Post Office Monthly Income Scheme (POMIS)
Calculate POMIS monthly interest payouts for Indian investors. Estimate monthly income, annual yield, and total interest over 5-year maturity with charts.
About This Calculator
The Post Office Monthly Income Scheme (POMIS) Calculator helps Indian investors estimate their monthly interest income from a Post Office MIS account. Simply enter your investment amount, the prevailing interest rate, and account type to instantly calculate your monthly payouts, annual returns, and total interest earned over the 5-year maturity period.
POMIS is a government-backed savings scheme offered by India Post that provides regular monthly income with capital protection. The scheme has a maturity period of 5 years, and the interest rate is reviewed quarterly by the Government of India. Interest is calculated using the simple interest formula: Monthly Income = (Investment Amount × Annual Interest Rate) / 12. The principal amount is returned in full at maturity, making it a low-risk investment ideal for retirees and conservative investors seeking steady income.
Regional Notes
India: POMIS is exclusively available in India through the Department of Posts. The minimum investment is ₹1,000 and maximum is ₹4.5 lakh for individual accounts or ₹9 lakh for joint accounts. Interest earned is taxable but no TDS is deducted. The current interest rate (Q1 FY 2025-26) is 7.4% per annum. Premature closure penalties apply: 2% if closed after 1 year but before 3 years, and 1% if closed after 3 years but before 5 years.
US/UK: The Post Office Monthly Income Scheme is an India-specific investment product and is not available to investors in the US or UK. If you are an NRI (Non-Resident Indian), you may be able to open a POMIS account under specific conditions — consult your nearest Indian post office or embassy for eligibility.
Frequently Asked Questions
What is the Post Office Monthly Income Scheme?
The Post Office Monthly Income Scheme (POMIS) is a government-backed savings scheme offered by India Post that pays regular monthly interest to investors. You can invest up to ₹4.5 lakh in an individual account or ₹9 lakh in a joint account, with a maturity period of 5 years. The interest rate is set by the government and is currently 7.4% per annum, paid monthly.
How is monthly income calculated for POMIS?
Monthly income is calculated using the formula: Monthly Income = (Investment Amount × Annual Interest Rate) / 12. For example, if you invest ₹4,50,000 at 7.4% per annum, your monthly income would be (₹4,50,000 × 0.074) / 12 = ₹2,775.
What is the current POMIS interest rate?
The current Post Office Monthly Income Scheme interest rate is 7.4% per annum (as of April-June 2025). The government reviews and may revise small savings scheme interest rates every quarter. The rate is fixed at the time of investment and remains constant throughout the 5-year tenure.
What is the minimum and maximum investment in POMIS?
The minimum investment amount is ₹1,000. For individual accounts, the maximum investment limit is ₹4,50,000. For joint accounts (up to 3 adults), the maximum limit is ₹9,00,000. Amounts exceeding these limits do not earn any additional interest.
Is the Post Office Monthly Income Scheme taxable?
Yes, interest earned from the Post Office Monthly Income Scheme is taxable in the hands of the depositor. No TDS (Tax Deducted at Source) is deducted for POMIS interest, but you must declare this income under 'Income from Other Sources' in your income tax return and pay tax according to your applicable income tax slab.
Can I withdraw my POMIS investment before 5 years?
Yes, premature closure is allowed but with penalty charges. If you close the account after 1 year but before 3 years, a penalty of 2% of the principal amount is deducted. If you close after 3 years but before 5 years, a penalty of 1% of the principal is deducted. No penalty applies after the full 5-year maturity.
How to open a Post Office MIS account?
Visit your nearest post office with a filled application form, proof of identity (Aadhaar, PAN, Passport), proof of address, and a cheque or cash for the initial deposit (minimum ₹1,000). The account can be opened singly, jointly (up to 3 adults), or as a guardian on behalf of a minor aged 10 years or above.
Can I have multiple POMIS accounts?
Yes, you can open multiple Post Office MIS accounts. However, the total investment across all accounts held by an individual (including joint accounts where you are the first holder) cannot exceed ₹4,50,000 for individual accounts or ₹9,00,000 for joint accounts.