Monthly pension from Pradhan Mantri Vaya Vandana Yojana

 The Indian government introduced the Pradhan Mantri Vaya Vandana Yojana (Modified-2020). This plan offers a modified rate of pension, and the sale period of this yojana has been extended by three more years, from the financial year 2020–21 to the end of March 2023.

According to the terms and conditions of this plan, the Ministry of Finance, Government of India, will review and decide at the start of each year on the guaranteed rates of pension for policies sold throughout the year.

The Scheme will offer an assured pension of 7.40% p.a. payable monthly for the first financial year, which runs from April 1, 2020, to March 31, 2021. Only LIC of India is authorised to run this program. Both offline and online purchases of this scheme are possible. Please visit the website, licindia.in, to purchase this plan online.

 

Benefits:-

a.       Pension Payment:

If the Pensioner survives the policy's 10-year term, pension in arrears (payable at the end of each period according to the selected mode) will be payable.

b.       Death Benefit:

The Purchase Price will be returned to the beneficiary upon the death of the Pensioner within the 10-year policy term.

c.       Maturity Benefit:

If the pensioner survives the policy's 10-year term, the purchase price and final pension instalment will be paid.

Eligibility and other limitations:

a) 60 is the minimum entry age

b) There is no maximum entry age.

d) Ten-year policy term

d) The minimum pension is $1,000 per month, $3,000 per quarter, $6,000 per half-year, and $12,000 per year.

e) The maximum pension is $9,250 per month, $27,750 per quarter, $55,500 per half-year, and $111,000 per year.

Total amount of purchase price under all the policies under this plan, and all the policies taken under Pradhan Mantri Vaya Vandana Yojana (with UIN 512G311V01 and UIN: 512G311V02) allowed to a senior citizen shall not exceed `15 lakhs

Amount to be paid for the scheme

 A lump sum Purchase Price must be paid in order to purchase the scheme. The pensioner has the opportunity to select the Purchase Price or the Pension Amount.

The minimum and maximum Purchase Price for the various pension types will be as follows:

Mode of Pension	Minimum Purchase price	Maximum Purchase price
Yealy	156658	1449086
Half Yearly	159574	1476064
Quarterly	161074	1489933
Monthly	162162	1500000

 

Payment Method:

Pension payments might be made monthly, quarterly, half-yearly, or annually. The NEFT or Aadhaar Enabled Payment System must be used to pay the pension. Under this government-sponsored program, you must validate your unique Aadhaar number before purchasing a policy. Depending on whether the pension is paid annually, half-yearly, quarterly, or monthly, the first installment will be paid after one year, six months, three months, or one month from the date of purchase.

Typical Pension Rates per Rs.1000 of Purchase Price

The following table lists the pension rates for the "1000/- Purchase Price" for the various pension payment methods:

Yearly	Rs.76.60
Half Yearly	Rs.75.20
Quarterly	Rs.74.50
Monthly	Rs.74.00

 

Surrender Value:

Under extreme circumstances, such as the Pensioner needing money for the treatment of any serious or terminal sickness of themselves or their spouse, the scheme permits early termination during the policy term. In certain situations, the Surrender Value is equal to 98% of the Purchase Price.