Govt Raises Family Pension Limit To Rs 1.25 Lakh Per Month

New Delhi: The Centre has raised the upper ceiling of family pension from Rs 45,000 to Rs 1,25,000 per month.

Union Minister Dr Jitendra Singh said that this far-reaching reform will bring ‘ease of living’ for family members of deceased employees by providing them adequate financial security, PTI reported.

The minister informed that the Department of Pension & 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/her parents.

The amount of both family pensions will now be a maximum of Rs 1,25,000 per month — more than two-and-a-half times of the earlier limit.

According to sub-rule (11) of rule 54 of Central Civil Services (Pension) Rules 1972, in the event of both wife and husband being Government servants and governed by the provisions of that rule, on their death, the surviving child is eligible for two family pensions in respect of the deceased parents. As per earlier instructions, the total amount of two family pensions in such cases wouldn’t have exceeded Rs 45,000 per month and Rs 27,000 per month, determined at the rate of 50% and 30%, respectively, taking into account the highest pay of Rs 90,000 as per 6th CPC recommendations.

With the highest pay being revised to Rs 2,50,000 per month after implementation of 7th CPC recommendations, the amount prescribed in Rule 54(11) of CCS (Pension) Rules has also been revised to Rs 1,25,000 per month being 50% of Rs 2,50,000 and Rs 75000 per month being 30% of Rs 2,50,000.