(i) The Existing Pension / Family Pension.(ii) Dearness Pension.(iii) Dearness Relief @ 24% on (i) & (ii) above.(iv) Fitment weightage @ 40% on (i) above.
:The thumb rule for calculating revised pension under the consolidatedmethod is to multiply the existing basic pension with 2.26. For those whoretired on or after 01 Apr 04 and before 01 Jan 06, their basic Pension asreflected in PPO is inclusive of dearness pay (DP). Such pensioners have toremove the DP and go by the basic pension for correct calculation. There isa formula to do it. For example if the basic pension inclusive of DP is Rs.11325/-, then the basic pension will be11325/1.5 = 7,550/-. Thumb rulefor calculating revised pension (consolidation method) will be to multiplythe existing basic pension of Rs 7550/- with 2.26. This method of calculation is generally as per Annexure I of relevant Govt letter.(b)
Modified Parity Method
. The pension under modified parity has beenrevised by taking fifty percent of the minimum of the pay in pay band plus thegrade pay and the MSP of the rank held as per VI CPC. However, pensioncalculated under modified parity has been reduced on pro-rata basis, whereverthe full qualifying service of 33 years, has not been rendered by the pre -2006pensioner. A table-showing pension under this method is given in the next page.This calculation is as per Annexure II for officers and Annexure III for other ranks.
After calculating pension by both methods and ascertaining themost beneficial pension, the commuted amount should be deducted toarrive at the correct take home pension. Monthly DR is always on fullpension entitlement.(ii)
All Govt letters on pension provisions are followed by a circularfrom PCDA(P) Allahabad. The circular amplifies the implementationprocedure of a Govt order. Banks will release payment to pensioners onlyafter issuance of a circular by PCDA(P) Allahabad. These circulars areavailable on PCDA (P) Allahabad website.(iii)
The detailed Govt letters on pension are primarily available onPCDA (P), Allahabad website www.pcdapension.nic.in. In addition other