PMVVY Calculator
Calculate the guaranteed pension payouts and total returns for your existing Pradhan Mantri Vaya Vandana Yojana (PMVVY) policy.
Policy Details
Note: PMVVY was closed for new investments on March 31, 2023. This calculator is for existing policyholders to track their returns.
The rate locked in at the time of your policy purchase.
Policy Tenure
Fixed duration for PMVVY
Monthly Pension Payout
₹9,250
Guaranteed payout for 10 years.
Total Pension Earned
₹11,10,000
Over the 10-year tenure
Purchase Price Returned
₹15,00,000
At the end of 10 years
Total Value Breakdown
Total Value Received: ₹26,10,000
Understanding Pradhan Mantri Vaya Vandana Yojana (PMVVY)
The Pradhan Mantri Vaya Vandana Yojana (PMVVY) was a pension scheme offered by the Life Insurance Corporation of India (LIC) exclusively for senior citizens. It provided an assured rate of return in the form of a pension for 10 years.
Guaranteed Returns
The scheme offered a guaranteed rate of return for the entire 10-year policy term. The rate was locked in at the time of purchase, shielding senior citizens from future interest rate cuts.
Maturity & Death Benefit
If the pensioner survives the 10-year term, the initial purchase price is returned along with the final pension installment. In case of death during the term, the purchase price is paid to the nominee.
Tax Implications
The pension received under PMVVY is fully taxable according to the pensioner's income tax slab. Unlike some other schemes, the initial investment in PMVVY did not qualify for deductions under Section 80C. However, the scheme was exempt from Goods and Services Tax (GST).
Frequently Asked Questions
What is Pradhan Mantri Vaya Vandana Yojana (PMVVY)?
PMVVY was a pension scheme announced by the Government of India exclusively for senior citizens aged 60 years and above. It provided an assured return (pension) for a policy term of 10 years.
Is PMVVY still open for new investments?
No, the PMVVY scheme was closed for new subscriptions on March 31, 2023. However, existing policyholders will continue to receive their guaranteed pension for the remainder of their 10-year tenure.
What happens at the end of the 10-year tenure?
Upon survival of the pensioner to the end of the policy term of 10 years, the Purchase Price (initial investment amount) along with the final pension installment is refunded to the pensioner.
What happens in case of the pensioner's death?
If the pensioner passes away during the 10-year policy term, the Purchase Price (initial investment) is refunded to the designated beneficiary or nominee.
Are the PMVVY pension payouts taxable?
Yes, the pension received under the PMVVY scheme is fully taxable as per the income tax slab of the pensioner. Also, the initial investment did not qualify for Section 80C tax deductions.