Everyone wants to have a regular income after retirement, so that it does not become a burden on anyone. In order to meet your expenses and take care of yourself in old age, there is a need for regular income. Nowadays, due to lack of regular pension in most jobs, it has become necessary to keep such a system in advance. A savings plan of the post office is very good in terms of regular income. It is also better to invest in saving schemes of post office, as now interest is getting very less on deposits in banks and other financial companies. It is also safe to save at the post office, because the Sovereign Guarantee of the government is available on the amount deposited here. This means that your money invested in the post office cannot sink. Learn about the post office regular earning scheme.
The Monthly Income Scheme (MIS) of the post office is considered to be the best plan for achieving regular income. It is a scheme run by the Union Ministry of Communications. There is an option of income every month.
Under the Post Office Monthly Income Scheme (MIS), the account gets an annual interest rate of 7.5%. The capital deposited in it is also safe. This scheme offers better returns. A minimum of Rs 1500 can be deposited in this scheme.
The maturity period of the Post Office Monthly Income Scheme (MIS) is 5 years. A maximum investment of Rs 4.5 lakh can be made in this scheme. At the same time, if someone opens a joint account with his wife or child, one can invest a maximum of 9 lakh rupees. In this scheme an account can also be opened in the name of a minor.
Tax is not exempt under Section 80C of the Income Tax Act for investing in the Post Office Monthly Income Scheme. The interest received in this is also taxed. However, after maturity it gets a fixed amount every month.
Accounts opened under the Post Office Monthly Income Scheme can be transferred from one post office to another post office. There is no charge for this. Apart from this, single account can be converted into joint account and joint account can also be converted into single account.
In this scheme there is a loss on withdrawal of money before the maturity period of 5 years. If someone withdraws the money deposited within a year, he will not get any return.
In this post office scheme, money can be withdrawn after 1 year, but a penalty of 2 per cent has to be paid for withdrawing money before 3 years. At the same time, after withdrawing money deposited after 3 years, there is a deduction of 1 per cent.
