How To Invest 50 Lakhs For Monthly Income In India 2024

Updated On: 2024-01-14

Author : Team Policybachat

Curious about effective ways to generate fixed monthly income with an investment of 50 lakhs? In India, investing 50 lakh rupees to get a fixed monthly income can be a prudent financial decision that can provide you with a reliable stream of funds to support your financial aspirations.

In this article, we will provide strategic investment options, unveiling the secrets to turning 50 Lakhs Rupees into a reliable source of monthly income. Whether you’re a seasoned investor or a newcomer to the financial landscape, compare quotes at PolicyBachat to navigate the diverse avenues and uncover the keyways to secure your financial future with the best investment plan.

Importance of Investing for Fixed Monthly Income

In the financial landscape, the importance of investing for fixed monthly income cannot be overstated. This proactive approach serves as a robust foundation for financial stability and ensures a reliable source of funds to meet regular expenses. Here are key reasons highlighting the significance of investing for fixed monthly income:

  • Financial Security: Investing 50 Lakhs in avenues that generate a fixed monthly income provides a sense of financial security. It shields individuals from the unpredictable nature of economic downturns, job losses, or unforeseen expenses. A steady income stream ensures that essential living expenses are consistently met.
  • Budgeting and Planning: Fixed monthly income facilitates effective budgeting and financial planning. With a predictable cash flow, individuals can plan their expenses, savings, and investments with greater precision.
  • Retirement Planning: As individuals approach retirement, the need for a reliable income source becomes even more critical. Investments geared towards fixed monthly returns can play a pivotal role in creating a pension-like income, supporting a comfortable and worry-free retirement.
  • Diversification of Income Sources: Relying solely on a salary or a single source of income exposes individuals to significant financial risk. Investing for a fixed monthly income allows for the diversification of income sources, reducing vulnerability to economic downturns or industry-specific challenges.
  • Emergency Fund Creation: Fixed monthly income from investments can serve as a foundation for building an emergency fund. Having a readily available financial cushion is crucial to weather unexpected events such as medical emergencies, home repairs, etc.
  • Peace of Mind: Knowing that a fixed sum will be credited to your account regularly brings peace of mind. This financial predictability alleviates stress and allows individuals to focus on other aspects of life, fostering a sense of overall well-being.
  • Tax Efficiency: Strategic investment planning can also contribute to tax efficiency. Certain investment vehicles offer tax advantages, helping you optimise your overall financial picture and potentially reducing the tax burden on your fixed monthly income.

Types of Investment Options for Investing 50 Lakhs for Monthly Income in India

Fixed Deposits (FDs)


Monthly Income Plans (MIPs)

Post Office Monthly Income Scheme (POMIS)

Senior Citizens Savings Scheme (SCSS)

Fixed Deposits

Debt Mutual Funds

Unit Linked Insurance Plans

Real Estates

Systematic Withdrawal Plans (SWPs)

Pradhan Mantri Vaya Vandana Yojana(PMVVY)

National Pension Scheme

Fixed Deposits (FDs):

Fixed deposits with banks or financial institutions involve depositing a lump sum for a fixed tenure at a predetermined interest rate.

Pros: Assured returns, capital protection, and ease of investment.

Cons: Generally lower returns compared to some other investment options.

Monthly Income Plans (MIPs)

Mutual funds offering Monthly Income Plans allocate a portion of the portfolio to debt instruments, providing a regular payout to investors.

Pros: Professional fund management, the potential for higher returns than traditional fixed deposits.

Cons: Returns can be market-dependent, and risk is involved.

Systematic Withdrawal Plans (SWPs)

Systematic withdrawal plans offer a way to produce consistent monthly income from mutual funds. Monthly withdrawals can be set up, providing a steady income stream while allowing flexibility.

Pros: Professional fund management, and flexibility in withdrawal frequency.

Cons: Returns can be market-dependent, and potential for capital erosion.

Post Office Monthly Income Scheme (POMIS)

A government-backed scheme allowing investment for a fixed period, with monthly interest payouts.

Pros: Guaranteed returns, and easy accessibility through post offices.

