People across India are worried about their financial safety so the need for safe investment options is increasing quickly. Everyone wants a plan that keeps their money safe and also gives a regular monthly income. Among such options, the Post Office Monthly Income Scheme (POMIS) and the LIC Jeevan Shanti Plan have become very popular. Both are secure options, but they work differently and are suitable for different kinds of people.
What Is LIC Jeevan Shanti Plan?
LIC’s Jeevan Shanti Plan is a single-premium pension scheme where you make a one-time deposit and start receiving a guaranteed pension after the chosen period. The plan offers two annuity options—Single Life and Joint Life allowing pension benefits for you alone or for both spouses.
The biggest advantage of this safe investment option is that the annuity rate (monthly pension) is locked at the time of purchase. This means future market fluctuations will not affect your income making it highly popular among individuals planning for retirement.
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Understanding the Post Office Monthly Income Scheme (POMIS) ?
Post Office Monthly Income Scheme is ideal for those who need immediate monthly income. It offers a guarante interest rate of 7.4% per annum paid every month. You can start the plan with just ₹1,000, and the account can be opened individually or jointly (up to three people).
The scheme runs for five years, after which your invested amount is returned. Because of its simplicity and steady returns, POMIS is often preferred by senior citizens, housewives, and small investors looking for a safe investment option.
Key Differences Between LIC Jeevan Shanti Plan and POMIS
Income Timing: Jeevan Shanti provides pension after a selected period, while POMIS gives monthly income immediately.
Investment Limit: Jeevan Shanti requires a minimum of ₹1.5 lakh with no upper limit.POMIS allows up to ₹9 lakh for single accounts or ₹15 lakh for joint accounts.
Withdrawal Rules: Jeevan Shanti can be surrendered anytime; POMIS allows premature closure with a deduction.
Tax Benefits: Jeevan Shanti offers tax benefits under Section 80C, but POMIS does not offer tax exemptions.
Which Safe Investment Option Should You Choose?
Your selection depends on your financial needs:
Choose LIC Jeevan Shanti If:
- You want long-term retirement planning
- You prefer a guaranteed lifetime pension
- You need financial security for yourself or your spouse
Choose Post Office MIS If:
- You need instant monthly income
- You want a low-risk, simple investment
- You are a senior citizen, homemaker, or small investor