- By Aditya Pratap Singh
- Mon, 25 Nov 2024 02:59 PM (IST)
- Source:JND
Nowadays people have a lot of investment options for investing in earning, people can put their money in the equity market, in debt instruments, in metals and in fixed-income instruments. If you want guaranteed safety of your money along with regular income, then the Post Office Monthly Income Scheme will be right for you. The scheme is trusted by millions of customers and supported by the government as well.
Details of the Post Office Monthly Income Scheme Details
Minimum deposit of Rs 1000
To open a Post Office Monthly Income account a minimum deposit of Rs 1,000 will be required, then after investment can be done in multiples of Rs 1,000. The maximum deposit limit for an individual account is Rs 9 lakh, while for a joint account, the deposit limit is Rs 15 lakh, with a term of 5 years.
Latest Interest Rate On Post Office Fixed Income Scheme
The government reviews the interest rate of this scheme every quarter. Currently, deposits in the monthly pension scheme attract 7.4% interest. Any adult individual can open an account in POMIS. A maximum of three people are allowed to open a joint account. Furthermore, a guardian can open a POMIS account on behalf of a minor.
Scenario to earn Rs 9000 per month
In this scheme, a maximum of Rs 9 lakh is allowed to be deposited in a single account, which provides a monthly income of Rs 5,550, considering the current rate. A maximum of Rs 15 lakh is allowed to be deposited in a joint account and this will produce a monthly income of Rs 9,250. The return from this scheme is fixed for 5 years.
Tax on interest income
The return that investors earn with the scheme is taxable, if an individual's income exceeds the exemption limit, they will have to pay tax on the interest income from the POMIS scheme. If an individual has no other income, the income from this scheme will not be taxable.
Rule for Withdrawal before the stipulated time
After depositing in this scheme, if for any reason you want to withdraw money, you can withdraw it only after one year. A penalty will have to be paid for this. If you withdraw money within 1 to 3 years, a deduction of 2% of the deposit will be made. If you withdraw money after more than 3 years but before the completion of 5 years, a deduction of 1% of the deposit will be made.
