How to Invest 50 Lakh to Get Fixed Monthly Income in 2025?
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There are several investment options for investors to earn good returns. However, most investments come with risks and so it is important to consider how to invest 50 lakhs for monthly income. Let’s find out in this post.
Most of the instruments of investment offering high returns come with a certain amount of risk. Based on the profiles of each investment tool, investors make their choice from the investment plans. The risky tools of investment are used by people who don’t mind taking risks to earn greater returns. On the other hand, those who are risk averse, invest on instruments that offer moderate returns and are less risky tools.
If you have INR 50 lakh to invest and you want to earn a fixed monthly income, you get wide investment options to choose from. In this post, we are discussing how to invest 50 lakhs with some top investment instruments to earn a handsome monthly income.
Deliberations while Investing INR 50 Lakh
If you have INR 50 lakhs for investment, the first thought in your mind would be – What to do with this amount? How to invest 50 lakhs for monthly income or how to invest 50 lakhs after retirement?
Let us find the answer to these queries:
INR 50 lakhs is a good amount and you can invest the same in a high-yielding option of investment so that you can get a suitable monthly income required to live a comfortable life.
For middle-aged people, there are many expenses that are likely to arrive with age such as medical costs, responsibility of kids’ marriage, career etc. Earning a fixed income on a monthly basis from an investment will be a great help. And even if the investor has a steady job, it would be great to have an additional source of income to take care of the additional financial obligations of your children and other members of the family.
Ways to Invest INR 50 lakhs?
If you are looking at a high return on investment of INR 50 lakhs, you can try the equity funds. However, equity funds are not for those who want to play the safe and secure game. It is for people who are not scared of risks. For those who want to play it safe can go for a fixed deposit of 50 lakhs or a scheme of post office.
The first crucial aspect is to decide the monthly income that you want to earn from your investment. Look for investment schemes which allow stable returns within the expected term/tenure of your investment. If you want to continue receiving this added earning all through your life, you should select the tenure of the plan accordingly.
It is recommended to go for an investment option that does not require you to switch frequently. And finally, have clarity on your future goals to understand where to invest 50 lakhs in India, your needs and the expenses accordingly.
Monthly Income Plans to Invest INR 50 Lakhs
Below are some of the various avenues to invest 50 lakhs in india:
- Government Bonds – The government bonds are Commonly termed treasury bonds and these plans are low in risks. Hence, they offer secure investment options for people and allow them assured returns on a monthly, quarterly, half-yearly and .yearly basis.
- Monthly Income Plans – A Monthly Income Plan (MIP) is ideal for people who are willing to invest INR 50 lakhs in mutual funds. This is a fixed-income fund in which a portion of your investment is invested in equity, while the plan generates a monthly income.
Top 5 Investment Options in 2025, India
INR 50,00,000 investment would allow you diversified investment options to earn a handsome income monthly. If you are searching for answers about where to invest 50 lakh in India, we have a list of investment options that you can pick from to earn monthly income as mentioned below:
1. Fixed Deposits (FDs)
Fixed Deposits remain a popular choice for risk-averse investors seeking stable returns. As of 2025, many banks offer interest rates ranging from 6% to 7.5% per annum on FDs. By dividing your ₹50 lakh into multiple FDs across different banks, you can ensure liquidity and maximize insurance coverage under the Deposit Insurance and Credit Guarantee Corporation (DICGC), which insures up to ₹5 lakh per bank. This strategy can yield a monthly interest income of approximately ₹25,000 to ₹31,250.
2. Post Office Monthly Income Scheme (POMIS)
POMIS is a government-backed scheme offering a fixed interest rate, providing reliable monthly income. The maximum investment limit is ₹9 lakh for joint accounts and ₹4.5 lakh for individual accounts. With an interest rate of 6.6% per annum, a joint investment of ₹9 lakh would generate a monthly income of ₹4,950. To fully utilize your ₹50 lakh, you can combine POMIS with other investment options.
3. Senior Citizen Savings Scheme (SCSS)
Designed for individuals aged 60 and above, SCSS offers an attractive interest rate of 8.2% per annum as of 2025. The maximum investment limit is ₹30 lakh. Interest is paid quarterly, translating to an annual income of ₹2,46,000 on a ₹30 lakh investment, or ₹61,500 every quarter. This scheme combines tax benefits under Section 80C with regular income, making it ideal for senior citizens.
4. Corporate Deposits
Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs) offer corporate fixed deposits with higher interest rates, typically between 7% and 9% per annum. While they offer higher returns compared to traditional bank FDs, they come with increased risk. It's crucial to assess the credit ratings of these companies before investing. A ₹10 lakh investment at an 8% interest rate can yield a monthly income of approximately ₹6,666.
5. Government Bonds
Government bonds are secure investment instruments with varying maturities and interest payment frequencies. For instance, the Government of India Savings Bond offers a 7.75% interest rate with a tenure of seven years. Interest is paid semi-annually, providing a stable income source. Investing ₹10 lakh in such bonds would yield ₹77,500 annually, or ₹38,750 every six months.
Best Investment Strategy for ₹50 Lakh in 2025
| Investment Option | Risk Level | Expected Monthly Income | Lock-in Period |
| Fixed Deposits (FDs) | Low | ₹30,000 - ₹35,000 | 1 to 5 years |
| Post Office MIS | Low | ₹5,500 - ₹6,000 | 5 years |
| SCSS | Low | ₹20,000 - ₹22,000 | 5 years |
| Corporate Deposits | Moderate | ₹35,000 - ₹42,000 | 1 to 5 years |
| Government Bonds | Low | ₹25,000 - ₹30,000 | 5 to 40 years |
| Mutual Fund SWP | Moderate-High
|
₹35,000 - ₹50,000 | No fixed tenure |
| Rental Income | Medium | ₹25,000 - ₹35,000 | Long-term |
Monthly Income Plans Offered by Different Insurers in India
There are several insurers offering the best investment plans for monthly income. The sum insured and the premiums of such plans varies depending on the income, age as well as other factors including the specific need of the policyholders.
