Investments
POMIS Calculator
Post Office Monthly Income Scheme — 7.4% guaranteed monthly income for 5 years. Single ₹9L / joint ₹15L max deposit.
Inputs
Q1 FY 2026-27 · 5-year fixed term · Monthly interest payout · Principal returned at maturity
Cumulative interest received
Monthly interest is taxable at slab rate. No TDS but report under Income from Other Sources.
FAQs
What is POMIS interest rate 2026?
7.4% per annum (Q1 FY 2026-27), notified quarterly by the Government. Interest is paid every month into your linked savings account.
What is the maximum deposit in POMIS?
₹9 lakh in a single account, ₹15 lakh in a joint account (up to 3 holders). Pre-2023 limit was ₹4.5L/₹9L — increased in Budget 2023.
Is POMIS interest tax-free?
No. Monthly interest is taxable at your slab rate under "Income from Other Sources". TDS at 10% applies if total interest from post office exceeds ₹40,000/year for non-seniors. Budget 2025 raised the senior citizen threshold from ₹50K to ₹1,00,000/year (effective FY 2025-26). Seniors also get ₹50K interest exemption under Section 80TTB on top.
How to avoid TDS on POMIS interest?
Three ways: (1) Submit Form 15G (non-seniors, total income below taxable limit) or Form 15H (seniors) at the post office. (2) Stay below the threshold — ₹40K for non-seniors, ₹1L for seniors. (3) Seniors 75+ with only pension + interest from same bank can submit Form 12BBA (Section 194P) — bank computes tax + deducts TDS + you skip ITR filing.
Can I withdraw POMIS before 5 years?
Premature closure allowed but penalised: 2% deduction if closed within 1-3 years, 1% if 3-5 years. No exit allowed in first year except on death.
POMIS vs SCSS — which is better for monthly income?
SCSS at 8.2% gives higher yield but only for 60+ age (or 55+ on retirement). POMIS at 7.4% is available to all adults. Mix both: ₹30L SCSS limit + ₹15L POMIS = ₹45L generating ~₹28K/month tax-free zone (with 80TTB).