Advertisement

Pradhan Mantri Vaya Vandana Yojana (Plan No: 842) from LIC

Pradhan Mantri Vaya Vandana Yojana is Pension plan for Senior citizen announced by Government of India. This plan is government subsidized pension scheme which will avail guaranteed 8% return in monthly mode and 8.3% return in yearly mode. This plan plan can be purchased from LIC up to 03-05-2018.

Related Link: Pension Calculator

Plan Parameters

Age at Entry60 Years (Completed)
Calculate your Age
Maximum Age at Entry No Limit
Policy Term 10 Years (Fixed)
Pension Receiving Mode Monthly, Quarterly, Half Yearly or Yearly
Proposal Form Download

Pension benefit

  • Pensioner will receive pension amount as per selected mode. Pension will be available on completion of selected mode, for example, in case of monthly mode, pension will be paid on completion of month.

This plan can be purchsed on payment of single one time amount, the minimum and maximum limit of one time lumpsum amount is given in the following table

Mode Minimum Maximum
Amount Pension Amount Pension
Yearly 1,44,578 12,000 7,22,892 60,000
Half Yearly 1,47,601 6,000 7,38,007 30,000
Quarterly 1,49,068 3,000 7,45,342 15,000
Monthly 1,50,000 1,000 7,50,000 5,000

Please use following calculator to calulate pension as per your choice of amount and pension mode.

PMVVY Pension Calculator

Death benefit

  • Deposited amount will be returned to nominee or legal heirs.

Maturity Benefit

  • On compltion of 10 years, the deposited amount along with last due pension will be returned to policy holder.

Policy Surrender

  • In extra-ordinary cases like critical medical emergency of policy holder or spouse, the policy can be surrendered before completion of 10 year term. The surrender value will be 98% of purchase price.

Example of Pradhan Mantri Vaya Vandana Yojana (LIC Table 842)

Let's take example of PMVVY with following details.

Age (Years)60 (Completed)
One Time Deposit7,50,000
Policy Term(Years)10
Purchase Year2017
Pension ModeMonthly

As per above example, pension scheme holder requires to deposit on time lumpsum amount of 7,50,000 and monthly pension will credit in to his/her account on completion of each month from date of purchase for next 10 years.

On completion of 10 years, 7,50,000 will be returned to policy holder. Following table provides year-wise pension details.

Pension Details

Year Age Deposit Amount Monthly Pension Total Pension in a Year Return of Purchase Price
2017 60 750000 5000 60000 0
2018 61 0 5000 60000 0
2019 62 0 5000 60000 0
2020 63 0 5000 60000 0
2021 64 0 5000 60000 0
2022 65 0 5000 60000 0
2023 66 0 5000 60000 0
2024 67 0 5000 60000 0
2025 68 0 5000 60000 0
2026 69 0 5000 60000 0
2027 70 750000

Death Claim Details

In case death before completion of 10 years (Before Year 2027 in this case), purchase price (Rs. 7,50,000) will be returned to policy holder's nominee or legal heirs

Comments & Reviews

Wrote : 15-11-2017 07:52:38

The maximum deposit of Rs.7.5 lakhs is for a single person or for a family. Can myself and my wife can invest under this scheme individually and what is the limit.

Replied : 15-11-2017 10:04:57
7.5 Lakh limit is for a family, meaning thereby, sum of investment made by wife husband should not exceed 7.5 Lakh.

Write CommentReply

Wrote : 20-10-2017 12:50:18

sir i am receiving rs 5000pm under varishtha pension yojna 2015.is it possible for me to opt for pmvvy plan??

Replied : 21-10-2017 22:20:11
Max deposit including varishtha pension yojna is 7.5 lakh.

Write CommentReply

Wrote : 10-10-2017 22:44:33

my father already have( varisth pension yojna) whichwas launched in 2015 but now he also want to buy pmvvy scheme for 750000 . is he eligeble for this.if not than why?

Replied : 11-10-2017 00:10:13
The max deposit limit inclusive of amount deposited in varishtha pension yojna.

Write CommentReply

Wrote : 08-10-2017 22:02:22

The pension will be credit to the bank or hand ?? Expiry date to the invest money on LIC

Replied : 10-10-2017 00:23:25
Pension in this plan will be credited to policyholder's account directly. This plan will be available for sale till 03-05-2018.

