Steps for Users on How to Use the Unified Pension Scheme Calculator
Step 1: Enter Your Years of Service
- Example: If you’ve been working for 15 years, enter “15”.
- This step helps the calculator determine if you’re eligible for a pension and, if so, how much of your salary will contribute to it.
Step 2: Input Your Last 12 Months’ Average Salary
- Example: If your average salary over the past year was ₹20,000 per month, enter “20000”.
- This amount will be used to calculate your pension, with 50% of this value potentially being used as your base pension amount.
Step 3: Provide an Inflation Rate (for demonstration purposes)
- Example: Enter “3” for a 3% inflation rate.
- This step shows how your pension might grow over time due to inflation adjustments. Note that the actual rate may vary.
Step 4: Click the “Calculate Pension” Button
- After entering all the required information, press the button to see your results.
Step 5: Review Your Pension Estimate
- Monthly Pension: Displays the amount you’ll receive each month after retirement.
- Annual Pension Table: Shows your pension over the next 10 years, adjusted for inflation. This table includes:
- Year: The year of pension projection.
- Annual Pension: Total pension for that year.
- Family Annual Pension: The amount your family would receive annually if you pass away.
- Monthly Pension: Your estimated monthly pension for that year.
- Monthly Family Pension: The monthly amount your family would receive.
Examples
- Example 1:
- Years of Service: 20 years
- Last 12 Months’ Average Salary: ₹30,000
- Inflation Rate: 2%
- Result: The calculator will show a monthly pension of ₹12,000 initially, increasing slightly each year due to the 2% inflation. The family pension will also be displayed.
- Example 2:
- Years of Service: 8 years
- Last 12 Months’ Average Salary: ₹25,000
- Inflation Rate: 3%
- Result: Since the service duration is less than 10 years, the calculator will indicate that there is no pension eligibility.
- Example 3:
- Years of Service: 30 years
- Last 12 Months’ Average Salary: ₹50,000
- Inflation Rate: 4%
- Result: The calculator will show a monthly pension starting at ₹25,000, increasing yearly due to the 4% inflation adjustment. The family pension estimates will also be provided.
By following these steps and using the provided examples, users can effectively estimate their pension benefits under the Unified Pension Scheme and plan for their financial future.