Benefits of Pension Scheme for Government Employees

When it comes to securing the future and the life of their employees, nothing comes near the Central Government organizations. As soon as you are in such a job, your life is completely secure. There are numerous financial benefits and not the least of which is their pension scheme. This is the reason why so many people swear by such jobs. Those who are unable to find employment with the Central Government rue this fact and every other person who is presently working, and for good reasons too.

Read more
  • Peaceful Post-Retirement Life

  • Tax Free Regular Income

  • Wealth Generation to beat Inflation

We are rated~
6.7 Crore
Registered Consumers
Insurance Partners
3.4 Crore
Policies Sold

Invest ₹6,000/month & Get Tax Free Monthly Pension of ₹60,000

Get the best returns & make the most of your Golden years

We don’t spam
Please wait. We Are Processing..
Your personal information is secure with us
Plans available only for people of Indian origin By clicking on "View Plans" you agree to our Privacy Policy and Terms of use #For a 55 year on investment of 20Lacs #Discount offered by insurance company
Get Updates on WhatsApp
We are rated~
6.7 Crore
Registered Consumers
Insurance Partners
3.4 Crore
Policies Sold

The new pension scheme gives much to rejoice for the employees who are currently working for the Central Government. Here are some of the associated benefits.

Increased pension cover

Before the current pension scheme came into being, only around 11% of people working in India came under this post job security net.  However, the new scheme is all set to include an increased number of people under its wings and increase a sense of security. The current financial scenario has increased the living expenses to a high degree and this increases insecurity among the masses. The central government pension scheme is to infuse confidence with a secured future in the times to come.

Far reaching potential

If you are to believe the government sources, the current pension scheme has far-reaching potential. Besides the people working in government agencies, this scheme is all set to provide security to those employed in private organizations and even the self-employed categories. This is really news to rejoice for the people of India.

Flexible schemes available for investment

Under this policy, the employees are completely free to invest in any of the available options for ensuring the growth of their money. There is a monthly contribution involved with 10% of salary plus the DA. The government is going to contribute an equal share to the pension fund for maximum profits in the coming times. There are different percentages allocated under the three schemes for investment that includes government securities, corporate bonds that are investment grade, and equity investment. It is up to the individual to make the final choice.

Setting up of voluntary withdraw-able account

Besides the existing pension scheme, those interested can also go for a separate account for their pension, which is completely withdraw-able whenever the employee sees it fit.  However, there is not going to be any contribution from the side of the government in such accounts. Here the reigns of operation remain in the hands of the individual without central government interference.

People also read: best retirement plan

Voluntary withdrawal from the scheme

Employees who complete service tenure of 60 years can withdraw from the pension scheme at any time they choose. However, before that they need to purchase an annuity worth 40% of their pension wealth at the time of withdrawal.

While detractors of this new pension schemes consider that the risk outweighs the benefits, the opposite mostly seems to be true. This retirement planning is flexible, with a plethora of investment choices, and is in keeping with the growth and prosperity of the nation as a whole. What else can you ask for? 

*All savings are provided by the insurer as per the IRDAI approved insurance plan.
*Tax benefit is subject to changes in tax laws. Standard T&C Apply
^The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
+Returns Since Inception of LIC Growth Fund
~Source - Google Review Rating available on:-
^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.

Secure Your Retirement Today
Start Investing ₹6,000/month
Get Pension ₹60,000/month+
Including Life Cover
View Plan
Pension Plans
+Standard T&C Applied
Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.
Secure your Retirement today!
+ Standard T & C Apply*
Pension Calculator
Pension Calculator
How much do you need to save for retirement?
₹ 20,000
₹ 25,000
₹ 30,000
Monthly Expenses in 2024
Edit Done
Your expense go up every year by
Today 2024 Your expenses today in 2023, at the age of 34 Yrs
Your expenses in 2043, at the age of 55 Yrs
For a monthly pension of ₹77,300
you need to invest
Calculated as per past performance of 15%
View Plan Recalculate?

Pension plans articles

Recent Articles
Popular Articles
How Can I Get a 3000 Pension?

01 May 2024

Securing a monthly pension of 3000 rupees is a goal that many
Read more
Pension Calculator

13 Feb 2024

Pension calculator helps you calculate the amount you could
Read more
NPS vs ULIP - Which One Is Better?

10 Oct 2023

NPS (National Pension System) and ULIP (Unit Linked Insurance
Read more
Best Mutual Funds for Retirement

21 Sep 2023

Planning for a secure and comfortable retirement is a financial
Read more
Mahila Samman Savings Certificate (MSSC)

04 Sep 2023

The Mahila Samman Savings Certificate (MSSC) or Mahila Samman
Read more
SBI Annuity Deposit Scheme Calculator 2024
SBI Annuity Deposit Scheme Calculator 2024 is an online tool that helps you figure out your fixed annuity
Read more
Top 15 Pension Plans in India
The Pension Plan, also known as a Retirement Plan is the best investment instrument allowing individuals to build
Read more
Sevarth Mahakosh
Sevarth Mahakosh Portal is a one-stop solution for all state government employees' financial transactions and
Read more
NPS Calculator 2024
NPS Pension Calculator is a financial tool that calculates potential returns on the National Pension Scheme, by
Read more
How to Unfreeze NPS Account?
Are you facing trouble accessing your NPS account and being unable to deposit your recurring subscription? Do not
Read more

Download the Policybazaar app
to manage all your insurance needs.