Best Investment Plans for Monthly Income in India 2024

The average monthly income of an Indian citizen is about ₹21,000, which might not be enough with rising inflation. That is why, nowadays, many people look for the best investment plan for monthly income and earn good interest money.

Here in this article, you will learn about some of the best monthly income schemes that can help you generate good money in 2024.

Best Investment Plan for Monthly Income

1. Unit Linked Insurance Plan: ULIP or Unit Linked Insurance Plan is a dual benefit investment plan with the benefits of life insurance coverage and investments in one plan. In this plan, a part of your premium goes to life insurance and other remaining funds are invested in market-linked investment funds that earn your interests/dividends.
2. Post Office Monthly Income Scheme: If you are looking for monthly income from investment, then POMIS is a good investment scheme for you. It is a government-backed scheme, which means there are less chances of risks and better returns.
3. Senior Citizen Savings Scheme: The average monthly income of an Indian citizen is about ₹21,000. SCSS is the best investment plan for higher returns, explicitly designed for senior citizens. If you are retired or going to retire soon, you can invest in the scheme within 3 months of retirement and earn a good interest income. It has a maturity period of 5 years with an investment limit of up to ₹15 lakhs. Just remember that the interest of the scheme is a taxable amount for which you will be taxed as per your limits.
4. Public Provident Fund: Public Provident Funds or PPF is another government-backed long-term savings scheme that offers guaranteed returns on investment. You can invest in the scheme by depositing a lump sum or through instalments. The best part of investing in PPF is that its interests, contributions, and withdrawals are tax-free, providing extra benefits.
5. Systematic Withdrawal Plans: If you want the highest return monthly income plan and are ready to take some risks, systematic withdrawal plans are good for you. It is a market-linked investment scheme that allows you to withdraw some money periodically from your mutual fund investments. However, once you have no funds remaining to redeem, you will not be able to make withdrawals.
6. Long-Term Government Bonds: Government bonds are risk-free long-term investment tools with good returns. Their maturity periods range from 5 years to 40 years, and throughout your investment, the government will pay you monthly interest or coupon payments. It is a great investment plan for people who do not want risk and need fixed monthly payments.
7. Equity Share Dividends: Equity share dividends are another investment option for consistent income and long-term investment. However, it comes with high risk as the dividends are paid out of profits made by the company, and the amount fluctuates. Thus, it is advised to invest in high-performance companies and create diverse equity portfolios.
8. Pradhan Mantri Vaya Vandana Yojana: This government scheme provides financial security for retired senior citizens by providing a stable income and fixed annual interest of 7%. The policy term is 10 years, and the annuity is paid on a monthly, quarterly, half-yearly and yearly basis at the end of the policy term.
9. Corporate Deposits: Offered by several non-banking financial firms and housing finance companies, these investment options offer higher interest rates than traditional banks. However, they entail high risk, and you need to do your due diligence to check the financial health of the firm/company you are investing in.

Conclusion

There are several investment plans through which you can earn monthly income in India. Here, you can learn about some of the best investment plans that you can choose from according to your financial needs and risk tolerance.

Moreover, consider comparing them according to your short-term vs. long-term savings goals to get the best returns. You should also check PNB MetLife for some diverse investment plans.

Disclaimer: