Post Office Monthly Income Scheme

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Post Office Monthly Income Scheme (POMIS) is an investment scheme recognized and validated by the Ministry of Finance. It is one of the highest-earning schemes with an interest rate of 6.6%. The interest in this scheme is disbursed monthly. After opening a POMIS account, individuals can invest a suitable amount based on affordability, which, however, should not be less than ₹1500. It provides low risk and steady income where an investor can deposit every month and get interested of MIS in the post office according to their applicable monthly rate. The income on investment is given by the concerned post office every month.

Features of the POMIS scheme

  1. Maturity period- The maximum tenure of the Indian post office monthly income scheme is 5 years.
  2. Number of holders- At least 1 and at most 3 individuals can hold post office MIS.
  3. Nomination- Only the nominee will get all scheme benefits after the investor’s demise. Nominee can be assigned later on after opening an account.
  4. Transfer- Individuals can transfer their MIS account in one post office to another anywhere in India.
  5. POMIS bonus- Accounts opened after 1st Dec 2011 have no bonus facility. However, those opened before that enjoy a 5% bonus.
  6. Taxability- Any income from this scheme does not come under TDS or tax deduction. The post office monthly income scheme tax benefit is zero.


  • Capital Protection- As the Government backs it, the return is safe.
  • Low-risk Investment- Post office monthly income schemes online have no risk involved in market capitalization.
  • Lock-in Period- A minimum of 5 years is the lock-in period which can be withdrawn after maturity.
  • Affordable Premium Amount- The premium per month is low compared to other schemes and easily payable.
  • Unbeatable by Inflation- Even during inflation, an investor can get income monthly.
  • Multiple Fund Owners- Multiple owners can own one account as joint holders.
  • Ease of Transaction- The transaction of money, including deposits, and withdrawal is very easy.
  • Good for Risk-averse Investors- Post Office Monthly Income Scheme is the best scheme for risk-averse investors who wants monthly income. It is favorable for those looking for long-term investment and regular income. For senior citizens, it is the best plan.

Current interest rates

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Duration (in Years): 1, Interest Rate: 5.50%

Duration (in Years): 2, Interest Rate: 5.50%

Duration (in Years): 3, Interest Rate: 5.50%

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Duration (in Years): 5, Interest Rate: 7.6%

Details of investment

Single Account – the minimum amount to deposit is ₹ 1500 and the maximum is ₹ 4,50,00.

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Joint Account – the minimum amount of investment is ₹ 1500 and the maximum is ₹ 9,00,000.

Minor Account – the minimum amount of investment is ₹ 1500 and the maximum is ₹ 3,00,000.

Maximum investment limit

Single Account: ₹4,50,000; Joint Account: ₹9,00,000; Minor Account: ₹3,00,000


For instance, if an investor invests ₹ 1,00,000 for 5 years with a monthly interest of 6.60%. Fixed monthly income according to the post office MIS scheme will be ₹ 550.

The post office monthly income scheme for senior citizens is 6.6%.

The minimum lock-in period for the post office monthly income scheme 2021 is 5 years.


  1. The applicant must be a citizen of India.
  2. The applicant must be residing in India.
  3. The applicant should be at least 18 years old.

Note: You can open an account on behalf of a minor who is 10 years old or older. When kids reach the age of 18, they will be able to access the fund. After reaching the age of majority, a minor must apply for conversion of the account in his name.


This system does not apply to non-resident Indians.

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