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Sunday, April 10, 2016

Formula to work out difference in Total Pension with 100% neutralisation in DR and with DR on tapering basis.



Apropos to what has been observed by Shri C.H.Mahadevan and in furtherance to NOIP letter to LIC Chairman for interim relief....a formula to work out the difference in total pension with 100% neutralisation in DR and with DR on tapering (graded) basis.

(A)   B.P. X DR (B.P. x No. of slabs (Half yearly) x Rate per Slab (0.23%)= Total Pension.
(B)  B.P.+ DR (B.P. x No. of slabs (Half yearly) x Rate per Slab (Tapering) = Total Pension. 
(C) Difference : A minus B

( 1 ) Officers Retired up to 31-03-1993 have been getting DR on tapering basis as under: 
Up to 1250 --0.67%, 1251 to 2000 --0.55%, 2001 to 2130 --0.33% and 2131 and above ..0.17%

An example:


(a) AAO at the maximum of the pay scale : B.P. Rs.2130/- ; No.of Slabs for Aug.1997 to Jan.1998 : 285.


He gets (got) DR of Rs.3684/- as per calculation at (B) above. He gets (got) a total pension of Rs.5814/- (2130+3684) from Aug.1997 to Jan.1998.

(b) Basic Pension -- Rs.2130/- ; No. of Slabs for Feb.2016 to July, 2016 : 1386
He gets DR of Rs.17920/- as per calculation at (B) above. His total pension from Feb. to July,2016 is
Rs.20050/- (2130+17920)

( 2 ) Officers retired from 01-04-1993 to 31-07-1997 have been getting DR as under: 
 Up to 2400--0.35%, 2401 to 3850--0.29%, 3851 to 4100--0.17% and 4101 & above--0.09%

An example : 


(c) AAO at the maximum of pay scale: B.P. Rs.4255/-  ; No. of slabs for Aug.1997 to Jan.1998 : 148.


He got a total pension of Rs.6204/- including DR of Rs.1949/- worked out on tapering basis.

 (d) Basic Pension : Rs.4255/- ; No. of Slabs for Feb.2016 to July, 2016 : 1249
 He gets a total pension of Rs.20704/- including DR of Rs.16449/- worked out on tapering basis.

 (3) If the officers retired as at (1 ) and ( 2 ) above granted updation (with weightage and in consequence) as per pay scales applicable to officers retired from 01-08-1997 to 31-07-2002-- as 'contemplated / stated ' in Para. 27 read with Para. 3 A of the S.C. judgement dated 31st March, 2016.


An example:

(e) AAO at the maximum of pay scale : Basic Pension: Rs.7008/- No. of Slabs for Aug. 1997 to Jan.1998 : Nil
Total Pension : Rs.7008/-


Difference between (e) and ( (a) = Rs.7008/-  minus Rs.5814/-= Rs.1194/- ;
Difference between (e) and (c) = Rs.7008/- minus Rs.6204/- = Rs.804/-

(f) Basic Pension : Rs. 7008/-  ; No. of Slabs for Feb.2016 to July, 2016 : 1101
Rs.7008/- x 1101 x 0.23% =Rs.17747/- ( DR -100%)
Total Pension : Rs.7008/- + Rs.17747/-= Rs.24755/-
 

Difference between (f) and (b) =Rs.24755/- minus Rs.20050/- = Rs.4705/-

Difference between (f) and (d) = Rs.24755/- minus Rs.20704/- = Rs.4051/-

SN ( a 1992 pensioner)