Cons: Relatively lower interest rates, interest income is taxable.

Senior Citizens Savings Scheme (SCSS)

Senior Citizens Savings Scheme (SCSS) is a government-backed savings scheme with a fixed interest rate and a maturity period of five years.

Pros: Higher interest rates, government guarantees, and tax benefits.

Cons: Age restriction, capped investment limit.

Corporate Fixed Deposits

Fixed deposits with non-banking financial companies (NBFCs) or corporate entities offering higher interest rates than traditional FDs.

Pros: Potentially higher returns, various interest payout options.

Cons: Higher risk compared to bank FDs, limited liquidity.

Debt Mutual Funds

Debt mutual funds invest in fixed-income securities like bonds and government securities, providing regular interest income to investors.

Pros: Professional fund management, potential for higher returns than traditional fixed deposits, relatively lower risk compared to equity funds.

Cons: Returns can be impacted by interest rate fluctuations.

Unit Linked Insurance Plans

Unit-linked insurance plans (ULIPs) combine life insurance with investment components, offering the flexibility to invest in equity or debt funds. Some plans provide regular income options.

Pros: Insurance coverage along with investment, flexibility in asset allocation.

Cons: Charges can affect returns; returns are market dependent.

Real Estates

Investing in rental properties or real estate funds can provide a steady rental income.

Pros: Potential for capital appreciation, tangible asset.

Cons: High initial investment, property management challenges, market


Annuity plans are Insurance products or financial instruments that provide a guaranteed income stream for a specified period of life.

Pros: Lifetime income, some options offer inflation protection.

Cons: Complex terms and conditions, potential lack of liquidity.

Pradhan Mantri Vaya Vandana Yojana (PMVVY)

Schemes like Pradhan Mantri Vaya Vandana Yojana (PMVVY) offer a guaranteed pension income for senior citizens.

Pros: Government-backed, fixed and regular pension.

Cons: Limited entry age, capped investment amount.

National Pension Scheme (NPS)

A voluntary, long-term retirement savings scheme designed to enable systematic savings. National Pension Scheme (NPS) provides the option to receive a regular pension after retirement.

Pros: Tax benefits, professional fund management, flexibility in choosing asset allocation.

Cons: Partial withdrawal restrictions, annuity purchase requirement at maturity.

Best Investment Plans to Invest 50 Lakhs for Fixed Monthly Income

There are many investment plans to invest money to get monthly income but investing 50 Lakhs for fixed monthly income through insurance investment plans offers a unique avenue that combines financial security with regular income. Here are some of the best investment plans for 50 Lakhs to consider for generating a stable monthly income:

Plan Name Description Benefits
Guaranteed Income Plans These insurance plans provide a guaranteed income at regular intervals, offering a fixed payout regardless of market fluctuations.
  • Capital protection
  • Guaranteed returns
  • Flexibility in choosing the payout frequency
Money-Back Insurance Plans: Money-back insurance plans provide periodic payouts during the policy term, offering a combination of savings and protection.
  • Regular cash inflows
  • Life coverage
  • Flexibility in choosing the policy term.
Immediate Annuities An immediate annuity plan allows you to invest a lump sum amount, and in return, you receive a guaranteed fixed income for life or a chosen period.
  • Assured monthly income
  • Lifelong payouts
  • Potential for additional features like a joint-life annuity for a spouse.
Unit-Linked Insurance Plans (ULIPs) ULIPs offer a mix of insurance and investment. Opt for a ULIP with a monthly income option to receive regular payouts.
  • Market-linked return
  • Flexibility to choose between equity and debt funds
  • Life coverage
Pension Plans: Pension plans provide a regular income post-retirement. Choose a plan that offers annuity options to receive fixed monthly payouts.
  • Retirement Income
  • Tax Benefits
  • Annuity Choice

Where to Invest 50 Lakhs in India?

PolicyBachat is one of the best online platforms that helps individuals compare and choose the best investment plans to generate income. Here you can compare the features, terms, and benefits of different investment plans to find the one that best aligns with your financial goals.

