Pension and Commutation Calculator
PENSION CALCULATION INFORMATION
As per the latest bank wage settlements:
Pay for Superannuation Benefits:
The “pay” used to calculate superannuation benefits like contributions to the National Pension Scheme (NPS) includes:
Basic Pay
Stagnation Increments
Special Pay
Graduation Pay
Professional Qualification Pay
Officiating Pay
Increment Component of Fixed Personal Pay
Note: Special Allowance is not included for superannuation benefits such as Pension, Gratuity, or NPS.
Age at Next Birthday
This means the age you will turn on your next birthday after your retirement year.
Normally, retirement on superannuation is at 60 years. In this case, your “age at next birthday” will be 61, regardless of the year you retire.
If someone retires at 57 years, the “age at next birthday” will be 58.
Example: If you retire in 2025 at the age of 60, your “age at next birthday” will still be 61.
If an employee retires at the age of 60, the commutation value is calculated using a factor of 9.81 years.
This means, if the employee commutes ₹100 from their pension within one year of retirement, the lump sum amount they will receive is:
₹100 × 9.81 × 12 = ₹11,772.
(*Note: For an employee retiring at 60 years, the commutation value is based on their age at the next birthday, which is 61 years.)
ONE WHO JOINED BANK AFTER 01.04.2010 CHECK OUT NPS CALCULATOR
