As most of us know, old age is inevitable. Thus, one must plan for their retirement while in their 30s and 40s. As is the case with most financial products, well begun in half done even in retirement savings plan. Today, fortunately, people have started investing in retirement/pensions plans at an early age. This helps them to reap good benefits at a later stage in life.

Below is the list of top five pension plans available in India today.

1. LIC Jeevan Akshay 6 Plan

This is an immediate annuity plan, which can be bought by paying a lump sum amount and the payouts start immediately. Benefits of this plan are:

  • Pension can be received monthly, yearly, quarterly, and half yearly.
  • No medical examination is needed
  • Premium is exempted from tax

2. LIC Jeevan Nidhi Plan

This is a with profit deferred annuity plan. The policyholder’s accumulated amount (i.e. Sum Assured + Guaranteed Additions + Bonuses) is used to generate a pension (annuity) for the policyholder.

Benefits of this plan are:

  • Premiums are exempted under the section 80C of the Income Tax Act up to Rs.1.5 lakh.
  • No maximum limit for the basic sum assured.
  • Guaranteed additions at Rs.50 per thousand sum assured for each completed year, for the first five years.

3. HDFC Life Guaranteed Pension Plan

This pension plan can be taken only on single life basis.

Benefits of this plan are:

  • Tax benefit under section 80C of the Income Tax Act.
  • Assured Death Benefit of the total premiums paid till date are accumulated at a guaranteed rate of 6% per annum and are compounded annually

4. ICICI Pru – Easy Retirement

A policy holder can receive regular income on his retirement by investing in equity. This plan provides a guarantee on the money invested along with growth by investing in a mix of equity and debt, thus helping in protection against the rapid changes in the market.

Benefits of this plan are:

  • Pension can be received monthly, yearly, quarterly, and half yearly
  • Minimum premium of Rs. 48,000 per annum with no maximum limit
  • Policy term ranges from 10- 30 years

5. SBI Life Saral Pension plan

This is a pension product. Benefits by way of surrender, complete withdrawal or maturity/vesting will be available in the form of annuities except to the extent of commutation of such benefits as allowed under the Income Tax Rules'.

Benefits of this plan are:

  • Guaranteed bonuses for the first five years
  • Minimum Sum Assured of Rs.1 lakh with no maximum limit
  • Minimum maturity age of 40 years and maximum of 70 years

Hence without wasting time and hesitating, invest in a pension plan for a better tomorrow.