Investors seeking guaranteed returns and monthly income can invest in Post Office Monthly Income Scheme (MIS). A one-time investment will help you get a fixed monthly income in this post office scheme.
Post Office MIS 2024: Many of us when invest our money, we want to see it grow, even if the rate of return is lower compared to market-linked programmes. Among those who want steady returns from their investment, a lot of them wants some regular monthly income. It helps them meet monthly expenses and lessen their dependency on others.
For such people, the post office offers Monthly Income Scheme, where one-time deposit helps one get a fixed monthly income.
The interest rate in the MIS scheme is 7.4 per cent per annum payable monthly.
The monthly income you get may vary based on your investment. An individual can invest up to Rs nine lakh in the scheme and get a monthly income of Rs 5,550 for five years.
Post office MIS calculation-
Post Office MIS 2024 Calculation
Investment: Rs 9 lakh
Annual interest rate: 7.4%
Duration: 5 years
Earning from interest: Rs 3,33,000
Monthly income: Rs 5,550
The scheme also offers the facility of a joint account, where investors can deposit a maximum of Rs 15 lakh.
If you wish, your principal amount will be returned after the maturity period of 5 years.
The interest received on the account is paid every month into the post office savings account.
TDS is not deducted on investment in Post Office Monthly Income Scheme.
However, the interest you get is taxable as per your tax slab.
Post Office MIS 2024: Rules for pre-mature closure
If there is a need to withdraw money before maturity in the Post Office MIS, you get this facility after one year.
However, in case of pre-mature closure also, you have to pay penalty.
If you withdraw money between one to three years, then two per cent of the deposit amount is deducted and returned.
