Varishtha Pension Bima Yojana – Pension plan by LIC on behalf of Govt Of India (Govt will subsidize LIC for any interest payment short fall)
It is Immediate annuity plan where immediate periodic annuity is received by subscriber as per option chosen by him.
Details of Varishtha Pension Bima Yojana are as follows:
1.Minimum age of entry : As this scheme is only for Senior Citizens, minimum age of entry is 60 years.
2.There is no maximum age of entry.
3.Interest rate: 8% for monthly interest payment.
4.Annuity option : Subscriber have an option to choose option from monthly,Quarterly,half yearly or annual.
5.Maximum and minimum purchase price: Minimum purchase price will be Rs.75000/- and maximum purchase price will be Rs.7,50,000 where minimum pension payable will be Rs.500/- per month and maximum pension payable per month will be Rs.5000/-
6.Tenure : Interest will be fixed for 10 yrs.
7.Subscription period: Investor can subscribe within one year from date of declaration of this scheme from Govt.
8.Taxation: As per current taxation laws, annuities are taxable as per investors tax slab.
If you are senior citizen, looking for safe,long term periodic income,wish to lock some corpus for long term income then think to invest in Varitha Pension Bima Yojana.