Write CommentReply

Wrote : 06-10-2017 13:50:08

Will there be any TDS. If yes then can it be waived like in a Bank after submission of 15H

Replied : 06-10-2017 17:24:04
Yes, income/pension is taxable, but it can be avoided by 15H. In most of the cases TDS is not being deducted by lic as max yearly pension is 60000 only.

Write CommentReply

Wrote : 29-09-2017 08:49:22

With soaring medical treatment expenses, for senior citizens, the interest rate on this policy should be minimum 10% (allowing for even 4 % inflation) so that there is some relief to the senior citizens who have to live simply on interest income in their evening of life.

Write CommentReply

Wrote : 23-09-2017 14:14:49

Whether Pension payment amount of PM Vaya Vandan Yojana of LIC is taxable,?

Replied : 23-09-2017 17:26:30
Yes, pension will be taxable.

Write CommentReply

Wrote : 23-09-2017 11:55:51

In an article it is mentioned that minimum age for entry is 60 yrs but if retired on 58 yrs (superannuation) and can provide proof then he may also be eligible to deposit in this scheme. For comments please. Thanks BS RAI

Replied : 23-09-2017 17:38:00
Not sure about your case, but this plan is for age 60 and above. Please visit nearest branch for more details.

Write CommentReply

Wrote : 23-09-2017 11:02:36

Can a relative of mine drawing pension under Varishta Yojana of LIC, subscribe`Rs.750000/- under V V Yojana and draw monthly pension of Rs.5000/- in addition to Varishta Yojana?

Replied : 23-09-2017 17:46:01
Total amount including varishth pension should not exceed 7.5 lakh. So it No in your case.

Write CommentReply

Wrote : 23-09-2017 08:28:58

I want to take this policy for Rs. 320000 in next month. After Dec 2017 I want to take this policy two lakh and two in two parts when money will be available. It will not cross limit of 750000.Can I take this policy in three parts when money will be available in bank. Thanks

Replied : 23-09-2017 17:50:54
Yes, it is possible.

Write CommentReply

Wrote : 20-09-2017 17:42:25

It's this amount is in locking period for 10yr ?

Replied : 20-09-2017 18:06:29
Yes, but it can be withdrawn in case of critical illness condition.

Write CommentReply

Wrote : 20-09-2017 13:02:35

My mother is on 65 yrs ,if she pay 3.5 I as lumpsum how much pension she got per annum. Message me d details

Replied : 20-09-2017 18:02:28
Yearly pension will be 29050.

Write CommentReply

Wrote : 14-09-2017 15:30:36

Why the amount for diferent period is diferent ......plz,explain it...I.e.....144,000 for yearly nd 150000 for monthly....

Replied : 15-09-2017 12:18:17
It can be explained as follows.
Suppose there are two investments where one time single amount is deposited in both the cases, one provides 5000 per month for 12 months and the second scheme provides 60,000(in one installment) after 12 months. As 12 monthly 5000s, that is total 60,000 is more than 60,000 which is paid in single installment. This is why monthly mode deposit amount is more than yearly mode deposit.

Write CommentReply

Wrote : 07-09-2017 08:46:07

Very unfair to not allow both husband and wife to separately deposit upto specified limit of Rs 7.5 Lakh

Write CommentReply

Wrote : 06-09-2017 16:15:04

pls. tell me Service tax is applicable in this plan. if yes so tell me how much percentage.

Replied : 06-09-2017 16:58:12
Service tax is not applicable to this plan.

Write CommentReply

Wrote : 30-08-2017 12:50:55

LIC MUST CLARIFY ,IF PENSION IS ADDED AS YEARLY INCOME ? ON MATURITY 10/10D ELIGIBLE PLEASE? LIC & GOVERNMENT MUST RELAX TO SENIOR CITIZENS ON THESE ASPECTS REQUESTED

Write CommentReply

Wrote : 29-08-2017 10:19:54

PLZ PROVIDE INCOME TAX PROVISION ON INVESTMENT. WHETHER INCOME TAX REBATE ON SINGLE PREMIUM THIS PLAN IS AVAILABLE. IF SO IN WHICH SEC.

Replied : 29-08-2017 11:04:51
As per our understanding, investment amount is not exempted from taxation as we don't find mention of it and the pension plan is already a subsidized scheme.

Write CommentReply

Wrote : 19-08-2017 17:40:26

In whose name cheque should be drawn ?

Replied : 20-08-2017 10:20:20
In favour of "LIC of India".

Write CommentReply

Wrote : 13-08-2017 17:56:54

A person whose age is 53yrs Can take benfit of this scheme

Replied : 13-08-2017 19:24:21
This plan is for aged 60 or above. Jeevan akshay 6 is available for age 53.

