Which is the best investment plan for monthly income?

  • Asked By
  • Updated On:
    07-Mar-2021
  • Replies:
    2

Short Answer

There are several investment plans such as FD, Post office Monthly Savings Scheme, Government Bonds, Mutual Fund Monthly Income Plans. These can provide you with a very good monthly income.

Detailed Answer

If you are looking for some of the best investment plans which will give you a steady monthly return, then you are in the right place. Here, we are going to pick some of the best investment plans that can give you a very attractive monthly income along with very low risk. So without any further delay, let's get into it.

1. Fixed Deposit (FD)

When it comes to generating a good monthly income with no risk, then Fixed Deposit is considered to be one of the most popular investment plans even now. Fixed Deposit offer higher interest rates than a savings account and it is free from any volatile market conditions. Thus, Fixed Deposit is preferred by all types of investors especially those whose risk appetite is low.

2. Post Office Monthly Income Scheme (Post Office MIS)

Post Office Monthly Income Scheme is an investment plan offered by India Post, that offer higher interest rates than savings or even Fixed Deposit. Post Office MIS scheme is a popular choice for investors with a low-risk profile. Post office monthly income scheme can offer a constant monthly regular income with an interest rate of nearly 7.6 percent.

Even though the interest rate is high, it should be noted that the Post Office MIS Scheme has a tenure or lock-in period of five years. Any individual can invest a maximum of 4.5 lakh INR which gets doubles if the account is a joint account. You can invest from 1500 INR and the amount can be reinvested for another five years to earn double benefits.

3. Mutual Fund Monthly Income Plans

If your risk profile is moderate then you can invest in various monthly income plans, which are essentially are some mutual funds that offer a monthly return to their investor. As the return from these depends on the market performance, so these plans sometimes may give you a negative return as well, if the market condition is very bad. Thus, before investing in it analyze your risk profile thoroughly.

4. Government Bonds

If you are looking for some low-risk investment options, then Government bonds are the one to go for. While investing in these government bonds you need to remember that they have a tenure of 15 to 20 years depending on the duration of the project. The bonds pay regular monthly interest and it comes with a fixed pre matured date.

5. Senior Citizen Savings Scheme

There are multiple ways to secure your future or post-retirement life, There are multiple govt initiatives such as National Pension Scheme, Atal Pension Yojana, and so on which can offer you a very attractive monthly return if you start investing in these plans very early.

One needs to be the age of 18 to start investing in these schemes and the total amount you invest the more return you get after your retirement depending on the condition of the market.

Best Monthly Income Scheme

So these are some of the best investment plans for generative a very good and steady monthly income.

If you have any queries regarding any investment plans mentioned above, then comment down your queries below and we will get back to you.

Tagged With: monthly income schememonthly income planbest investmentbest investment plans
Categories: Investment
Ask Your Query for FREE, Get quick answers from our FINTRAKK community!
Discussion (1)

There are many places in which you can invest your money. Mutual funds are one place to start and then scale up to other investment opportunities. Then you could choose other tax savings investment opportunities as well to reduce your tax expenses as well.

Related FAQs
which is the best investment plan in India for middle class?

Navigating the huge selection of investing possibilities can be a difficult chore for middle-class people.There are a lot of options, ranging from mutual funds and fixed deposits to the National Pension System. This will give middle-class Indians a thorough insight to the finest investing strategies.

Which is the Best Investment Plan in India for Students ?

There are several investing choices accessible for Indian students that might assist them in beginning their future savings. There are several options for students to build their money and make financial plans, including standard savings accounts, term deposits, and mutual funds.

Which is best Monthly Income Plan for Senior Citizen in India?

Several monthly income plans available such as senior citizen fixed deposit, senior citizen savings scheme, post office monthly income scheme, tax-free bonds, debt funds, and many more are the best monthly income place for senior citizens in India.

Which is better FD vs. Mutual Fund vs. Real Estate Investment?

FD vs Mutual Fund vs Real Estate Investment has its advantages in terms of how much you invest and your investing period. Longer the period, higher the returns.

What are best investment options for salaried person in India?

For a salaried class, there are many places where investments done. Know the best investment options for salaried person in India. The best investment options for a salaried person are Gold investments, PPF account, national pension scheme, ELSS, and fixed deposits.

Is Sensibull Pro Worth it? How good is the Options Trading Platform?

Sensibull Pro is a package offered by the company in terms of options trading. Features such as a statistical tool, strategy implementation advice, custom strategy build, IV charts, currency options, and more make it unique and different from the other plans. If you're serious about trading in options and are looking for a concrete structure in trading in options, then the pro package of Sensibull makes complete sense.

How does 3 year lock-in period work in ELSS while investing via SIP?

ELSS or Equity Linked Savings Scheme is a type of tax-saving investment instrument. It provides returns, similar to equity funds and offers a tax reduction under Section 80C. If you invest in a SIP method, every contribution towards the scheme will be considered as a separate investment and will incur a 3 year lock-in period.

Can I become a millionaire by investing in stocks?

Investing in stocks can make you a millionaire, provided you follow the necessary steps. These include investing regularly, picking good quality stocks, and most importantly playing the long-term game rather than trying to make a million in months or a couple of years.

What is SIP in mutual funds? How to start SIP online?

The introduction of Systematic Investment Plan (SIP) in the mutual fund is regarded as one the major breakthrough in the financial sector. It has helped to attract a new class of investors in the sector who were not comfortable to invest a lump sum at a time.

What is Electric Mobility Smallcase and How to invest in it? Review

The Electric Mobility Smallcase is a basket of stocks that are selected by Smallcase based on the goal of the Government to achieve the sale of 60-70 Lakh hybrid & electric vehicles from the year 2020. The pros & cons are evaluated of the sector and the features of this smallcase are discussed below.