Know All About Different Schemes Under Punjab Pension Scheme

In order to have a financially secure retirement, individuals should invest in pension plans. Several retirement schemes are covered under Section 80C of the Income Tax Act of 1961, and taxpayers are entitled for tax rebates of up to Rs.1.5 lakh. Any strategy that an individual uses must be in line with their investing objectives (or retirement plans). For example, if an individual wants to retire early then their funds should be sufficient to sustain them during their retirement years. The key here is to pick the appropriate retirement plan that suits their needs.

The Punjab Pension Scheme's major goal is to give social security and financial assistance to people who live below the state's poverty level. The Punjab Pension Scheme covers not just senior citizens but economically disadvantaged people as well. The monthly stipend under this pension is Rs 750. Any senior citizen with a yearly income of less than Rs 60,000, including rental, business, and interest income, are eligible for the Punjab Pension. To find out more on the Punjab Pension Scheme, read on.

Schemes Under Punjab Pension Scheme

Following are the types of schemes under Punjab Pension Scheme -

• Indira Gandhi National Widow Pension

Women who married when they were 18 years old or older and subsequently became widowed after 30 years of age are eligible for the Indira Gandhi National Widow Pension. Widows must meet specific criteria in order to receive benefits under this plan. The pensioner must be a permanent resident of Punjab, which means they must have resided there for at least 10 years and fall below the poverty line of the state. Widows in Punjab benefit from this pension, which offers them both financial and social security. A widow can utilise the money supplied under this arrangement as a source of income.

• Indira Gandhi National Old Age Pension

In Punjab, the Indira Gandhi National Old Age Pension offers financial and social protection to the senior citizens. Senior citizens who do not get any type of pension after retirement are eligible. The respective individual must be economically disadvantaged to qualify for the benefits under this pension programme.

• Indira Gandhi National Disability Pension

Disabled people in Rajasthan who have reached the point of 80 percent disability are eligible for the Indira Gandhi National Disabled Pension. Mentally impaired persons who have reached a 40% mental impairment level are also eligible for payments under this scheme. This pension gives financial assistance to individuals in Punjab who are physically or intellectually impaired. The monthly pension payment might be a substantial source of income replacement. The money might also be used to cover the respective pensioner's medical bills.

• Pension Scheme For Widow/ Destitute/ Single Women

A widow, impoverished, and single lady in Punjab receives financial assistance under this scheme. The respective lady must be homeless, abandoned, single, or divorced. The wife must be a Punjabi permanent resident. She should not be earning more than Rs.50,000/- per year. The respective lady should not work for the government. The lady must also be below the state's poverty limit. The pension amount supplied under this plan may be a significant source of income replacement for these ladies, assisting them with day-to-day expenditures as well as financial support such as medical bills.

Features Of Punjab Pension Scheme

Following are some features of the Punjab Pension Scheme:

1. Punjab Pension Scheme gives a monthly income to the senior citizens that may be utilised as a supplement to their regular income.
2. This additional source of income can be used to cover daily expenses or even medical bills for senior citizens.
3. When an individual who pays social security reaches the senior citizen age limit (both men and women), they are eligible for these pension payments as a social security benefit.

Endnotes

Since the retirement years are regarded as an individual's "golden years," this plan will help assist them in meeting their daily needs. The social security amount will be sent to the respective client on a monthly basis as an income amount, and will therefore serve as the appropriate income replacement during retirement.

Also read: Mistakes You Must Avoid While Purchasing A Retirement Plan

What Is Retirement Planning And How Much Money Is Needed After Retirement In India?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.