Write CommentReply

Wrote : 13-08-2017 10:26:25

Like other LICI plans, this scheme also should have been tax free. It would then be like Tax Free Bonds and would be fair for Senior Citizens.

Write CommentReply

Wrote : 11-08-2017 15:57:27

While we appreciate the Government's concern to mitigate the sufferings of Senior Citizen with decreasing interest rate under fixed deposits , it would have been better to extend the scheme to both the family members ie husband and wife instead of the family concept of one of the members only.

Write CommentReply

Wrote : 10-08-2017 04:27:37

I am NPS retiree and a sum of Rs 279000/_are lying with NSDL and I want to deposit my balance PF in senior citizen scheme. Can I deposited in PM senior citizen scheme.

Replied : 11-08-2017 22:51:37
Yes, a person age 60 or above can deposit and take benefit of this plan.

Write CommentReply

Wrote : 04-08-2017 01:47:58

Hi why this scheme is only valid for one year its not right at all you mean to say after one year no one will become a senior citizen ,this is absolutely not right it should be continue all the time because everyday many indian citizens are becoming senior citizens and it should not be 750000 rs per family it should be 750000 per senior citizen in the family to coverup the old age expenses government should think about their indian senior citizens.

Write CommentReply

Wrote : 03-08-2017 19:36:47

please confirm whether pradhan mantri vaya vandana yojana pension received is taxable or not under IT ACT.

Replied : 04-08-2017 00:17:02
Pension will be taxable.

Write CommentReply

Wrote : 25-07-2017 16:21:05

I am 64 years old and my wife is 61 years old. Can we both take this pension scheme for Rs 7.5 lakh each to get Rs 5000/- PM pension each separately. Thus we both will invest Rs 15 lakh.

Replied : 25-07-2017 18:21:37
Combine limit for a family is 7.5 Lakhs.

Wrote : 22-09-2017 23:08:11

there is not mension that 750000 rs is famely limit

Replied : 23-09-2017 17:50:00
Please go through the proposal/application form (available on this site), it is mentoned there.

Write CommentReply

Wrote : 25-07-2017 13:23:26

Yes I agree, the surrender terms should be unconditional, they are not giving extraordinary benefit thru this...Very marginal interest is being offered, when lic charge 10% interest rate for loan availed thru this after 3 years what consideration offered to SR citizen? If tomorrow interest rate goes up thru other channels will lic revise and give that benefits to the policy holder? I think govt should have mercy to SR. Citizens

Write CommentReply

Wrote : 25-07-2017 13:15:18

Can we invest in part ? . I mean first time some amount like 2,50,000 & there after 2 lacs and so on . Secondly can my wife invest part of 7.5 lacs say 2 lacs and balance in my name. As it is for Family.

Replied : 25-07-2017 13:17:30
Yes, it can be done.

Write CommentReply

Wrote : 25-07-2017 12:50:18

Im planning to take this scheme for my mother who is running 64 yrs. I would like to know whether an online policy would be cheaper rather than through an agent.

Replied : 25-07-2017 12:55:39
Please follow this online purchase link and know more.

Write CommentReply

Wrote : 25-07-2017 12:38:13

In yearly interest option if policy holder die before completing one full year , he or she would not get any interest ,just purchased money only be returned . Is it true ? If his/her spouse is also a senior citizen then what would be ?

Replied : 25-07-2017 13:10:46
Yes, pension will be available on completion of selected mode duration, for example, if yearly mode has been selected then, first pension will be available on completion 1 years from date of purchase.

Write CommentReply

Wrote : 25-07-2017 12:07:13

We are totally aghast when we came to know that this scheme is available for a family !!! We senior citizens are already suffering a lot due to the low interest rate from Banks. Government should take action to protect the senior citizens, especially when we are very old - over 75 and are unable to meet both ends meet to eat, sleep and on top of it pay for the exorbitant medical bills. No insurance schemes allow us to claim our expenses - always with some clause they deduct and restrict the total amount.. the max insurance given is only 3 lacs. Government measures to overlook the interest of senior citizens is very sad !! Hindu Dharma begins with "Mata, Pitha, Guru, Deivam" where is the protection of Mata and Pitha in these days ? This scheme should be made for individual - that means father and mother separately. At least it will give some relief. I never expected the Government I voted for will throw us in total disarray in our last part of our life.

Write CommentReply

Write Comment & Reviews

Advertisement

Advertisement