As of September 26, 2024, many people wish to plan extensively for their retirement, but often can’t due to financial constraints. While mutual fund investments have become popular for retirement planning, they carry risks since they are market-linked. Today, we’ll discuss a scheme that guarantees regular income without the need for frequent contributions.
This scheme, run by LIC, offers guaranteed regular income and keeps your investment secure. It’s known as the LIC New Jeevan Shanti Plan. The best part of this plan is that you invest just once, and you receive a guaranteed lifetime pension.
Lifetime Pension
LIC, or Life Insurance Corporation of India, offers several retirement schemes for all age groups, ensuring financial stability post-retirement. One such scheme is the New Jeevan Shanti Plan, a single premium policy that guarantees a regular pension after retirement. Under this plan, you can receive an annual pension of ₹1 lakh for life.
Who Can Avail This Policy?
The eligible age range for this LIC pension policy is from 30 to 79 years. Along with the guaranteed pension, the policy offers other benefits. There are two options: single life deferred annuity or joint life deferred annuity, meaning you can invest either individually or jointly.
How to Receive a ₹1 Lakh Pension?
This policy is an annual plan where you can set your pension amount at the time of purchase. Once you retire, you will receive a fixed pension for the rest of your life. Additionally, it offers attractive returns. For example, if you are 55 years old and invest ₹11 lakh in the New Jeevan Shanti Plan for five years, you will start receiving an annual pension of ₹1,02,850 after turning 60. You can choose to receive this pension monthly, quarterly, or semi-annually.
Monthly and Semi-Annual Pension Breakdown
For an investment of ₹11 lakh, your annual pension will exceed ₹1 lakh. If you opt for semi-annual payments, you will receive ₹50,365 every six months. For monthly payments, you will get ₹8,217 per month.
Additional Benefits
Along with the guaranteed pension, the plan includes other benefits like death coverage. If the policyholder passes away during the term, the entire investment amount is given to the nominee. For an ₹11 lakh investment, the nominee will receive ₹12,10,000. You can surrender the plan anytime, with a minimum investment of ₹1.5 lakh and no maximum limit.