Retirement Benefits of Officials
Retirement Benefits of Officials of DOT / BSNL
  1. Pension/ Family Pension
     
  2. More about Pension
     
  3. Gratuity
     
  4. Commutation
     
  5. CGEGIS
     
  6. Leave Encashment
     
  7. GPF Final Payment
     
  8. Leave Salary Contribution
     
  9. Pension Contribution
     
  10. Pension Calculation Sheet

     
    11.

  11. Dearness relief(IDA/CDA Rates))
     

  12. BSNL/DoT Employees going to be retired

  13.  Calculate your own Pension, Gratuity etc.

  1. Amendment of sub rule 8 of Rule 37(A) of CCS(Pension) Rules, 1972.

  2. Central Dearness relief on recommendation of 6th central pay commission. pg-1
     
  3. Central Dearness relief on recommendation of 6th central pay commission. pg-2
  4. Revision of provision regulating Pension/Gratuty/ Commutation etc. under 6th pay Commission.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1. Pension


Pension rules may be called as Central Civil Services (Pension rules 1972. Pension granted may be of following kinds :-

  1. Superannuation Pension: Retired on attaining the age of 60years.
  2. Retiring Pension: When an official opt to retire prior to the date of superannuation.
  3. Invalid Pension: May be granted on account of any bodily / Mental infirmity or on submitting medical certificate of capacity.
  4. Compulsory Retirement Pension: Compulsorily retired as a penalty.
  5. Compensation Pension: Owing to the abolition of permanent post or of accepting another appointment on such pay.
  6. Pension on absorption in or under a corporation, company or body.
  7. Compassionate allowance: Consideration on dismissal or removal from service.
  8. Family Pension: Due to death of an official.

Regulation of Pension Amount

Pension amounts regulated on the basis as under-

  1. Qualifying service - Service rendered while on duty.
  2. Pay regulation.
  3. Average emolument- average of the emoluments drawn during the last ten month of service.

(a) Qualifying service:

Commences from the date of joining initially substanticialy /oifficiating or temporarily capacity followed without interruption by substantive appointment.

Probation period, pre retirement civil service of a reemployed pensioner will count as qualifying service ( if he refunds drawn pension, gratuity and commuted value), all leaves from which leave salary payable including EOL on m/c , training period.

 None qualifying service : Service rendered before attaining the age of 18 years, EOL W/O M.C., suspension, any interruption in service which remains uncontained and any period for which leave salary has not been paid.

Three months and above but less than 6 month period as on half yearly period.

(b) Pay regulation :

The emoluments drawn dividing last 24 months may be verified in order to ensured that the emoluments drawn during last 10 months have been correctly shown in service book for the purpose of average emoluments.

(c) Average emoluments:

This shall be determined reference to the emoluments drawn during the last 10 months. If during 10 months any period of absence or suspension, which does count as service such period of leave or suspensions shall be desecrated in the calculation average emoluments and equal period before 10 months shall be included.

Benefits of revised pay as on 1.1.96 : Extended to those officials whose period of average emoluments include year 1995 also (April 95 to 31Dec'95).

Formula for pension calculations

50% of average emoluments on completion of 33 years of qualifying service. Proportionate pension if qualifying service is less than 33 years.

 Min. amount of pension will be Rs.1275 Per Month.

Max. amount of pension will be Rs.15000 Per Month.

 

2. More about pension

  1. Commercial employment after retirement: Any pensioner who was a member of Central Service group ‘A’ can’t accept commercial employment within two years of his retirement without seeking permission from the Govt. The application will be in prescribed Form 25.Otherwise his whole or a part of pension may be withheld.

  2. Identity Cards to Pensioners: On request of pensioner Laminated Identity Cards may be issued, its cost will be done by the pensioner.

  3. Payment of Pension by M.O. Pension up to Rs 1,500=00 excluding dearness relief may be remitted by money order at Govt’s cost at the request of the pensioner.

  4. Retirement benefits can be paid through in crossed cheque/demand draft: Retirement /Death gratuity, withheld amount of Retirement /Death gratuity up to Rs 10,000=00 may be made by cheque/demand draft in f/o pensioner.

  5. Family:
    1. Pension regards wife / husband, judicially separated wife / husband, son who has not attained the age of 25 and unmarried daughter who has not attained the age of 25. Legally adopted son / daughter also eligible or date on which son / daughter starts earning livelihood.
    2. DGRG regards including  above stepsons / daughters, widowed daughters including stepdaughter and adopted daughters, father/mother including adoptive parents in the case of individuals whose personal law permits, brother below the age of 18 years including stepbrothers, widowed sisters including stepsisters ,married daughters.

 

3. Gratuity ( DCRG )

Gratuity granted is of two kinds -

  1. Retirement Gratuity: One fourth of emoluments ( Last pay + DA) on the date of retirement for each completed six monthly period of qualifying service subject to a maximum of 16.5 times the emoluments on retirement or completion of 5 year qualifying service.

  2. Death Gratuity: Death Gratuity is granted when a Govt. servant dies while in service according to the following rates-

Length of Service

Death Gratuity payable to family

Less than one year 2 times of Emoluments.
One year or more, but less than 5 years 6 times of Emoluments.
5 year or more, but less than 20 years 12 times of Emoluments.
20 year or more

Half of emoluments for every completed six-monthly period of qualifying service subject to a maximum of 33 times emoluments of Rs. 3.5 lakhs whichever is less.

In no way the amount of retirement gratuity or death gratuity exceeded by Rs. 3.50 Lacks.

