Guidelines for Pensioners: Commutation of Pension
Commutation of Pension
Commuted portion of pension is required to be reduced from pension from the date of payment of the commuted value of the pension or after three months from the date of issue of PPO or from the date, capitalized sum is credited to the pensioner’s account. If the commuted portion of pension is not reduced as above, bring this to the notice of your PDA immediately to avoid a heavy recovery later.
7th CPC Recommendations on Commutation of Pension
COMMUTATION OF PENSION : 8.1 There will be no change in the provisions relating to commutation values, the limit upto which the pension can be commuted or the period after which the commuted pension is to be restored.
9.1 The pension/family pension under para 5 and 7 above shall qualify for dearness relief sanctioned from time to time, in accordance with the relevant rules/instructions.
Authority: DPPW OM dated 4.8.2016
COMMUTATION VALUES FOR A PENSION OF Re. 1 PER ANNUM
as per Sixth CPC recommendations, effective from 1.1.2006