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Which are the best retirement investments for your portfolio?
Retirement might seem like an end to a fixed earning cycle, but it is not completely true. With proper planning and investment, you can manage your finances with equal ease as you did before retirement. While your savings account is an option to help you out in the times of emergency, one cannot only rely on it. In order to lead a smooth retired life, you should look for best investment options for senior citizens that can help you get better returns. 
 
Some of the top investment options available for you after retirement are: 
 
Senior Citizen Savings Scheme (SCSS)
Only available for senior citizens and early retirees, SCSS gives you high returns at an interest rate of 8.6% per annum. With a maturity period of 5 years, you can invest up-to Rs. 15 lakh in one account. Additionally, to invest more, you can create another account. The higher interest rate and fixed income makes SCSS one of the desirable investment options for senior citizens.
 
Pradhanmantri VayaVandan Yojana
PMVVY is another tailor-made scheme for a senior citizen that was launched by the Government of India in association with LIC. You can enjoy fixed monthly returns up to Rs. 60, 000 by investing in PMVVY. The tenure of investment for PMVVY is of 10 years, and you can invest up to Rs. 15 lakh in accordance with your financial plan.
 
Senior Citizen Fixed Deposits
Fixed Deposits are considered as one of the safest investment options that generate stable returns. Especially for senior citizens, the senior citizen FD interest rates are even higher, and the returns are tax-free.  Additionally, you can get various other benefits of FD investments that go beyond returns that you might not know.
 
Moreover, when you invest in smart non-banking companies like Bajaj Finance, along with stable returns you also get the added benefits of flexible tenures, online account management, etc. In order to make the most of the senior citizen FD schemes, you need to plan your investments by calculating the returns. You can use the FD calculators to compare the returns offered by different banks and NBFCs and select the best.
 
Mutual Funds
Investing your retirement fund in equity-backed funds is also one of the clever ways to get high returns. As equities are more adjustable to inflation, the returns are higher as compared to other funds. You can create a diverse portfolio by investing a specific amount of your retirement funds in Mutual Funds.
 
While all of the schemes mentioned above are best for senior citizens, you should choose the one that will suit your requirements the best. All the schemes mentioned above will provide returns depending upon when you invest, how much you invest and how long you invest. Furthermore, the investment option that you choose to invest with also plays a crucial role in your investment plans. 
 
Apart from the options mentioned above, senior citizens can avail personal loans from Bajaj Finance at higher interest rates to deal with emergencies as well. Although, availing personal loans are not advisable in the later stages of life,  from the right financing company,  personal loans can be very helpful in funding emergencies and immediate needs. 
 
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    User

    COMMENTS

    Aravind Maurya

    12 months ago

    wrong information about PMVVY it is 10000 monthly not 60000 kindly correct it
    Here are 10 things to know about new PMVVY (Pradhan Mantri Vaya Vandan Yojana) scheme:

    1) The PMVVY scheme has been implemented through Life Insurance Corporation of India (LIC) to provide social security during old age and protect elderly persons aged 60 years and above against a future fall in their interest income due to uncertain market conditions.

    2) The scheme provides an assured pension based on a guaranteed rate of return of 8 per cent per annum for ten years, with an option to opt for pension on a monthly, quarterly, half-yearly or annual basis.

    3) The differential return, the difference between the return generated by LIC from the scheme and the assured return of 8 per cent per annum, is borne by the government as subsidy on an annual basis.

    4) As of March 2018, a total number of 2.23 lakh senior citizens were getting regular pension under the Pradhan Mantri Vaya Vandan Yojana (PMVVY).

    5) PMVVY can be purchased offline as well as online through Life Insurance Corporation (LIC) of India.

    6) At the end of the policy term of 10 years, the pensioner gets back the purchase price (amount invested to earn pension) along with final pension instalment.

    7) On death of the pensioner during the policy term of 10 years, the purchase price will be paid to the beneficiary.

