4 Investment Ideas Enables Monthly Money Withdrawals (servicebloggers.com)



This is applicable & sufficient only for those who are retired or looking for regular income. But, you should be having huge amount of cash for investment to make small interests which you should decide be sufficient to run day to day life expenses. Choose monthly withdrawal plan to satisfy our target. Some are retired at particular age most likely wants to maximize their returns. Here are 4 monthly income plans for individuals, who are looking at decent returns as well as safety. Remember this income is subject to be taxed at source or on maturity. 




Post Office Monthly Income Plan With Low Interest:
The interest rate on the post office monthly income plan is 6 per cent per annum (subject to change as per RBI rules), payable monthly – tax and additional charges. One can invest an amount starting from minimum Rs 100. However, there is a limit that has been fixed and hence in an individual account you can invest Rs 4.5 lakhs, while in a joint account one can invest Rs 9 lakhs.
Other more options are: The account can also be transferred from one post office to the other and there is a nomination facility available. It is also important to remember that the interest earned is fully taxable, so plan accordingly. Since this is backed by the government there is a high level of safety is the strength.

Bajaj Finance Monthly Income Fixed Deposit:
The Bajaj Finance fixed deposits are good if you are looking at monthly interest income. A invest and forget type tenure of about 36 month to 60 month deposit, fetches you an interest income of 7.8 per cent(subject to change as per RBI rules), which is not bad at all. In fact, it is way higher than what commercial banks in the country offer you.
The deposits are also safe, as they are AAA rated online, which make them a good investment. You can get 0.10 per cent extra, if you renew your deposit and extend. Further, some investors like senior citizens are entitled to get a bit extra interest rate on their deposits.
You can invest for a period of 24 to 35 months as well, but, here the monthly interest would be lower as the annual interest stands reduced to 7.5 per cent. As period extends interest increases, remember this also subject to be taxed.

Mahindra Finance Fixed Deposits
Mahindra Finance interest rates are the highest when compared to the above two mentioned. The company offers an interest rate of 7.8 per cent per annum (subject to change as per RBI rules) payable monthly on deposits of 33 months. Even a 4 month deposit offers a similar interest rate.
If you are looking at a reduced tenure of 15 months or 20 months the interest rate offered is 7.3 per cent. The deposits are rated AAA by Crisil, which indicates a very high level of safety. The interest rate of Mahindra Finance is pretty decent.

Monthly Income Plans of a mutual fund
There are many mutual fund schemes that offer you monthly income. However, the returns are never assured nor guaranteed. For example, in all of the above examples, we have mentioned a definite interest rate. However, we cannot mention the same for monthly income plans of a mutual fund, since the same depends on returns from the fund.
Mutual funds themselves are risky and hence if you are a retired individual, this may not be the best option for regular monthly income. All of the above mentioned monthly income investment ideas are fully taxable on receiving the income.

Apart from this, interest rates from the past years are falling and hence only affordable investors can look to invest for slightly longer term or invest on real estate, which is also like a long term deposit non-liquid fund.


Disclaimer: This article should not be interpreted as an endorsement for any of the reviews mentioned. You should never make an investment into any online program if you do not know what you are doing. Please do your own research before considering investing money, decide wisely. above mentioned interest rates are subject to change any time as per rules revision.

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