  1. Service Gratuity: In the case of a Govt. Servant before completing qualifying service of 10 years. Service Gratuity - half month's emoluments for every six monthly period of qualifying service

 

4. Commutation

Maximum of 40% of monthly pension may be commuted for getting lump sum payment ( Commuted Value )

Calculation of Commutation Amount

Commuted Value = Commutation Factor x 12 x Portion of Pension offered for commutation

Commutation Table for a pension of Rs 1 per Annum
Effective from 1st March 1971

Age next birthday

Commutation value expressed as number of year's purchase

Age next birthday

Commutation value expressed as number of year's purchase

Age next birthday

Commutation value expressed as number of year's purchase

39

16.09

62

9.48

85

3.13

17

19.28

40

15.87

63

9.15

18

19.20

41

15.64

64

8.82

19

19.11

42

15.40

65

8.50

20

19.01

43

15.15

66

8.17

21

18.91

44

14.90

67

7.85

22

18.81

45

14.64

68

7.53

23

18.70

46

14.37

69

7.22

24

18.59

47

14.10

70

6.91

25

18.47

48

13.82

71

6.60

26

18.34

49

13.54

72

6.30

27

18.21

50

13.25

73

6.01

28

18.07

51

12.95

74

5.72

29

17.93

52

12.66

75

5.44

30

17.78

53

12.35

76

5.17

31

17.62

54

12.05

77

4.90

32

17.46

55

11.73

78

4.65

33

17.29

56

11.42

79

4.40

34

17.11

57

11.10

80

4.17

35

16.92

58

10.78

81

3.94

36

16.72

59

10.46

82

3.72

37

16.52

60

10.13

83

3.52

38

16.31

61

9.81

84

3.32

Note: This Table is based on a rate of interest of 4.75 % per annum.

Commuted Portion of Pension will be restored after 15 Years.

 

5. CGEGIS

CGEGIS is being paid on the basis of table supplied by directorate every year.

In case of Death during service an insurance cover as per cadre is also payable along with amount under saving fund as per table.

 

6. Leave Encashment

Leave Encashment is payable maximum 300 days of earned leave. equals to last pay drawn + DA.

 

7. General Provident Fund

Permanent / Temp. Government Employee are eligible to subscribe a minimum of 6 percent of emoluments and a maximum of total emoluments means pay excludes D.A. Recovery should be stopped before 3 months of improvement.

Nominations

Only members of family can be nominated. If having no family can be nominative to any person /persons including a company/Associates .Body of individuals/a charitable or other trust or fund. Fresh nomination can be canceling previous nomination.

Final Payment

GPF final payment will be made when the subscriber-

  1. Retires from service/permitted to retire or declared by a competent Medical Authority to be unfit for further services.

  2. Proceeds on leave preparatory to retirement .
  3. Quits service.
  4. Is dismissed /removed from services.

Annual interest of GPF

Financial Year

Interest Rate

1999-2000 12 %
2000-2001 11 %
2001-2002 9.5 %
2002-2003

9 %
2003-2004 8 %

 

 

 

 

 

Deposit Linked insurance Scheme

When a GPF subscriber dies after having put in five years service, the person receiving the fund balance will be paid an additional amount if the balance at credit had not fallen below the under mentioned limits at any time during the 3 years proceeding the month of death:

Maximum of scale

Minimum monthly balances

Rs 12,000 or more   Rs 25,000
Rs 9,000 to 11999 Rs 15,000
Rs 3,500 to 8,999 Rs 10,000
Below Rs 3500

Rs 6000

 

 

 

 

In case of missing employees payments can be made to the nominee/legal hairs after expiry of a period of seven years on production of proper proof of death or a decree of the Govt.

 

8. Leave Salary Contribution

Rate of Leave Salary Contribution

  1. Three monthly rate of leave salary contribution in respect of all classes of Government servants governed by the Central Civil Services (Leave) Rules is 11% of pay drawn in foreign service.

  2. If the foreign employer pays contributions, the percentage is applied to the pay actually drawn in foreign service.

  3. If the contributions are paid by the Government servant himself, the percentage is applied to the net pay drawn during foreign service. Net pay means the pay that would be left after meeting the pension and leave salary contributions. In such cases, the percentage of leave salary contribution is not applied directly on the actual pay drawn during foreign service, but an element of compensation is taken into account for both the contributions before the percentage for leave salary contribution is calculated.

  4. Three types of cases may arise and three different formulae can be applied in such cases :

    1. Where pension contribution alone is paid by the employee :

      L = ( F - P )     x    r / 100
       
    2. Where leave salary contribution alone is paid by the employee:

      L = F    x    r / ( 100 + r )
       
    3. Where both the contributions are paid by the employee:

      L = ( F - P)     x     r / ( 100 + r )
       

    Where  L is the leave salary contribution,
                F is the pay actually drawn in foreign services,
                P is the pension contribution, and
                r is the rate of leave salary contribution.

     

 

9. Pension Contribution

According to G.I., M.F., O.M. No. F. 8 (4)1E. III/82, dated 15-2-1984, pension contribution payable during the active period of foreign service shall be based on the maximum of the pay as defined in FR 9 (11) plus dearness pay appropriate to such maximum plus interim relief appropriate to such maximum of the post held at the time of proceeding on foreign service or to which he may receive proforma promotion while on foreign service.

Since D.A. equal to 50% of basic pay is treated as Dearness Pay 1-4-2004 and will be taken into account for retirement benefits, pension contribution is to be worked out based on the maximum of the pay plus dearness pay appropriate to such maximum.