    8) Currently, a loan up to 75 per cent of purchase price (amount invested to earn pension) is allowed after three policy years to meet the liquidity needs.

    9) The PMVVY scheme also allows for premature exit for treatment of any critical/terminal illness of self or spouse.

    COMMENT
    10) On such premature exit, 98 percent of the purchase price will be refunded.

    Pension regulator makes provision for partial withdrawal under NPS
    The Pension Fund Regulatory and Development Authority (PFRDA) on Thursday said that it has made modification in partial withdrawal rules under the National Pension System (NPS).
     
    According to PFRDA, partial withdrawals will now be allowed to NPS subscribers who wish to improve "their employability or acquire new skills by pursuing higher education or acquiring professional and technical qualifications". 
     
    "Further, individual NPS subscribers who wish to set up a new business or acquire new business will also be allowed to make partial withdrawals from his contributions. Other terms applicable to partial withdrawals will remain unchanged," PFRDA said in a statement on Thursday.
     
    PFRDA took the decision in its recently-held Board meeting.
     
    Besides, the pension regulator has increased cap on equity investment in "active choice to 75 per cent from current 50 per cent for private sector subscribers".
     
    Presently, there is a cap of 50 per cent on equity investment under active choice in NPS. 
     
    "The proposal on increasing cap on equity investment in active choice to 75 per cent from currently 50 per cent has been approved by the Board. However, it comes with a clause of tapering of the equity allocation after the age of 50 years," the statement said.
     
    Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
     

     

  • User

    COMMENTS

    Mr Jitendra

    1 year ago

    Wrong decision, absent minded policy. Using retirement funds for business and education? Most of the developed world has separate tracks for achieving this. Babies born in USA their parent can open 529 plan which is total tax free. The maturity proceeds from age 16 onwards can be used to fund the child's education. Anyone can contribute in the child's education fund. Eg maternal grandpa, paternal grandma or uncle or aunt. Allowing NPS pension to get used in some other purpose other than retirement is something not correct.

    Pensioners not required to be physically present in bank for life certificate
    November is the month for all pensioners to provide life certificates to their bank so that they would continue to receive their pension. While most the these senior citizen visit bank branches during November and sign on the register as proof of living, some find it difficult to be physically present for this. This usually means a lot of trauma for elders who are not in good health or too old to make it physically to their bank branches. 
     
    The government has taken steps to end the pain of this process, however, many pensioners and their care-givers are unaware of it. Therefore, here is what you can do. 
     
    Pensioners who are unable to go to bank branches themselves can submit a physical copy of their life certificate or use a digital certificate that is issued by Jeevan Pramaan website https://jeevanpramaan.gov.in/. A pensioner can submit Aadhaar-based online life certificate through the Jeevan Pramaan website. A successful authentication generates digital life certificate that gets stored in the Life Certificate Repository, which can be accessed by the pension disbursing agencies on-line. But more about it later.
     
    An office memorandum, issued by the Central Pension Accounting Office, under the Ministry of Finance, clearly says, "...the pension account holding branches of all authorised banks may be instructed to strictly adhere to the existing norms and do not harass the pensioners/family pensioners by insisting upon presenting themselves physically in the bank if their life certificate is submitted duly signed by the authority specified in Correction Slip No.14..."
     
     
    This means, pensioners who are unable to visit their bank branch, can submit a life certificate, duly signed by a Magistrate, a Registrar or sub-Registrar, a Gazetted Officer, a Police Officer no below the rank of Sub-Inspector, a postmaster, a class I officer of the Reserve Bank of India (RBI), a pensioned officer who before retirement exercised powers of a Magistrate, a Justice, a Block Development Officer or Munsif or Tehsildar or Naib Tehsildar, a Head of Village Panchayat, a Member of Parliament or State Legislature or a Treasury Officer.
     
