If you are a retired government employee, you might be wondering how much pension you are entitled to receive after the implementation of the 6th Pay Commission Pension Fitment Table. In this article, we will discuss everything you need to know about this table, including its benefits, drawbacks, and frequently asked questions.
Main Content
What is the 6th Pay Commission Pension Fitment Table?
The 6th Pay Commission Pension Fitment Table is a document that outlines the revised pension rates for government employees who retired on or after January 1, 2006. The table takes into account the employee’s last drawn salary, the number of years of service, and the date of retirement to calculate the pension amount.
How is the Pension Amount Calculated?
The pension amount is calculated by multiplying the basic pension and dearness relief with the fitment factor. The fitment factor is determined based on the employee’s last drawn salary and the number of years of service. The formula for calculating the pension amount is:
Pension = Basic Pension x Dearness Relief x Fitment Factor
What are the Benefits of the 6th Pay Commission Pension Fitment Table?
The benefits of the 6th Pay Commission Pension Fitment Table include:
- Revised pension rates that are based on the employee’s last drawn salary and the number of years of service.
- Increase in the pension amount compared to the previous pay commission.
- Standardization of pension rates across different departments and categories of employees.
What are the Drawbacks of the 6th Pay Commission Pension Fitment Table?
The drawbacks of the 6th Pay Commission Pension Fitment Table include:
- The fitment factor is not uniform across all departments and categories of employees.
- The pension amount is not linked to inflation, which can lead to a decrease in the real value of the pension over time.
- The pension amount is not adjusted for the cost of living in different regions of the country.
How Can I Check My Pension Amount?
You can check your pension amount by referring to the 6th Pay Commission Pension Fitment Table or by contacting your respective department’s pension cell.
What is the Difference Between Basic Pension and Dearness Relief?
Basic Pension is the pension amount that is calculated based on the employee’s last drawn salary and the number of years of service. Dearness Relief is an additional pension amount that is provided to compensate for the increased cost of living due to inflation.
What is the Fitment Factor?
The Fitment Factor is a multiplier that is used to calculate the revised pension amount. It is determined based on the employee’s last drawn salary and the number of years of service.
What is the Date of Implementation of the 6th Pay Commission Pension Fitment Table?
The 6th Pay Commission Pension Fitment Table was implemented on September 1, 2008.
What is the Benefit of Opting for Commutation of Pension?
Commuted Pension is a lump sum amount that is paid to the employee at the time of retirement in exchange for a reduction in the monthly pension amount. The benefit of opting for commutation of pension is that the employee can receive a larger amount at the time of retirement, which can be used for immediate expenses or investment.
What is the Maximum Amount of Commutation of Pension?
The maximum amount of commutation of pension is limited to 40% of the pension amount.
FAQ
What are the Documents Required to Claim Pension?
The documents required to claim pension are:
- Pension Payment Order (PPO)
- Proof of Date of Birth
- Proof of Retirement
- Proof of Last Pay Drawn
- Bank Account Details
What is the Difference Between Gross Pension and Net Pension?
Gross Pension is the total amount of pension that is calculated before deducting the income tax and other deductions. Net Pension is the amount of pension that is received after deducting the income tax and other deductions.
What is the Rate of Dearness Relief?
The rate of dearness relief is determined by the government and is revised periodically based on the inflation rate.
Can I Receive Pension and Salary at the Same Time?
No, an employee cannot receive pension and salary at the same time.
What is the Difference Between Family Pension and Nomination?
Family Pension is the pension amount that is provided to the spouse or dependent children of the deceased employee. Nomination is the process of appointing a nominee who will receive the pension amount in case of the employee’s death.
Can I Change My Nominee?
Yes, an employee can change his/her nominee by submitting a written request to the respective department’s pension cell.
What is the Benefit of Submitting Life Certificate?
Submitting a Life Certificate is mandatory for pensioners to continue receiving the pension amount. The benefit of submitting a Life Certificate is that it ensures that the pension amount is paid to the right person and reduces the chances of fraud or misappropriation.
What is the Difference Between Pension and Gratuity?
Pension is a regular payment that is made to the retired employee or his/her family members after the employee’s death. Gratuity is a lump sum amount that is paid to the employee at the time of retirement as a token of appreciation for his/her service.
Pros
The 6th Pay Commission Pension Fitment Table provides revised pension rates that are based on the employee’s last drawn salary and the number of years of service. This ensures that the pension amount is fair and standardized across different departments and categories of employees. The table also provides an increase in the pension amount compared to the previous pay commission.
Tips
It is important to keep all the necessary documents and details updated to ensure a smooth process of claiming the pension amount. It is also advisable to consult a financial advisor to make the most of your pension amount and plan your retirement finances effectively.
Summary
The 6th Pay Commission Pension Fitment Table is a document that provides revised pension rates for government employees who retired on or after January 1, 2006. The table takes into account the employee’s last drawn salary, the number of years of service, and the date of retirement to calculate the pension amount. While the table has its benefits and drawbacks, it is important for the retired employees to keep their documents updated and plan their finances effectively to make the most of their pension amount.
