
| Fixed, guaranteed monthly income | Interest income is taxable |
| Suitable for all ages, including minors (with guardian) | Premature withdrawal penalty |
| Simple account opening process through India Post | Interest rate may be lower compared to market-linked investments like equity mutual funds |
| Transferable between post offices | Maximum cap on investment amount (₹9 lakh/₹15 lakh) |
Post Office MIS Scheme FAQs
Q1. Can I open multiple MIS accounts?
Yes, but the total investment across all accounts should not exceed ₹9 lakh (single) or ₹15 lakh (joint).
Q2. Can minors invest in the Post Office MIS Scheme?
Yes, minors above 10 years of age can open an account in their own name. Guardians can also open accounts on behalf of minors or individuals of unsound mind.
Q3. Is premature withdrawal allowed?
Yes, but with penalties:
- After 1 year but before 3 years: 2% deduction from the principal.
- After 3 years but before 5 years: 1% deduction.
Q4. What happens after 5 years of maturity?
You can either withdraw the entire principal or reinvest in the same or another post office scheme.
Q5. Can NRIs invest in Post Office MIS?
No, NRIs are not eligible to invest in POMIS.