    For pensioners receiving pension through their savings account in a public sector bank, the Officer of the bank can sign the life certificate. However, many a times, such pensioners or their family members find it difficult to submit physical copy of the life certificate. 
     
    (Sample of Life Certificate)
     
    "Pensioners, who are not in a physical condition to visit the branch, can request an officer from the bank to visit their home for signing the certificate. Also such pensioners should get a similar certificate from their doctor and attach it with the life certificate while submitting to the bank branch. Also note the pensioner is required to submit such life certificate and doctor's certificate within 30 days of signing the same by designated officer and the doctor," says Abhay Datar, a retired banker and expert at Moneylife Foundation's Helpline. 
     
    Devidas Tuljapurkar, Joint Secretary of All India Bank Employees Association (AIBEA), also says that pensioners are not required to be physically present at bank branch if they have health related issues. "An official from the bank branch should ideally visit such pensioners and sign the life certificate. However, due to the manpower shortage, this is not possible for the officials to visit homes of pensioners. But they can certainly make the visit after banking hours, in cases, where the pensioner is bed-ridden or not in a condition to move around," he added.
     
    Coming back to the Jeevan Pramaan digital life certificate, which can be obtained through Jeevan Pramaan Centres, banks, government offices or by using an application on computer, mobile (smart phone with fingerprint scanning facility) or tablet.
     
    After downloading the app, the pensioner has to provide necessary information like Aadhaar number, pension payment order, bank account, bank name and mobile number. The pensioner then needs to authenticate herself through fingerprint scanner. 
     
    After a successful authentication, an SMS acknowledgement is sent to the pensioner's mobile number including her Jeevan Pramaan Certificate ID. The pensioner can also download a PDF copy of her life certificate from the Jeevan Pramaan website.
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    COMMENTS

    PRAKASH D N

    9 months ago

    As per RBI directive RBI/2017 -18/89DBR.No.Leg.BC.96/09.07.005/2017-18 November 9, 2017 giving facilities for senior citizens, bank officers have to visit the pensioner at his place where the pensioner is immobile for health reasons and submit the Life Certificate.

    Rajagopalan R Nida

    9 months ago

    My email ID is [email protected]
    My Pension SB a/c no is 4/1295724 at Porur branch,Indian Bank.

    Rajagopalan R Nida

    9 months ago

    My epf pension is paid through Indian Bank, Porur Branch,Chennai.My PPO No is32644.
    from last year the said branch of Indian bank informed all pensioners to go to Tambaram,EPF office. As per above news the branch at porur needs to be instructed to accept my Life Certificate.Even the corporation's E service booths also not accepting.
    A man of 73 years needs to go to tambaram means some harasement to the senior citizen. monthly am getting Rs 800 only

    Sanjoy Acharjee

    10 months ago

    There is a problem in generating digital Life Certificate for pensioner of Assam State Govt. Name of state - Assam is absent from dropdown menu for selection of State. Jeevan Pramaan portal has not yet updated states list adding name of Assam. Aadhar Card barrier is supposed to be removed as Aadhar Enrolment process is going on in Assam for quite a few months back. Jeevan Pramaan authority may be requested to update state names to help aged & ailing pensioners of Assam Govt.

    Sanjoy Acharjee

    10 months ago

    Here in the branch, there is no offline process or form thereof. The bank officer assured of attesting the form if I submit one. But, where to get the firm. Form issued by my PDA Branch in Assam is not as same as one I downloaded from SBI website. This has given rise to doubt as to where an attested Form sent by registered post will ultimately be accepted by Bank because of the form being one other than that the bank has issued to the pensioners. I obtained a photo from my friend there which is not properly printable. Hence. I am confused & require support. Bank Branch (code - 000109) of Karimganj Assam is indisposed to reply queries sent via email. This has put me into some tension. Please show way out.

