Post Office MIS Calculator

Find out how much the Post Office Monthly Income Scheme will pay you every month, and every rule that applies.

Year	Interest paid	Total interest so far
Year 1	₹66,600	₹66,600
Year 2	₹66,600	₹1,33,200
Year 3	₹66,600	₹1,99,800
Year 4	₹66,600	₹2,66,400
Year 5	₹66,600	₹3,33,000

Post Office Monthly Income Scheme (MIS): all the rules

Tap a heading to expand it. Rules checked on 7 October 2026.

Who can open an account

A single adult, up to three adults jointly, a minor aged 10 or above, or a guardian on behalf of a minor or a person of unsound mind.

Deposit

Each account takes a single deposit: minimum ₹1,000, in multiples of ₹1,000.
Maximum ₹9,00,000 in a single account and ₹15,00,000 in a joint account (raised from ₹4.5 lakh and ₹9 lakh in April 2023).
You may hold several accounts, but your total across all of them cannot exceed ₹9,00,000. Your share of a joint account counts as one half (two holders) or one third (three holders).
Any amount above the limit is refunded, with interest at the Post Office Savings Account rate (currently 4%) until the month before refund.

How interest is paid

Interest is paid every month, starting one month after the deposit, until maturity. The rate on the day you deposit is fixed for the full term.
Interest is paid out, not compounded. Interest you do not collect earns nothing extra; most people have it credited to a post office savings account.

Maturity

The deposit is repaid in full after 5 years.

Closing early

Not allowed in the first year.
After 1 year and up to 3 years: 2% of the deposit is deducted.
After 3 years but before 5 years: 1% of the deposit is deducted.

Tax

There is no tax deduction for the deposit. Monthly interest is fully taxable at your slab rate.
Senior citizens (60+) can also deduct up to ₹50,000 a year of interest from bank and post office deposits under Section 153 (the old Section 80TTB) — again only under the old tax regime.
The post office deducts TDS only if your interest from its deposits exceeds ₹50,000 in a tax year (₹1,00,000 for senior citizens).

Death and nomination

You can nominate one or more people. If the holder dies before maturity, the account can be closed and the deposit refunded to the nominee or legal heir, with interest up to the month before the refund — nothing is forfeited.

Sources

Rules can change. Always confirm with your post office or bank before investing.

How MIS income is calculated

Interest is paid out every month and not compounded, so each payment is the same:

Monthly income = deposit × yearly rate ÷ 12

Example: a single-account deposit of ₹9,00,000 at 7.4% pays ₹5,550 a month — ₹3,33,000over 5 years — and the full deposit comes back at maturity.

Frequently asked questions

What is the Post Office MIS interest rate now?

7.4% a year for Oct–Dec 2026. The rate on the day you deposit stays the same for the full 5 years.

What is the most monthly income I can get?

At 7.4%, the single-account maximum of ₹9,00,000 pays ₹5,550 a month, and the joint-account maximum of ₹15,00,000 pays ₹9,250 a month.

Can I close an MIS account early?

Not in the first year. After 1 year and up to 3 years, 2% of the deposit is deducted; after 3 years, 1% is deducted.

Is MIS interest taxable?

Yes, at your slab rate, and there is no deduction for the deposit. Senior citizens can deduct up to ₹50,000 a year of bank and post office interest under Section 153 (old tax regime only). TDS applies only if your post office interest exceeds ₹50,000 in a tax year (₹1,00,000 for senior citizens).

Last updated 7 October 2026. For information only — not financial advice. Check the final figures with your lender or bank.

Interest paid each year

Post Office Monthly Income Scheme (MIS): all the rules

How MIS income is calculated

Frequently asked questions

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