Retirement planning is crucial, as it ensures a comfortable life during old age when physical labor becomes challenging.
To cater to this need, various pension schemes are available to provide regular income and meet daily expenses in retirement.
One such scheme is the LIC Saral Pension Plan, offering lifelong pension benefits and the unique advantage of starting the pension as early as age 40.
Let’s explore the features of this plan.
Understanding the Saral Pension Plan:
LIC’s Saral Pension Plan is an immediate annuity plan, meaning the policyholder starts receiving a pension as soon as they purchase the policy.
It requires a one-time premium payment. The pension amount remains constant throughout the policyholder’s life, providing a steady income stream.
In case of the policyholder’s demise, the nominee receives the deposited amount.
Single Life and Joint Life Options:
The Saral Pension Plan offers two options: single life and joint life. In the single life option, the policyholder continues to receive the pension until their demise, after which the deposited amount is returned to the nominee.
The joint life option covers both spouses, with the primary policyholder receiving the pension until their demise, after which the spouse receives the pension.
In case of the demise of both policyholders, the deposited amount is given to the nominee.
Flexible Pension Amounts:
Under the Saral Pension Plan, you can opt for a minimum monthly pension of Rs 1000, with no maximum limit. The pension amount is determined based on the investment made.
The plan offers options for monthly, quarterly, half-yearly, and annual pension payouts, based on your preference.
For example, if you invest Rs 10 lakh at the age of 60, you can receive an annual pension of Rs 58,950 for single life or Rs 58,250 for joint life, as per LIC’s website. The plan is available for purchase both online and offline.
Early Pension Benefits:
Unlike traditional pension plans, the Saral Pension Plan allows you to start receiving the pension from the age of 40.
This means you don’t have to wait until the age of 60 to begin enjoying the benefits of the scheme.
You can invest anytime between the ages of 40 and 80 and start receiving lifelong pension benefits from the same age of investment.
Loan Facility and Surrender Option:
The plan also provides the facility of loans, which becomes available after six months of purchasing the policy. In case of an emergency, you can opt for policy surrender after six months.
The LIC Saral Pension Plan offers a convenient and flexible way to secure a regular income during retirement.
By starting early, individuals can plan for a comfortable future and enjoy the benefits of lifelong pension.
