3939
6 min read
One of the major fallouts of demonetization that severely impacted the senior citizen population of our country was the cut in rate of interest on fixed deposits or FDs. As such, the Government of India came up with a pension scheme exclusively for senior citizens that promises a fixed return of 8% interest to them every year for a total of 10 years.
This government scheme has been launched by the name of Senior Citizen Pension Scheme and is an initiative of the Life Insurance Corporation of India or LIC. This retirement scheme allows the elderly the benefit to opt for a regular pension plan on a regular basis, i.e., monthly, quarterly, half-yearly, or annually. All these retirement plans or pension plans are designed for people over 60 years of age.
Plan Name | LIC New Jeevan Shanti |
Eligibility | Min. – 30 years
Max. – 79 years |
Minimum Amount | INR 1.5 lakh |
Maximum Amount | No Limit |
Tax Benefits | Available |
Loan Facility | Available after a year |
This is a multiple-investment option plan that only demands a single premium payment. Some of the main benefits of this scheme include:
Eligibility Criteria for LIC New Jeevan Shanti:
The minimum age for entry under the plan is 30 years and the maximum age is 79 years. The minimum amount to be invested under the plan is at least Rs. 1.5 lakh and there is no maximum limit for investment.
Also Read: Sukanya Samriddhi Yojana Versus LIC Kanyadan Policy
Plan Name | Pradhan Mantri Atal Pension Yojana |
Eligibility | Min. – 18 years
Max. – 40 years |
Minimum Pension | INR 1000/month |
Maximum Pension | INR 5000/month |
Policy Term | Min. 20 Years |
Benefits Offered | After 60 Years |
This plan has been specifically designed by the government for the unorganized section of the society, which includes home-based workers, wage laborers, or self-employed people. The plan guarantees financial security to all these people in old age. The key features of the plan include:
Eligibility criteria for Pradhan Mantri Atal Pension Yojana:
The minimum age for entry into the plan is 18 years and the maximum age is 40 years. Persons in this age group can choose to invest in the scheme for at least 20 years, after which they’d be entitled to enjoy its benefits after the age of 60 years (old age).
Also Read: LIC vs Other Private Insurance Companies in India
Plan Name | Pradhan Mantri Vaya Vandana Yojana |
Eligibility | There is no maximum age limit. Anyone over 60 years can invest |
Minimum amount invested | INR 1.5 lakh |
Maximum amount invested | INR 15 lakh |
Minimum pension Offered | INR 1000/month |
Maximum Pension Offered | INR 10,000/month |
This pension plan was introduced by LIC for the elderly in 2017. This government scheme is specifically meant for those aged over 60 years, guaranteeing them a rate of interest of 8% for a total of 10 years (which amounts to 8.3% per annum). According to this LIC Senior Citizen Pension Scheme 2023, the total amount invested in the plan is called the purchase price. Some of the major benefits of this plan include:
Eligibility criteria for Pradhan Mantri Vaya Vandana Yojana:
There is no maximum age limit for entering this plan. The government allows any person aged over 60 years to invest in the scheme.
Also Read: How to Get a Duplicate LIC Policy Bond in 5 Easy Steps
Plan Name | LIC New Jeevan Nidhi |
Eligibility | Min – 20 years
Max – 58 years (regular payout) 60 years (single payment) |
Minimum vesting period | 55 years |
Maximum vesting period | 65 years |
Minimum sum assured | INR 1 lakh (regular premium) |
Maximum sum assured | No limit |
A unique retirement plan that not only assures pension payouts in the old age but also offers the additional benefits of savings to the elderly. Some of the major highlights of the plan are:
Eligibility Criteria for LIC New Jeevan Nidhi:
The minimum age for entering the plan is 20 years and the maximum age is 58 years (in case of regular premium payment) and 60 years (in case of single premium payment).
