This Post Office scheme outperforms even bank FDs; you will receive ₹9,250 in your account every month..

If you prefer not to invest in the stock market but are looking for an alternative avenue for your funds, you might consider the Post Office Monthly Income Scheme (MIS). A key feature of this scheme is that a one-time deposit generates a regular monthly income in the form of interest. Furthermore, it offers a higher interest rate compared to bank fixed deposits (FDs).

Let’s explore the details of this scheme and how you can earn a monthly interest income of ₹9,250.

What is the Post Office Monthly Income Scheme?
The Post Office Monthly Income Scheme (MIS) is one of the central government’s small savings schemes. It is specifically designed for individuals who wish to generate a regular monthly income from their accumulated savings.

The interest earned on your investment can be credited monthly to your post office savings account or a linked bank account. This scheme is particularly beneficial for retirees, working professionals, and any investor seeking a steady, recurring income.

What is the interest rate on the Post Office MIS?
Currently, the Post Office Monthly Income Scheme offers an annual interest rate of 7.4%, which is paid out on a monthly basis. This interest rate has been maintained for the October–December 2026 quarter.

Under this scheme, an individual can deposit a maximum of ₹9 lakh, while a joint account allows for a maximum deposit of ₹15 lakh. A joint account can include up to three adults.

How to earn ₹9,250 in monthly interest
If you invest a lump sum of ₹15 lakh in a joint account, you can earn ₹9,250 per month, based on the current annual interest rate of 7.4%. The scheme has a maturity period of 5 years; this means you will receive monthly interest payments for five years, and upon maturity, the original principal amount will be returned to you. Lump-sum investment: Rs 15,00,000
Annual interest rate: 7.4%
Annual interest: Rs 1,11,000
Monthly interest: Rs 9,250
Investment tenure: 5 years
Total interest over 5 years: Rs 5,55,000
Amount returned at maturity: Rs 15,00,000

Thus, over five years, you will receive a total of Rs 5.55 lakh as interest. Additionally, your principal amount of Rs 15 lakh will be returned upon maturity.

On the other hand, if you open an MIS (Monthly Income Scheme) account in your own name, you can invest a maximum of Rs 9 lakh. In this case, you will receive a monthly interest of Rs 5,550, meaning you can earn a total of Rs 3,33,000 as interest over 5 years.

Disclaimer: This content has been sourced and edited from Amar Ujala. While we modified it for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.