However, if you’re specifically looking for investment products that can provide fixed monthly income, you can explore guaranteed income plans, unit-linked insurance plans (ULIPs), money-back plans, pension plans, etc.

Note: Insurance based investment plans offer life protection along with savings or investment options. However other investment avenues like mutual funds, fixed deposits, and others might be better suited for capital appreciation and generating monthly income. Always diversify your investments based on your financial goals and risk tolerance.

How to Invest 50 Lakhs Rupees in India to Get Fixed Monthly Income Online

Below are the steps on how to invest 50 lakhs for regular income online:

  • Visit the official website of the PolicyBachat.
  • Click on the Investment Plan tab.
  • Fill in the requested details such as name, mobile number, and email address.
  • Enter your age and city.
  • Select the plan which you want to buy. Click on the Proceed button.
  • Use the online premium calculator to compare the premium amounts.
  • Compare benefits, features, returns, and additional riders or bonuses.
  • After comparing the products, select a plan which suits your requirements.
  • Then pay for your policy by using an online payment method.

Buy Investment Plan Online

Real-Life Example of Successful Fixed Monthly Income Investments with PolicyBachat

Case Study:

Mr Ajith, a 45-year-old individual with a lump sum of 50 lakhs looking for a fixed monthly income investment plan.

Heis nearing retirement and desires a regular monthly income stream to maintain a comfortable lifestyle. He decided to explore fixed monthly income investment plans online.

Steps Taken:

  • Ajith visits the PolicyBachat website, a platform known for comparing and offering various insurance and investment products.
  • He provides details such as his age, investment amount (50 lakhs), preferred tenure for the investment, and any specific requirements.
  • Using a comparison tool, he compares various investment plans that offer fixed monthly income.
  • He reviews options such as annuities, guaranteed income plans, and monthly income plans offered by different insurance providers.
  • He reads customer reviews, and policy terms and conditions for each plan
  • After careful consideration, he selects a guaranteed income plan that offers a fixed monthly payout with a tenure suitable for his retirement plans.


Ajith successfully invests his 50 lakhs in a fixed monthly income plan that meets his retirement income needs. The chosen plan provides financial security, and he enjoys a regular and predictable income stream, allowing him to comfortably transition into retirement.

Note: The details in this case study are provided for illustrative purposes only. Actual investment decisions should be based on consideration of individual financial circumstances.

How to Choose the Best Investment Plan for 50 lakhs?

Selecting the optimal investment plan for 50 lakhs involves a strategic decision-making process. Here are the things to consider when buying a 50 lakhs investment plan:

  1. Financial Goals:

    Define your short-term and long-term financial objectives. Choose an investment plan that supports the goals, whether it’s wealth accumulation, retirement planning, or funding a major expense.

  2. Risk Tolerance:

    Assess your comfort level with risk. Different investment plans come with varying levels of risk, select one that matches your risk tolerance and financial profile.

  3. Investment Horizon:

    Determine the time horizon in which you intend to invest.Short-term goals may require more conservative investments, while long-term goals can accommodate higher-risk options for potential growth.

  4. Return Potential:

    Evaluate the potential returns of the investment plan. Consider the expected returns of your financial objectives.

  5. Tax Implications:

    Understand the tax implications of the investment plan. Choose tax-efficient options to optimise returns and reduce tax liabilities.

Wrapping Up

Investing 50 lakhs for monthly income in India requires a thoughtful and diversified approach. By considering and understanding various investment options, we can aim to generate a steady income stream. Each option comes with its risks, returns, and tax implications, and it’s crucial to align investments with financial goals, assess risk tolerance, and seek professional advice to create a well-balanced and tailored portfolio. Before making any investment decisions, conducting thorough research, assessing your investment objectives, and comparing plans online are key to generating the right investment strategy.

Start Saving Money on Insurance Policy

Compare Life, Health, Car and Two wheeler Insurance rates from top Insurance companies for free.

1,000+ Reviews
Been Here Before?
Get Back to My Quotes

Leave a rating!

0.0 (0 votes)

Please wait while your request is being processed.