    Sanjoy Acharjee

    10 months ago

    Here in the branch, there is no offline process or form thereof. The bank officer assured of attesting the form if I submit one. But, where to get the firm. Form issued by my PDA Branch in Assam is not as same as one I downloaded from SBI website. This has given rise to doubt as to where an attested Form sent by registered post will ultimately be accepted by Bank because of the form being one other than that the bank has issued to the pensioners. I obtained a photo from my friend there which is not properly printable. Hence. I am confused & require support. Bank Branch (code - 000109) of Karimganj Assam is indisposed to reply queries sent via email. This has put me into some tension. Please show way out.

    Sanjoy Acharjee

    10 months ago

    I am a pension holder. My PDA is SBI Karimganj Main Branch, Assam. At present, I am temporarily staying in Hyderabad, Telangana. I approached an SBI Branch at SERILINGAMPALLY
    Branch Code 06314 to submit my Life Certificate. In this branch online process is available. I have an Aadhar Card obtained in Kolkata. SBI official took up the task, but in drop down menu, Assam State is not mentioned & there online generation & submission of Life Certificate failed. At present, Aadhar Enrollment is going on in Assam, but Jeevanpramman has not yet incorporated name of Assam as one of the state in drop down, causing utmost problem to me. As a result, I am to go to Home Branch of SBI in Assam to submit my Life Certificate.
    If PPO based Life Certificate can be generated & submitted, it would lessen our tension & more or less 70 hours of journey by train. No offline form was available. What to do at this stage.

    REPLY

    MDT

    In Reply to Sanjoy Acharjee 10 months ago

    Dear Sir,
    As per reply from SBI, a pensioner can submit life certificate at any branch of the Bank.
    Here is the link to the webpage & specific answer provided by SBI...
    https://www.sbi.co.in/portal/web/customer-care/faq-centralised-pension-processing
    20. Where should the pensioner submit his/her life certificate?
    Ans: The pensioner can submit life certificate at any branch of the Bank either in person or through his/her authorized representative. The receiving official will acknowledge receipt of the Life Certificate.

    Kindly show this to the SBI officer at Hyderabad. After checking the details from the above URL, he will accept your life certificate.

    Pradeep Ratnaparkhi

    10 months ago

    I want to know if a person receiving pension from EPFO can go to the concerned branch of the Bank any where in India to present himself as alive?

    Shifali Gupta

    10 months ago

    I am father of shifali gupta and drwaing pension central government. I want to know whether I can submiy life certificate reemployment and re merriage certifiicates before november .pl guide me.

    Manoj

    1 year ago

    Well, digital life certificates are not used by state govts. UP state requires the pensioner to present themselves at the treasury for taking fingerprints. They also do not accept Jeevan Praman. Download Umang app and see for yourself.

    This govt believes in selling dreams and shortchanging people.

    Gem mo

    1 year ago

    please send live certificate link

    PARSHA RAM

    2 years ago

    this is a good move by the authorities concerned.

    k.mohanarangam k.mohanarangam

    2 years ago

    will be a great relief for those
    who are unable to physically
    present/visit the authorities

    N.Hanumanta Rao

    2 years ago

    The above Jeevan Pramaan may also be made applicable to all 5 crore pensioners of Family pension scheme of EPFO.

    S BHASKARA NARAYANA

    2 years ago

    Though I am physically fit to go to Bank's Branch, I obtained my Digital Life Certificate (DLC) at Customer Service Support (CSS) authorized by Govt. of India, by paying Rs.50/- to inculcate the easy way of submitting LC and sensitize the Bank's staff. But, the Bank's Branches' controller refused to accept the DLC, sent through my co-pensioner, mainly due to lack of knowledge on Jeevan Pramaan. Offcourse, I presented physically two days later at the pension paying branch and they accepted my presence and updated my LC free of cost.
    Similarily, the STO, of Kakinada (EGDist.)(AP) warned the local Customer Service Support centres (six in number) not to issue DLCs under Jeevan Pramaan, for which they are not going to accept.

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