8 Benefits Central Govt Employees Get After Retirement

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Pension

They get pensions after retirement, and after death, their spouses receive the benefit. They can also withdraw up to 40 per cent of the NPS fund.

Pension

Medical Benefits

Pensioners are eligible for the Central Government Health Scheme (CGHS) facilities.

Medical Benefits

Tax Benefits

The exemption limit for 60 years and above is Rs. 3 lakh, and for 80 years and above is Rs. 5 lakh.

Tax Benefits

Pension Commutation

Payments under civil pension rules, employer’s pension schemes, and funds established under Clause 23AAB are tax-exempt.

Pension Commutation

Gratuity

The gratuity amount is also exempt from tax.

Gratuity

Leave Encashment

Employees receive tax exemption on the cash equivalent of earned leave at retirement.

Leave Encashment

Provident Fund

Money received from a provident fund is tax-exempt.

Provident Fund

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