Pension – Important aspects

Pension – Important aspects

— Applicable to those appointed prior to 1.1.2004

— Age of retirement is 60 years

— In the case of voluntary and premature retirements the day of retirement is treated as non-working day

— Date of death is treated as duty – exception leave on MC

— Verification of qualifying service after completion of 25 years of service or 5 years before retirement is an important stage in the process of settlement of retirement benefits.

— Verification of fixation of pay etc. can be done for 24 months prior to the date of retirement (Rule 59 (i) (b) (iii)).

— Govt. Servants retiring after 10 years of service on superannuation will get full pension.

— Pension is not attachable against any decree of a court even if the decree is for maintenance.

— Non recovery of excess payment from CGEIS amount provision can be applied in case of resignation also.

— Excess payment of Pay & Allowance cannot be recovered from pension.

— Nomination for DCRG is an important document which makes it convenient to settle the death gratuity in a most expeditious way

— Without medical examination, commutation of following classes of pensions is permissible if applied for before one year

— superannuation retiring or compensation pension

— Pension on absorption in a corporation, company or body.

— Within one year from the date of final orders after departmental/judicial proceedings.

Commutation only after medical examination.

— Invalid/compulsory retirement pension of compassionate allowance.

— Applying for commutation after one year

Qualifying Service

— QS commences from the date of taking over charge of the post to which the GS is appointed. Periods which count as QS are:

- Duty and periods treated as duty such as training

― All kinds of leave with leave salary

― Deputation and foreign service

― EOL on MC; and EOL without MC granted due to (i) inability of the employee to join duty on account of civil commotion or (ii) for prosecuting higher technical and scientific studies

― Probation followed by confirmation

― SAS apprentice

― Suspension treated as duty

― Qualifying service of 9 years 9 months and above should be treated as 10 years and the official is entitled for pension.

Regulation of Pension

— Full pension @50% of emoluments (or AE whichever is beneficial) is admissible with min QS of not less than 10 years. Minimum pension Rs.9000.

— Calculation for all classes of pension is same.

— Additional pension/FP on attainment of age as indicated is payable in addition: 80: 20%, 85: 30%, 90: 40%, 95: 50%, 100:100%

— QS of less than 10 years: service gratuity @ half months emoluments for every completed 6 monthly period of QS

— Final amount of pension, FP, gratuity and commutation amounts shall be rounded off to next rupee. This applies to pension or FP calculated for part of a month

Service gratuity / DCRG

— Service gratuity: No pension for less than 10 years of service In lieu thereof lumpsum SG @ half months emoluments for every completed 6 monthly period of QS is payable

— Retirement gratuity: eligible to all employees who retire after 5 years of QS @ 1/4th of emoluments for each completed 6 monthly period of QS (limited to 66 SMPs) subject to Max. of Rs.20 lakhs.

— Emoluments includes DA as on the DOR / death

— Death gratuity is admissible for death while in service

less than one year : 2 times of emoluments

less than 5 years : 6 times of emoluments

less than 20 years : 12 times of emoluments

20 years or more :@ ½ of emoluments for each completed 6 monthly period of QS (limited to 66 SMPs) subject to Max. of Rs.20 lakhs.

Family Pension

— Order in which FP is payable:

— Widow / widower till death.

— Unmarried Son(s)/daughter(s) [including widowed daughter(s)] up to his / her marriage / remarriage or till the date of he/she starts earning or till 25 years, whichever is earliest

— Unmarried Son/daughter/brother/sister with mental / physical disability payable for life or till gets married or starts earning livelihood, whichever is earliest.

— Unmarried/widowed/divorced daughter up to the date of marriage/remarriage or till the date she starts earning or up to the date of death, whichever is earliest

ü Twin children will get the FP in equal shares

ü Order of date of birth is followed in the above cases

— Order in which FP is payable:

— Parents who are wholly dependent on the GS when he/she was alive provided the deceased GS had left behind neither a widow/widower nor a child – till death. FP only @ normal rates is payable, first to mother and then to father

— Dependency means min FP+DR.

— Family pension is admissible from only one source in respect of one GS. A military pensioner reemployed in Civil service can choose either of the schemes.

— Family pension is payable to spouse judiciary separated on the grand of adultery.

— Family Pension is payable to twins in equal shares.

— If the widow family pensioner got a children, Family pension should not be stopped.

— If the marriage is not terminated by means of ‘Divorce Decree’, the spouse is eligible for family pension.

— Post retiral spouse is entitled for Family Pension. Full Pension if no eligible children to first wife; other wise 50% of Family Pension.