Post Office Monthly Income Scheme: How much you can withdraw on one-time investments of Rs 1 lakh, Rs 3 lakh, Rs 5 lakh, Rs 7 lakh, Rs 9 lakh ?
Post Office Monthly Income Scheme: Under the Post Office Monthly Income Scheme, investors deposit a lump sum for a tenure of 5 years and earn monthly interest at a predetermined rate.
The Post Office Monthly Income Scheme (POMIS), a government-backed savings plan, provides citizens with low-risk investment options and guaranteed returns. Available through India Post, it is designed for individuals looking for a safe and reliable source of fixed monthly income. To participate in POMIS, individuals must be Indian residents and at least 18 years old. The interest rates for POMIS, along with other small savings schemes, are revised by the government every quarter.
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(Disclaimer: Our calculations are projections and not investment advice. Do your due diligence or consult an expert for financial planning)
What is Post Office Monthly Income Scheme ?
Under the POMIS, investors deposit a lump sum for a tenure of 5 years and earn monthly interest at a predetermined rate. The principal amount is returned in full at the end of the tenure. Offering moderate returns with no risk to the invested capital, POMIS is especially popular among retirees, senior citizens, and risk-averse individuals seeking a steady income.
Post Office Monthly Income Scheme: What is the latest interest rate?
The interest rate for POMIS is currently set at 7.4 per cent for the quarter January–March 2025. This interest is payable monthly, with payments made at the end of each month starting from the date of account opening until maturity.
Post Office Monthly Income Scheme: Minimum and maximum investment
To open a POMIS account, the minimum deposit required is Rs 1,000, with additional deposits allowed in multiples of Rs 1,000. For single-holder accounts, the maximum deposit limit is Rs 9 lakh, while for joint accounts holders its Rs 15 lakh. Although individuals can open multiple POMIS accounts, the total deposit across all accounts held by an individual cannot exceed Rs 9 lakh.
POMIS: What happens in case of excess deposit?
If an excess deposit is made, the excess amount will be refunded. The applicable interest rate for the excess deposit will be the Post Office Savings Account interest rate from the date of account opening until the refund date.
POMIS: Who can open a POMIS account?
A POMIS account can be opened by a single adult or jointly by up to three adults, either as Joint A (where all account holders operate the account) or Joint B (where any one account holder can operate it). Additionally, guardians can open accounts on behalf of minors or individuals of unsound mind. Minors above 10 years of age can also open a POMIS account in their own name.
POMIS: Premature account closure
To close the account prematurely, a prescribed application form must be submitted along with the passbook at the concerned Post Office.
- No withdrawal before 1 year: No deposits can be withdrawn before the completion of 1 year from the date of deposit.
- Closure between 1 and 3 years: If the account is closed after 1 year but before 3 years, a deduction of 2 per cent from the principal will apply, and the remaining balance will be paid out.
- Closure between 3 and 5 years: If the account is closed after 3 years but before 5 years, a deduction of 1 per cent from the principal will apply, and the remaining balance will be paid out.
How much amount you can withdraw monthly on Rs 1 Lakh investment?
On a one-time investment of Rs 1 lakh, at 7.4 per cent interest rate, you can earn Rs 617 per month.
How much amount you can withdraw monthly on Rs 3 Lakh investment?
On a one-time investment of Rs 3 lakh, you can withdraw Rs 1,850 per month.
How much amount you can withdraw monthly on Rs 5 Lakh investment?
On a one-time investment of Rs 5 lakh, you can withdraw Rs 3,083 per month.
How much amount you can withdraw monthly on Rs 7 Lakh investment?
. On a one-time investment of Rs 7 lakh, you can enjoy Rs 4,317 per month.
How much amount you can withdraw monthly on Rs 9 Lakh investment?
On a one-time investment of Rs 9 lakh, you can withdraw Rs 5,550 per month.