MIS Calculator
Estimate monthly income and total interest from a Post Office MIS deposit.
Post Office Monthly Income Scheme (MIS)
The Post Office Monthly Income Scheme pays interest every month on a one-time deposit and returns the principal at the end of the tenure. It suits residents who want predictable monthly cash flow without equity market risk.
How to use this calculator
Enter the lump-sum deposit you plan to place in MIS. Deposits are usually accepted in multiples of ₹1,000. Single accounts are commonly capped at ₹9 lakh; joint accounts can go higher (often ₹15 lakh). An individual's share across MIS accounts should stay within the single-account style personal ceiling.
Set the interest rate from the latest small-savings notification. Rates are reviewed periodically by the government. The default in this tool mirrors a recent 7.4% p.a. figure; always update it if India Post publishes a new rate for your opening quarter.
Tenure is typically five years. Interest is paid monthly and does not compound into the MIS principal. At maturity you get the deposit back; total interest is the sum of monthly payouts over the tenure.
Interest is taxable as per your slab. There is no Section 80C deduction on the MIS deposit itself. Compare monthly cash with SCSS if you are a senior: SCSS often pays a higher rate but only quarterly.
Premature closure after one year usually attracts a penalty on the deposit. Model only the full tenure here unless you already know you will exit early.
MIS monthly interest
Monthly interest = Deposit × (Annual rate / 100) / 12 Total interest = Monthly interest × (Years × 12) Maturity principal = Deposit (interest already paid monthly) Example: ₹9 lakh at 7.4% for 5 years. Monthly interest ≈ ₹5,550. Yearly interest ≈ ₹66,600. Total interest over 5 years ≈ ₹3.33 lakh. Principal ₹9 lakh returned at maturity.
Frequently Asked Questions
Who can open MIS?
Resident individuals, including minors through a guardian. NRIs are not eligible for new Post Office MIS accounts.
MIS vs SCSS?
MIS has no senior-age lock and pays monthly. SCSS needs senior eligibility, usually pays a higher rate, and credits interest quarterly.
Is MIS interest taxable?
Yes. Interest is added to your income and taxed at your slab. There is no EEE tax treatment like PPF.
Maximum deposit?
Rules often allow ₹9 lakh in a single account and ₹15 lakh in a joint account, with a personal share cap across accounts. Confirm on India Post before depositing.
Does interest compound?
No. Monthly interest is paid out. Principal stays flat and is returned at maturity.
Can I extend MIS after 5 years?
MIS is designed as a five-year scheme. Reinvestment rules follow the latest Post Office circular; many depositors open a fresh account at the then-prevailing rate.
Joint account rules?
Joint MIS with other adults is allowed under scheme rules. Each person's share counts toward their individual investment limit.
Premature withdrawal?
Usually allowed after one year with a deduction from principal. Exact penalty percentages change with notifications.
Where to open MIS?
At a post office counter with KYC. Some banks do not offer Post Office MIS; SCSS is more widely available at authorised banks.
Use MIS with a retirement plan?
Yes. After you know the monthly expense gap from the retirement calculator, see whether MIS monthly interest covers part of that gap without touching equity.
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