POMIS Calculator
Estimate the monthly income and total interest from a Post Office Monthly Income Scheme deposit.
Statutory maximum for a single account: ₹9,00,000.
Government-notified, revised quarterly — pre-filled with the current rate.
Monthly payout
₹5,550.00
Total interest over 5 years: ₹3,33,000
POMIS tips
- Compare POMIS's monthly payout against a non-cumulative FD's payout for the same deposit.
- A joint account raises the deposit cap to ₹15,00,000, from ₹9,00,000 for a single account.
- Factor in tax: POMIS interest is fully taxable, so your actual take-home payout is lower than what's shown.
How it's calculated
Like SCSS, POMIS does not compound — interest is paid out every month rather than added back to the principal. The monthly payout stays constant across the whole 5-year tenure, so total interest is just that payout multiplied by 60 months.
Monthly payout = Deposit × annual rate ÷ 12
Total interest = Monthly payout × 60
Example
A ₹9,00,000 deposit (the single-account maximum) at 7.4% pays roughly ₹5,550 every month — over the 5-year term, that's ₹3,33,000 in total interest, with your original ₹9,00,000 returned at maturity.
About the Post Office Monthly Income Scheme
POMIS is a government-backed scheme built for anyone who wants a fixed, predictable monthly income from a lump sum — not just senior citizens. It runs for a fixed 5-year term.
How it works
You deposit a lump sum of ₹1,000 up to ₹9,00,000 (single account) or ₹15,00,000 (joint account), in multiples of ₹100. The government sets and revises the interest rate quarterly; interest is paid out to you every month — it is not reinvested — and your original deposit is returned in full at maturity.
How to use it
- Choose single or joint account — this sets the deposit cap.
- Set your deposit amount (₹1,000 minimum, in multiples of ₹100).
- The interest rate is pre-filled with the current government-notified rate.
Strategies
POMIS suits anyone who wants steady monthly cash flow from savings — a retiree supplementing a pension, or simply someone who prefers predictable income to an end-of-term lump sum. Compare its monthly payout against a non-cumulative FD's monthly payout for the same deposit before choosing.
Important caveats
- POMIS interest is fully taxable at your income slab rate — the payouts shown are pre-tax.
- Premature withdrawal is allowed after 1 year, subject to a penalty that reduces the effective return — this calculator assumes the account runs its full 5-year tenure.
- The interest rate is fixed for this projection but is revised by the government every quarter.
Why it works
Because POMIS pays interest out every month instead of compounding it, the maths is simple interest — the payout is a fixed fraction of the deposit every month, for the full 5-year tenure, the same principle as SCSS but with monthly instead of quarterly payouts.
Benefits
- Predictable, steady monthly income from a single lump-sum deposit.
- Government-backed principal and interest — no market risk.
- Open to anyone, not restricted to senior citizens (unlike SCSS).
Frequently asked questions
Why doesn't my POMIS deposit grow like an FD?
POMIS is designed as a regular-income scheme — interest is paid out to you every month rather than reinvested, so the principal never grows. You receive a fixed monthly payout, and get your original deposit back in full at maturity (5 years).
What's the deposit limit for a joint POMIS account?
A single account can hold up to ₹9,00,000; a joint account (opened with up to 2 or 3 people) can hold up to ₹15,00,000. Each joint holder's individual investment limit still applies separately across all their POMIS accounts.
Is POMIS interest taxable?
Yes, at your income slab rate — the monthly payouts shown are pre-tax. POMIS also doesn't qualify for any Section 80C deduction on the deposit itself.
Learn more from official sources
- India Post — Savings Schemes — official rate notifications for POMIS and other post-office schemes.
- National Savings Institute — Ministry of Finance body overseeing small savings schemes.
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