Life Insurance Corporation of India (LIC), the country’s largest insurance provider, offers several plans designed for different age groups.
Some of these plans also provide regular income, making them useful for managing expenses after retirement.
One such popular option is the LIC Smart Pension Scheme.
This is an immediate annuity plan.
It starts paying pension soon after you make a one-time lump-sum investment, and the income continues for the rest of your life.
A Reliable Option for Guaranteed Income
The LIC Smart Pension Scheme is ideal for investors who prefer safety over market-linked returns.
It is a non-linked and non-participating plan, which means your money is not affected by stock market ups and downs.
There is no market risk involved, making it a stable option for guaranteed income.
The minimum investment required is ₹1 lakh, and there is no upper limit.
This allows investors to choose an amount based on their retirement needs.
Pension Amount Is Fixed for Life
The pension amount is decided at the time of policy purchase and remains fixed throughout life.
The plan can be taken either individually or jointly with a spouse.
Policyholders can choose how often they want to receive the pension. Options include monthly, quarterly, half-yearly, or yearly payouts.
There are also choices for a 3 percent or 6 percent annual increase in pension, or for returning the invested amount to the nominee after death.
This makes the plan suitable for retired government employees, private-sector workers, and senior citizens looking for steady post-retirement income.
How to Get ₹10,880 Every Month
To earn a monthly pension of more than ₹10,000, an investor needs to make a one-time investment of ₹20 lakh in the LIC Smart Pension Scheme.
According to LIC’s calculator, this investment can provide an annual pension of ₹1,36,000.
If the payout is chosen on a monthly basis, this works out to ₹10,880 per month.
The exact pension amount may vary depending on the investor’s age and the option selected at the time of purchase.