Also Read: Top 5-Year Duration LIC Plans
Plan Name | LIC Varishtha Pension Bima Yojana |
Eligibility | Min – 60 years
No Maximum age limit |
Minimum annuity | INR 6,000 |
Maximum annuity | INR 60,000 |
Tax Benefits | Available |
Assured pension (at regular intervals) | Monthly, Quarterly, Half-yearly or annually |
Yet another government scheme for the elderly that promises assured pension payments at regular intervals – monthly, quarterly, half-yearly, or annually. Some of the main benefits of this scheme are:
Eligibility criteria for LIC Varishtha Pension Bima Yojana:
The minimum age to opt for the plan is at 60 years and there is no maximum limit for entry age. The plan provides a minimum annuity payout of Rs. 6,000 and a maximum annuity payout of Rs. 60,000.
Also Read: Top LIC Child Plans their Benefits and Features
The government of India secures the financial interest of its senior citizens by way of introducing several pension schemes. The LIC Senior Citizen Scheme India is one such example. Most of these schemes come with the option to choose from monthly, quarterly, half-yearly, and annual pension payouts. The LIC Senior Citizen Monthly Income Scheme, for instance, assures a comfortable monthly income to the elderly in their golden retirement phase. You can choose a plan that suits your requirement best after careful consideration of each of them as detailed in this post.
Also Read: How to Find LIC Installment Premium Amount Without Tax
Browse PayBima Blogs to read interesting posts related to Health Insurance, Car Insurance, Bike Insurance, Term Life Insurance, and Investment section. You can visit PayBima to Buy Insurance Online.
Related Articles:
Some best LIC policies are:
LIC New Jeevan Shanti
LIC New Jeevan Nidhi
LIC Varishtha Pension Bima Yojana
Below are some best plans for retirement planning:
SBI Life Saral Retirement Saver
ICICI Pru Easy Retirement
Max Life Guaranteed Lifetime Income Plan
Bajaj Allianz LongLife Goal
7.40% per annum
In 2023, the scheme is offering an interest of 7.40% payable every month which is fully taxable.
The interest rate of both PMVVY and Senior Citizens Savings Scheme (SCSS) are close to 8% per annum.
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.
For many risk-averse Indian citizens, an FD account is the safest and the most reliable means of securing a lump sum amount in a couple.
Have you ever delayed your ITR filing task until the last moment due to its difficulty? Income Tax Returns, commonly termed ITR, is a form.
Suraj was recently blessed with a daughter, and he wanted to invest in a safe and guaranteed scheme to save some money for her school.
When Sahil lost his job a couple of years back, he was devastated as he had a family of 6 to look after, which was.
Are you well-informed about the various schemes offered by your state government, especially the ones for the old, needy and people with low incomes? Do.
When Soha, a single mother, was considering different investment options to invest INR 10 lakhs for her daughter’s higher education, she wanted a risk-free and.
The Swatantrata Sainik Samman Yojana (SSSY) was introduced as a token of gratitude to the freedom fighters for their contributions to free India. Let’s learn.
As you embrace parenthood and enjoy the bliss of having a child in your life, you also prepare yourself to shoulder some responsibilities of the.
With the changing times, the perspective of women in society has experienced a sea change. From being labelled as a housewife to someone who has.
When it comes to investing in a good financial/investment scheme, there are a host of products available in the market to choose from. Some offer.
Speak to our advisor
Mahindra Insurance Brokers Limited (A Mahindra Group Company) - Unit-202, A-Wing, 2nd Floor, Amiti Building, Agastya Corporate Park, Kamani Junction, LBS Marg, Kurla West, Mumbai - 400070. Tel: +91 22 66423800
Licenced by IRDAI License No. 261; License Validity : 17-05-2025; Category : Composite Broker; CIN : U65990MH1987PLCO42609 Member of Insurance Brokers Association of India (IBAI).
Insurance is the subject matter of solicitation.
For a seamless experience, use the latest version of Chrome/Firefox/Internet Explorer.
Copyright © 2023 Mahindra Insurance Brokers. All Right Reserved.
Verify your number to activate your best premium offer
Please enter the OTP sent to XXXXXX 4099 to continue