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HomePersonal FinanceGood News: Family pension limit raised from Rs 45,000 to Rs 1.25...

Good News: Family pension limit raised from Rs 45,000 to Rs 1.25 lakh, here is all you want to know

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For Family pension, the upper ceiling has been raised from Rs 45,000 to Rs 1.25 lakh per month, as per the announcement made by Union Minister Jitendra Singh earlier.

Union minister Jitendra Singh after making the announcement said, “The amount of both the family pensions will now be restricted to 1,25,000 per month, which is over two and half times higher than the earlier limit.” He has also said that the DoPPW has issued a clarification on cases of the amount admissible in case a child becomes eligible to draw two family pensions in case of the death of both parents.

Here is all you need to know about the new family pension limit.

In February 2021, the Family pensions upper ceiling was raised from Rs 45,000 to Rs 1,25,000 per month. Union minister Jitendra Singh on Friday said that in a far-reaching reform regarding family pensions the upper ceiling has been raised from Rs 45,000 to Rs 1.25 lakh per month. He said the move will bring “ease of living” for the family members of the deceased employees and would provide adequate financial security to them. The minister said that the Department of Pension and Pensioners” Welfare (DoPPW) has issued a clarification on the amount admissible in case a child is eligible to draw two family pensions after the death of his or her parents. Dr. Jitendra Singh said that the amount of both the family pensions will now be restricted to Rs 1,25,000 per month, which is more than two and half times higher than the earlier limit.

The statement further outlined that since the highest pay has been revised to 250,000 taking into account the recommendations by the seventh Central Pay Commission (CPC) recommendations, the amount prescribed has also been revised. “Earlier instructions laid down that the total amount of two family pensions in such cases, shall not exceed to 45,000 per month and 27,000 per month, which were determined at the rate of 50 percent and 30 percent, respectively taking into account the highest pay of 90,000 as per the Sixth Central Pay Commission (CPC) recommendations,” the statement said.


“Since the highest pay has been revised to 250,000 per month after the implementation of the seventh CPC recommendations, therefore the amount prescribed in Rule 54(11) of CCS (Pension) Rules has also been revised to 125,000 per month being 50 percent of 250,000 and 75,000 per month being 30 percent of 250,000,” the statement further added.

Pravesh Maurya
Pravesh Maurya
Pravesh Maurya, has 5 years of experience in writing Finance Content, Entertainment news, Cricket and more. He has done BA in English. He loves to Play Sports and read books in free time. In case of any complain or feedback, please contact me @ businessleaguein@gmail.com
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