Post Office Monthly Income Scheme (POMIS): Steady Monthly Income, Safely Delivered

If you're looking for a stable source of monthly income from your savings without the worry of market risks, the Post Office Monthly Income Scheme (POMIS) is a reliable choice. Designed for conservative investors, POMIS offers regular interest payouts and complete capital protection.

What is POMIS?

POMIS is a government-backed small savings scheme available at all India Post offices. You invest a lump sum once, and every month, you receive a fixed interest payout. It’s especially suitable for retirees, homemakers, or anyone who needs a predictable monthly cash flow.

Key Features of POMIS

Monthly Interest Payout: POMIS offers a steady monthly interest payout, currently at 7.4% per annum. This interest is credited to your post office savings account every month, helping you manage your monthly expenses with ease.

Fixed Tenure: The scheme has a maturity period of 5 years. You invest once and receive interest monthly. After maturity, you can reinvest or withdraw your capital.

Investment Limits: Minimum deposit is ₹1,000. Maximum is ₹9 lakh for single accounts and ₹15 lakh for joint accounts.

No TDS: Although the interest is taxable as per your income tax slab, no TDS is deducted. You receive the full interest every month.

Is It Safe?

Yes, POMIS is completely backed by the Government of India. It’s not linked to the stock market, making it a safe and stable option for monthly income.

Why Choose POMIS?

• Stable monthly income to manage household expenses
• One-time investment with no recurring deposits
• Guaranteed returns without market volatility
• Easy to open at any India Post branch

Eligibility Criteria

• You must be an Indian resident
• You should be 18 years or older
• Minor accounts can be opened through a guardian
• NRIs are not eligible

Pre-requisites

• You must be an Indian resident
• You should be 18 years or older
• Minor accounts can be opened through a guardian
• NRIs are not eligible

Step-by-Step Process to Open a POMIS Account

Offline at Post Office:

1. Visit your nearest post office
2. Fill out the POMIS account form
3. Attach KYC documents and photo
4. Make your deposit
5. Collect your passbook and confirmation

Online:

Currently, POMIS is primarily offline. If you have an IPPB account linked to your post office savings, interest can be auto-credited monthly.

What Can ₹1 Lakh Grow Into?

• Investment: ₹1,00,000
• Annual Interest: ₹7,400
• Monthly Income: ₹616.67
• Total Interest in 5 Years: ₹37,000
• Total Return: ₹1,37,000

Try the POMIS Calculator to check exact monthly earnings.

Withdrawal Rules & Premature Closure

• Premature Withdrawal Allowed After 1 Year
• 1-3 Years: 2% penalty on principal
• 3-5 Years: 1% penalty on principal
• No Penalty After 5 Years

Monthly Interest: Can be auto-credited or manually withdrawn.

Who Should Invest in POMIS?

POMIS is best for individuals looking for fixed monthly income with minimal risk:

• Retirees needing steady income
• Homemakers or non-working spouses
• Parents planning predictable savings for children
• Anyone seeking a low-risk income option

Conclusion

POMIS isn’t about fast growth—it’s about reliable monthly support. With guaranteed returns, capital protection, and no market risk, it’s a simple, safe choice for financial stability.

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