Post Office Monthly Income Scheme; Invest This Much To Earn ₹9,250 Every Month With Assured Returns — Full Details Inside
For those looking to earn a fixed monthly income with minimal risk, the Post Office Monthly Income Scheme (POMIS) continues to be a dependable choice. Backed by the Government of India, this savings plan offers guaranteed returns, making it particularly appealing to conservative investors and retirees seeking steady cash flow. According to experts, the scheme’s simple structure and government assurance make it one of the most trusted fixed-income instruments for individuals looking to secure regular returns without worrying about market volatility.
The current interest rate on POMIS stands at 7.4 per cent per annum, as notified by the government. The interest rate is revised quarterly, in line with other small savings schemes. The interest is paid monthly, providing investors with a consistent stream of income.
Experts suggest that POMIS is particularly suitable for pensioners, homemakers, or individuals looking for a fixed income supplement. Since the returns are guaranteed, it is also a good option for those who prefer stable earnings over high-risk investments.
The returns are proportionally divided among account holders in case of a joint account. For example, if two people jointly invest ₹15 lakh, each is considered to have invested ₹7.5 lakh.
The maturity period of the POMIS account is five years from the date of opening. Upon maturity, investors can either withdraw the amount or reinvest it into another scheme for continued benefits.
Because it is fully government-backed, the scheme carries virtually no credit risk, which adds to its appeal among cautious investors.
Experts advise that individuals can integrate POMIS within a broader investment portfolio for balanced income planning. For those in higher tax brackets, complementary tax-saving instruments like PPF or ELSS may help optimise post-tax returns.
For many families, this monthly payout can supplement pensions or household expenses, offering predictable cash flow without the stress of market-linked fluctuations.
The scheme’s stability, government guarantee, and fixed payout schedule make it a reliable option even during uncertain economic periods. Experts also point out that pairing POMIS with other instruments like Senior Citizens’ Savings Scheme (SCSS) or PPF can create a well-rounded and diversified income plan.
The Post Office Monthly Income Scheme stands out as a safe and simple investment tool for those who prefer certainty over high returns. With its modest risk, monthly income structure, and nationwide accessibility, POMIS continues to remain relevant in 2025. However, investors should always assess their tax liability and overall financial goals before committing funds.
Disclaimer: This article is for informational purposes only. It should not be considered financial or investment advice. Readers are encouraged to consult certified financial experts before making any investment decisions to ensure suitability based on their individual circumstances.
Understanding the Post Office Monthly Income Scheme (POMIS)
The Post Office Monthly Income Scheme, also known as the National Savings Monthly Income Account, is a small savings scheme designed for individuals who want predictable and stable monthly returns. It is not linked to market fluctuations, which makes it a preferred option for risk-averse investors.The current interest rate on POMIS stands at 7.4 per cent per annum, as notified by the government. The interest rate is revised quarterly, in line with other small savings schemes. The interest is paid monthly, providing investors with a consistent stream of income.
Who Can Invest in POMIS?
Any Indian resident aged 18 years or above is eligible to open a POMIS account. Minors aged 10 years and above can also open an account jointly with a guardian. The scheme is not available to Non-Resident Indians (NRIs) or Hindu Undivided Families (HUFs).Experts suggest that POMIS is particularly suitable for pensioners, homemakers, or individuals looking for a fixed income supplement. Since the returns are guaranteed, it is also a good option for those who prefer stable earnings over high-risk investments.
Investment Limits and Account Options
You can start your investment in POMIS with as little as ₹100, and subsequent deposits must be made in multiples of ₹1,000. The maximum investment limit for a single account is ₹9 lakh, while a joint account (up to three adults) allows a maximum investment of ₹15 lakh.The returns are proportionally divided among account holders in case of a joint account. For example, if two people jointly invest ₹15 lakh, each is considered to have invested ₹7.5 lakh.
When and How Is Interest Paid?
The interest under POMIS is paid monthly, beginning one month after the account opening date. The payout continues on the same date every month until maturity. Investors can receive the interest directly into their post office savings account or through automatic transfer to their bank account, making it convenient and hassle-free.The maturity period of the POMIS account is five years from the date of opening. Upon maturity, investors can either withdraw the amount or reinvest it into another scheme for continued benefits.
Nomination and Security Features
The POMIS also offers a nomination facility, ensuring that in the event of the account holder’s death, the nominee receives the full benefits. This makes it a safe and secure savings avenue for families seeking financial stability.Because it is fully government-backed, the scheme carries virtually no credit risk, which adds to its appeal among cautious investors.
Is the Income from POMIS Taxable?
While POMIS offers guaranteed returns, it is not exempt from taxation. The monthly interest earned is fully taxable under the Income Tax Act, as per the investor’s applicable income tax slab. However, no Tax Deducted at Source (TDS) is applied automatically — investors are expected to declare and pay tax on the interest themselves.Experts advise that individuals can integrate POMIS within a broader investment portfolio for balanced income planning. For those in higher tax brackets, complementary tax-saving instruments like PPF or ELSS may help optimise post-tax returns.
Example: How to Earn ₹9,250 Every Month
Suppose a couple jointly invests ₹15 lakh in POMIS. With the current interest rate of 7.4 per cent per annum, their total annual interest earnings would amount to ₹1,11,000, which translates to a monthly income of ₹9,250.For many families, this monthly payout can supplement pensions or household expenses, offering predictable cash flow without the stress of market-linked fluctuations.
Why Experts Recommend POMIS
According to financial experts, the Post Office Monthly Income Scheme is an ideal choice for those seeking capital protection with assured returns. It is best suited for retirees, risk-averse investors, or those who want to generate secondary income.The scheme’s stability, government guarantee, and fixed payout schedule make it a reliable option even during uncertain economic periods. Experts also point out that pairing POMIS with other instruments like Senior Citizens’ Savings Scheme (SCSS) or PPF can create a well-rounded and diversified income plan.
The Post Office Monthly Income Scheme stands out as a safe and simple investment tool for those who prefer certainty over high returns. With its modest risk, monthly income structure, and nationwide accessibility, POMIS continues to remain relevant in 2025. However, investors should always assess their tax liability and overall financial goals before committing funds.
Disclaimer: This article is for informational purposes only. It should not be considered financial or investment advice. Readers are encouraged to consult certified financial experts before making any investment decisions to ensure suitability based on their individual circumstances.
Next Story