Post Office MIS Calculator
InvestmentSee exactly how much fixed monthly income the Post Office Monthly Income Scheme will pay you and what you receive over the full 5-year term.
In short: The Post Office Monthly Income Scheme (POMIS) is a government-backed deposit that pays a fixed monthly interest at 7.4% p.a. and returns the full principal after a 5-year term.
Your inputs
Your inputs
- Deposit amount
- ₹9,00,000
- Interest rate
- 7.4%
- Tenure
- 5 yrs
Results
Monthly income
₹5,550
Credited every month
Total interest over term
₹3,33,000
Principal
₹9,00,000
Returned at maturity
Total received
₹12,33,000
Cumulative income received
Fixed monthly income adds up over the deposit term.
Year-wise income
| Year | Income this year | Cumulative income | Principal + income |
|---|---|---|---|
| 1 | ₹66,600 | ₹66,600 | ₹9,66,600 |
| 2 | ₹66,600 | ₹1,33,200 | ₹10,33,200 |
| 3 | ₹66,600 | ₹1,99,800 | ₹10,99,800 |
| 4 | ₹66,600 | ₹2,66,400 | ₹11,66,400 |
| 5 | ₹66,600 | ₹3,33,000 | ₹12,33,000 |
Income is paid out monthly; the principal is returned at maturity.
How the Post Office MIS Calculator works
Formula
- P
- Deposit amount (principal)
- r
- Annual interest rate (decimal)
- t
- Tenure in years
- ÷ 12
- Twelve monthly payouts per year
Step-by-step calculation
Worked with the default values.
- 1
Annual interest
₹9,00,000 × 7.4%
= ₹66,600
- 2
Monthly income
₹66,600 ÷ 12
= ₹5,550
- 3
Total interest
₹9,00,000 × 7.4% × 5 yrs
= ₹3,33,000
How it works
- You deposit a lump sum once — up to ₹9 lakh in a single account or ₹15 lakh in a joint account — and interest is simple, not compounded.
- A fixed interest amount is credited to your account every month, giving you a steady, predictable income.
- After the 5-year term the full principal is returned; you can reinvest it in a fresh POMIS account if you wish.
Examples
₹9,00,000 (single-account max) at 7.4% for 5 years
Pays about ₹5,550 every month — roughly ₹3.33 lakh interest in total, plus your principal back.
₹15,00,000 (joint-account max) at 7.4% for 5 years
Pays about ₹9,250 per month — around ₹5.55 lakh total interest over the term.
Understanding the Post Office MIS Calculator
What the Post Office Monthly Income Scheme offers
The Post Office Monthly Income Scheme (POMIS) is a Government of India small-savings scheme built for savers who want a steady, safe income. You deposit a lump sum once — up to ₹9 lakh in a single account or ₹15 lakh jointly — and the post office pays you a fixed interest every month at the notified rate, currently 7.4% per annum. Because it is backed by a sovereign guarantee, both your principal and your rate are shielded from market movements.
POMIS does not compound interest. It pays simple interest out monthly and returns your full principal at the end of the term, which is precisely what makes it an income scheme rather than a growth product.
How the monthly payout works
The calculator computes your annual interest as principal multiplied by the rate, then divides it by twelve to give the fixed amount credited each month. On a ₹9 lakh deposit at 7.4%, that is about ₹5,550 landing in your account every month. Over the 5-year term the interest simply accumulates — roughly ₹3.33 lakh on ₹9 lakh — while the ₹9 lakh principal comes back in full at maturity.
Term, taxation and withdrawal
POMIS has a fixed 5-year tenure. On maturity you receive your principal back and can reinvest it in a fresh account at the prevailing rate. The interest is fully taxable and added to your income, and unlike some other schemes there is no TDS — so you must declare and pay the tax yourself. Premature closure is allowed after one year, with a penalty of 1–2% depending on how early you exit.
Making the most of POMIS
Because the joint-account limit is higher, couples often open a joint POMIS to deploy up to ₹15 lakh at the guaranteed rate. Opening while rates are high locks that rate in for the full term. If you do not need every rupee of the monthly income for expenses, channelling part of it into a recurring deposit adds a layer of compounding on top of the fixed payout — a simple way to blend guaranteed monthly income with a little extra growth.
Pros
- Sovereign-backed with a fixed, guaranteed 7.4% return and no market risk.
- Fixed monthly payouts give dependable, predictable income each month.
- Low ₹1,000 entry point and a joint-account limit of up to ₹15 lakh.
- No TDS deducted at source, so the full monthly amount reaches you.
- Easy to open and operate at any post office branch.
Cons
- Interest is fully taxable at your slab rate, lowering the effective post-tax yield.
- No compounding — a cumulative deposit at the same rate would earn more.
- No Section 80C tax deduction on the deposit, unlike NSC or tax-saving FDs.
- Premature withdrawal attracts a penalty of 1–2% on the deposit.
Tips
- 1Open a joint account to raise the limit to ₹15 lakh and deploy a larger corpus.
- 2Since there is no TDS, set aside tax on the interest yourself to avoid a year-end shortfall.
- 3Route the monthly income into a post office RD to add a layer of compounding on top.
- 4Lock in while rates are high — the rate at opening is fixed for your whole 5-year term.
- 5Plan reinvestment before maturity so your principal does not sit idle after the term ends.
Frequently asked questions
Everything you need to know about the Post Office MIS Calculator.
What is the Post Office Monthly Income Scheme?
What is the current POMIS interest rate?
How much can I invest in POMIS?
How is the monthly income paid?
What is the tenure of POMIS?
Is POMIS interest taxable?
Can I withdraw from POMIS before maturity?
Is there any tax benefit for investing in POMIS?
How safe is POMIS?
Methodology & sources
How the Post Office MIS Calculator is calculated, and where the underlying rules come from.
How we calculate it
Every result is produced by a single, shared and tested financial-formula library used across the whole site — so the maths is consistent from one calculator to the next. Figures are estimates based on the inputs you enter and standard assumptions (such as regular compounding and constant rates); real-world outcomes vary with taxes, fees and changing rates. All calculations run in your browser — nothing you type is stored or sent to a server.
Editorial policy & disclaimer. FinCalcHub provides free educational tools and estimates — not personalised financial, tax or investment advice. Verify important decisions with a qualified professional. Read our editorial approach, disclaimer and privacy policy.
Last reviewed for accuracy on .
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