Here are some of the monthly income plans by top Insurers in India:
| Plan Name | Insurer | Income Type | Payout Frequency | Key Benefits | Best For |
| HDFC Life Sanchay Plus | HDFC Life | Fixed Term Income | Monthly/Yearly | Guaranteed payouts for 25-30 years | Stable income after retirement |
| Tata AIA Fortune Guarantee Plus | Tata AIA Life | Lifetime or Fixed Income | Monthly/Yearly | Choice of payouts, bonus additions | Retirement planning |
| Max Life Guaranteed Lifetime Income Plan | Max Life | Pension Plan | Monthly/Quarterly | Lifetime annuity, spouse coverage (joint life option) | Retirees & pensioners
|
| SBI Life Smart Income Protect | SBI Life | Fixed Monthly Payout | Monthly | 15-year payout after premium term, bonus benefits | Family income security |
What are the Benefits of Investing in a Monthly Investment Plan?
There are several benefits of investing in a monthly investment plan. Let’s take a look at some of them:
1. Unaffected by Market Instabilities
Most of the high-yielding plans depend on market fluctuations when it comes to returns. The interest rate earned in such options keeps going up and down as per the market trends. Hence, it is difficult to determine if the value of your asset will increase or go down. However, with the best monthly investment plans, your asset remains untouched and you get the maximum benefit out of it.
2. Safe Option
These plans are safe to invest in as there is no risk of market instability. You may be certain to get the fixed monthly returns on your INR 50 lakh once you invest in this policy.
3. Assured Returns
The monthly investment plans provide stability regardless of unstable economic situations or fluctuations. So, you can be sure of receiving a fixed interest on the invested amount. You can calculate this interest by using a calculator.
4. Payout Flexibility
Investing INR 50 lakh in a fixed monthly investment plan gives you the option to choose the term of your plan. As per your maturity requirement, you can choose the plan’s tenure. Similarly, most plans also allow you the flexibility of getting a payout on a monthly, quarterly, annual, or half-yearly basis.
5. Easy Online Availability
Monthly investment plans can be bought online easily as most insurers allow a monthly investment plan in a hassle-free and quick manner without much paperwork. By sparing a few minutes, you can invest comfortably to safeguard your INR 50 lakhs.
How to Choose the Best Monthly Income Plan?
Choosing the best monthly income plan depends on factors like payout frequency, risk level, and financial goals. Compare plans offering guaranteed returns, tax benefits, and flexible payout options to ensure stable income.
| Factor | What to Consider? |
| Investment Horizon | Choose between short-term (10-15 years) or lifetime payouts |
| Risk Level | Traditional insurance plans are low risk, while mutual funds and ULIPs involve market risks |
| Payout Options | Some plans offer monthly, quarterly, or yearly payouts – select based on your needs |
| Additional Benefits | Look for bonuses, tax benefits, life cover, or lump sum payout options |
FAQs on How to Invest 50 Lakhs for Monthly Income
Yes, there are differences between the two investment tools. Monthly income plans are investments where a portion of the amount is invested in equity, whereas the other portion is invested in debt. The return received in a monthly income plan is based on the market fluctuations and performance of the fund in the market.
On the other hand, the fixed income plans generally invest in the debt instruments and provide a fixed rate of return.
Buying or investing on a monthly income plan at a young age is better as it helps in reducing the cost of investment on your return amount. Further, experienced investors try to invest in such plans at a time when the ROI or Rate Of Interest is high because it brings a decrease in the value of the net asset.
Buying insurance online is more cost-efficient as you can avail discounts as well as you can avoid the charges paid to agents. Further, you do not need to visit the branch of the insurer and can buy the policy from the comfort of your house. Most insurance products including monthly income plans are available online. However, it depends on the personal choice of the policy seeker to choose online or traditional method to buy the policy.
- The monthly income plans offer guaranteed regular income
- The plan also offer insurance cover along with reversionary or terminal bonuses
- The plan offers tax-saving and a secured future for the policyholders
A monthly income plan is an apt plan for investors who are looking at an assured source of alternative income or a backup income source. These plans work well for people who want a guaranteed monthly income after retirement and are looking at good returns
It depends on the amount that you want to invest which decides the duration of a government bond. In general, the tenure of such bonds range between 5 to 40 years.
Post Office schemes can offer different rates for different products. For example, a post office monthly income scheme (POMIS) offers a 6.7% rate of interest.
Monthly income received under a MIP depends on the performance of the fund where you have invested your money. Also, you may note that the market of mutual funds fluctuates. Thus, it depends whether you will receive a fixed monthly income or not under MIP.
Before you invest in a CD or corporate deposit, check the CRISIL rating of the company. A high rating of CRISIL would mean a good-performing deposit.
Yes, you can open FDs in public as well as private banks.
Investment planning is important as it secures individuals financially and supports them in obtaining financial freedom.
Yes, investing early allows you the benefit of taking risks as well as saving better for the future. You can accumulate more funds in the long term by starting early.
You can invest in fixed deposits, corporate deposits, debt mutual funds, systematic withdrawal plans, and more.
Author Bio
Paybima Team
Paybima is an Indian insurance aggregator on a mission to make insurance simple for people. Paybima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. Paybima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.
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