Post Office Monthly Income Scheme (POMIS)

Sovereign Trust, Monthly Returns: Anchor Your Finances with POMIS.

·   Government-Backed Security: Administered by India Post, this premium savings program carries a sovereign guarantee, ensuring your core capital is completely safe from market volatility.

·         Guaranteed Monthly Payouts: Investors lock in a fixed interest rate for the entire five-year tenure, creating a highly predictable and reliable stream of secondary monthly income.

·         Flexible Investment Limits: The scheme features a low entry point of just ₹1,000, with flexible upper caps allowing up to ₹9 lakh for individual accounts and up to ₹15 lakh for joint accounts.

·         Automated & Convenient Liquidity: Interest earnings are automatically credited directly into a linked post office savings account, making it seamless to fund routine living expenses or recurring bills.

·         Tax Efficiency (No TDS): While investment amounts do not qualify for Section 80C deductions, the monthly interest payouts are highly efficient as no Tax Deducted at Source (TDS) is applied.

·         Premature Withdrawal Options: If urgent liquidity is required, funds can be withdrawn after one year, subject to a nominal penalty (2% deduction from years one to three, and 1% from years three to five).

·         Ideal Financial Planning Tool: Providing absolute capital protection and consistent cash flow, it serves as an unbeatable choice for retirees, homemakers, and risk-averse investors.

Historical Interest Rates

The interest rate of POMIS is reviewed quarterly by the Government of India, aligning it with prevailing macroeconomic conditions and government bond yields. Below is the historical trajectory of POMIS interest rates per annum:

·         April 2023 – Present (June 2026): 7.40% p.a.

·         January 2023 – March 2023: 7.10% p.a.

·         October 2022 – December 2022: 7.10% p.a.

·         April 2020 – September 2022: 6.60% p.a.

·         July 2019 – March 2020: 7.60% p.a.

·         October 2018 – June 2019: 7.70% p.a.

·         April 2013 – March 2016: 8.40% p.a.

·         March 2003 – November 2011: 8.00% p.a.

·         April 1992 – September 1993: 14.00% p.a.