Enhanced family pension

Enhanced Family Pension

What is enhanced family pension and for what period it is payable?

Family Pension Scheme for Railway Servants, 1964:-

1. Family pension at enhanced rates is paid for a period of 10 years in case of Railway employee dying in harness.

2. In case of death of a pensioner below 67 years, Family Pension is paid at enhanced rates for a period of 07 years or up to the date on which the deceased pensioner would have reached 67 years whichever is earlier.

DCRG

The Commission, after examination of the matter, recommends the following revised rates for payment of death gratuity:

Length of Service Rate of Death Gratuity
Less than one year                                               2 times of monthly emoluments

One year or more but less than 5 years                6 times of monthly emoluments

5 years or more but less than 11 years                 12 times of monthly emoluments

11 years or more but less than 20 years               20 times of monthly emoluments

20 years or more                                                 Half month of emoluments for every complete  
                                                                             six monthly period of qualifying service
                                                                             subject to a maximum of 33 times of
                                                                             emoluments

Eg:-Last Basic Pay =70,000/-

        DA = 7% = 4900/-

............................................
                          74900/- x 16.5 (for normal retirement of employee)

                   DCRG =1235850/-

QS = 33 YEARS

IN CASE OF DEATH OF EMPLOYEE

Eg:-Last Basic Pay =70,000/-

        DA = 7% = 4900/-

............................................
                          74900/- x 33 (In case of death of employee)

QS = 33 YEARS.

                   DCRG =2471700/- = Maximum 20 Lakhs.

Commuted value for retirement at the age of 60 years only

8.194 x 12

Eg.

Last pay=Rs.70, 000/-

Basic Pension =RS.70, 000%2 =35000/-

Commuted Value = 35000 x 40% =14000/-

14000 x 8.194 x 12 =RS.1376592/-(Commuted value)