Frequently Required Informations

Q. 1. What is pension?

Ans. Pension is service security granted to a Railway servant upon completion of Railway service.

Q.2. Who is entitled to get pension?

Ans. A Railway servant joined Railway service on or after 16.11.1957 upto the period of 31.12.2003 and subscriber of SRPF /NC, is eligible to get pension. Minimum pension with effect from 01.01.2006 is Rs. 3500/- per month & maximum Rs. 45000/-.

Q.3. How pension is calculated?

Ans. Before 6^th CPC

Before 6^th CPC, a Railway servant is entitled to get pension @ 50% of average emoluments subject to qualifying service of 33 years (maximum).

After 6^th CPC

After 6^th CPC, a Railway servant joined Railway service upto 31.12.2003 is entitled to get pension @ 50% of last emoluments (Pay + Grade Pay) or last 10 months average emoluments, whichever is beneficial to Railway Servant subject to completion of 20 years (minimum) of service.

Q.4. What are the benefits granted to a Railway servant upon retirement on superannuation?

Ans. Following benefits are granted on superannuation:-

(i) Pension,

(ii) Commutation of pension,

(iii) Retirement gratuity,

(iv) Own contribution to SRPF,

(v) GIS,

(vi) Leave Salary.

Q.5. What is commutation?

Ans. A Railway servant is eligible to commute fraction of his/her pension (maximum 40% after 6^th CPC) for lumsum payment based on a factor determined by Railway Board. As for example, if a Railway Servant’s pension is Rs. 3500/- per month , maximum commutation will be 40% of Rs. 3500/- i.e. Rs. 1400 X 12 X 8.194 (the factor at present) = Rs. 1,37,660.00.

This commutation will restore after 15 years from the date of credit by Bank/ Payment by Accounts Office.

Q.6. What is DCRG?

Ans. DCRG stands for Death-cum-Retirement Gratuity.

Retirement Gratuity

A Railway Servant is granted retirement gratuity of 16½ times (maximum) of emoluments (Pay + Grade Pay + DA) after 6^th CPC , subject to maximum qualifying service and maximum limit is Rs. 10.0 lakhs w.e.f. 01.01.2006.

Death Gratuity

If a Railway Servant dies while in service the amount of death gratuity shall be paid to the family in the manner indicated below:

Length of qualifying service	Rate of death gratuity
(i) Less than 1 year	2 times of emoluments
(ii) One year or more but less than 5 years	6 times of the emoluments
(iii) 5 years or more but less than 20 years	12 times of the emoluments
(iv) 20 years or more	Half of emoluments for every completed 6 monthly period of qualifying service subject to maximum of 33 times of emoluments. Maximum limit being Rs. 10.0 lakhs w.e.f. 01.01.2006.

Q.7. What is Family Pension?

Ans. With Effect from 22.09.1977, Family Pension is granted to the widow/widower or minor children of a Railway Servant @ 30% of Pension subject to minimum Rs. 3500/- per month after 6^th CPC.

Q. 8. What is Family Pension in favour of unmarried/ widow/divorced daughter?

Ans. This is a newly introduced Family Pension explained below:-

(i) Category -I

(a) Widow or widower upto the date of death or remarriage whichever is earlier ,

(b) Son/daughter (including widowed daughter) upto the date of his/her marriage or till the date he/she starts earning or till the age of 25 years which ever is earlier,

(ii) Category-II

(c) Unmarried/widowed/divorced daughter not cover by category – I above- upto the date of marriage/remarriage or till the date she starts earning or upto the date of death which ever is earlier.

This Family Pension is effective from 06.09.2007 for unmarried daughter & from 25.08.2004 for widowed/divorced daughter or from the date on which their turn for family pension materialize, whichever is later.

(d) Parents who are wholly dependent on the Railway Servant when he/she was alive provided the deceased Railway employee had left behind neither a widow nor a child.

Q. 9. What is constant attendant allowance?

Ans. In case of pensioner’s who retires on the ground of disability (100% which means the pensioner is completely dependent on somebody else for day to day function) are eligible for Constant Attendant Allowance @ Rs. 3000/- per month in addition to the Disability Pension, after 6^th CPC.

Q. 10. What is New Pension Scheme?

Ans. After 01.01.2004, the Central Government will not bear the pension liabilities of the Central Government employees any more. A new Pension Scheme (NPS) has been introduced under which 10% of employee’s emoluments (Pay + Grade Pay + DA) per month is recovered from the salary as employee’s contribution and equal amount is contributed by Railways as Government contribution. Both these amount are transferred to National Security Depository Fund (NSDL) who is Record Keeping Agency of the scheme. This means that the Central Government, after transferring the Fund to NSDL ,it becomes the responsibility of NSDL for keeping all records and will make payment to the subscriber concerned accordingly.

N.B. The Pension liability for the year 2008-2009 borne by N.F. Railway is Rs. 355.65 Crores.