India’s insurance giant Life Insurance Corporation (LIC) has several plans in its kitty for every age group. Be it a monthly investment or monthly pension plan, LIC has many options. If you also want to make a one-time investment and earn a monthly or yearly pension, then you can go for LIC’s Jeevan Shanti plan. It is an Annuity plan which has the option of purchasing a deferred annuity and can be purchased only by paying a lump sum amount. The plan provides for annuity payments of a stated amount throughout the lifetime of the investor.
Getting a deferred annuity plan is a smart move for people who want to make sure they have money coming in regularly when they retire. This plan lets you save money over time and then get regular payments later on, usually when you stop working. It’s like a way to build up a fund for the future and then have a reliable income when you need it most.
The main reason for getting a deferred annuity plan is to ensure a dependable income when you retire. By adding money to the plan while you work, you build up a good amount that’s turned into regular payments later on to help your lifestyle after you stop working. These plans also let your money grow without being taxed yearly on earnings like dividends or interest. This tax-deferred growth can make your savings grow faster over time.
Unlike some retirement accounts, deferred annuity plans often have no contribution limits, allowing individuals to invest more for retirement if needed.
Age Limit For Jeevan Shanti
The LIC policy has an age limit from 30 to 79 years. It doesn’t offer any risk cover, yet its benefits are attracting a lot of interest. There are two options provided by the company to buy this LIC Plan. The first option is Deferred Annuity for Single Life, and the second is Deferred Annuity for Joint Life. This means you can invest in a plan for yourself or opt for a combined plan with someone else if you prefer.
How To Get Rs 1 Lakh Pension With Jeevan Shanti?
LIC’s New Jeevan Shanti Scheme is an annuity plan where you can secure a fixed pension limit by investing in it. For instance, if a 55-year-old person invests Rs 11 lakh in this plan and holds it for five years, they can expect to earn Rs 1,01,880 annually. The pension amount received every six months would be Rs 49,911, and on a monthly basis, it would be Rs 8,149.
Many deferred annuity plans come with a death benefit that guarantees a payout to the beneficiary in case the policyholder passes away during the accumulation phase. This feature can provide financial protection for loved ones.