• 70 likes • 209 Views
Pension plans are schemes by which small amount is saved on a monthly basis over a considerable period of time so that one can enjoy monthly income after retirement.
E N D
Pension Plans • Pension plans are schemes by which small amount is saved on a monthly basis over a considerable period of time so that one can enjoy monthly income after retirement. • Types of Pension Plans • Immediate Annuity Plans • Deferred Annuity Plans • Pension Plans with Life Insurance Cover • Guaranteed Period Annuity • Pension Funds • National Pension Scheme
Immediate Annuity Plans Deferred Annuity Plans • Under this scheme, pension premium is paid in lump sum and pension payment starts immediately. • Based on the requirement, payouts can be made weekly, monthly, annually. • Life insurance companies normally provide this scheme. • During the accumulation phase, regular premiums has to be paid. • After the term of the policy is complete, policyholder will start getting pensions • Here the policy holder can avail the tax benefit.
Pension Plans with Life Insurance Cover Guaranteed Period Annuity • It's a combination of life insurance cover along with the annuity payout pension scheme. • In case of sudden demise of the policy holder, to some extent, financial security will be provided to policy holder’s next of kin. • Tax benefit is applicable under Section 80C of the Income Tax Act, 1961. • Here insurance companies issue payouts irrespective of the fact whether the policyholder has completed the accumulation phase or not. • Normally payouts happen at 5th year, 10th year, 15th year and so on.
Pension Funds National Pension Scheme (NPS) • Hybrid mix of both equity & debt investments. • With the help of equity investment, plan grows when the market witnesses boom and loss is contained by debt investment, when market witnesses bust. • Here, investments are made in capital market investments like government securities. • Here returns are not guaranteed since this scheme relies heavily on market linked investments. • Tax benefit is applicable under Section 80C but subjected to various terms and conditions.
VIJAYA BANK • Vijaya Bank is a PAN India Institution, serving diverse sectors of the society. • The Bank offers a bouquet of innovative and attractive products and services to its customers. It has also incorporated a host of latest Digital Banking products, to provide the best services to its customers. Digital Banking services are: • VPAYQWIK • Mobile Banking • Net Banking • Vijaya UPI • Twitter banking and many more… For details, visit: https://www.vijayabank.com