All government officers dedicate precious years of their life to serve the public and after completing their service years they receive pensions from the government. Till a few years back officers got to know about their pension amount only when they received their first pension but this is not the case anymore because PIFRA has introduced a reliable tool known as the PIFRA pension calculator. Now all Pakistanis who are civil servants can calculate their pension themselves even before their retirement.
So if you are a government officer in Pakistan and want to calculate how much pension you will receive every month after your retirement then this article is for you. But keep in mind you may not receive the same amount as calculated because of changes in government policies and budget. So without wasting any more time let’s get into this.
Many Pakistanis have used PIFRA to register and generate payslips but now you can also use this tool to calculate pension. When I was checking pension of my father using the PIFRA pension calculator I got to know any person can calculate family pensions with this so I thought to share this important piece of information with you all. So all those who are curious about their pension or want to calculate it should keep on reading this article.
Types of Pension
Three types of pensions are received by the pensioner or his/her family. Plus the pension amount and pension calculation method are different for all. So before we discuss the PIFRA pension calculator go through the below list to familiarize yourself with the type of pension.
- Superannuation/retiring pension
- In-service death (family pension)
- Death after retirement (family pension)
How to Calculate Pension Using PIFRA Pension Calculator?
Calculating pension through an online system is relatively new and not many Pakistanis know how to use it. But you don’t have to worry anymore because I will share a step-wise guide that you can use to calculate your pension. So here you go.
- First of all, visit the official website of PIFRA or AGPR as PIFRA works under the supervision of AGPR which is why users can find pension calculators on both sites. Then click on the “Pension Calculator” tab to proceed.
- You can also use this link https://agpr.gov.pk/Pensioncal/pencal.html to access the pension calculator.
- It will take you to a page where you will put your name and choose the pension type. Then add details about your service like basic pay, length of service, special post allowances, medical allowances, etc. Fill in all the fields and click on the print button.
- It will calculate your pension according to the details you have provided and generate a copy for you.
How to Calculate Commutation for the PIFRA Pension Calculator
Although the PIFRA pension calculator is an online tool and gives accurate results based on the information you provide, but many people get confused at commutation as they have no idea about it. I was too which is why I am including the following information here which you can use to know to calculate commutation. So don’t make any mistakes while using the PIFRA pension calculator.
Superannuation/Retiring Person Pension
Are you retiring soon or already retired? If yes then you can calculate your pension and commutation by following the below-mentioned steps.
- First of all, calculate your gross pension. You can do that by using the following formula: Last pay is drawn X 7/300 X Length of service.
- Now calculate commutation in the following manner. Take 35% of your gross pension then multiply it by 12 and Index from commutation i-e., 35% gross pension X 12 X Index from Commutation. If you are confused about the index from the commutation all you need to do is look at the commutation table and select the commutation according to the next birthday age.
- Lastly, calculate the net monthly pension which is 65% of gross pension. Don’t forget to add any allowances you got during this time.
Following the above-mentioned steps, you can easily calculate the pension of any retiring or retired person. Also, keep in mind that the those who are retiring on superannuation, their index from commutation would be 60 years. So if you are also one of those people then there is no need to search for a commutation table just look for 60 in the index and find the commutation value.
Then multiply the commutation value by 12 and 35% of your pension. Moreover, there is no commutation if a person dies during service.
Benefits of the PIFRA Pension Calculator
The PIFRA pension calculator is a useful tool for government employees as all employees can have a rough idea about their pension amount. So now instead of waiting till retirement to know about your pension, all government employees can use the PIFRA pension calculator and find out their pension in a few minutes.
However, this amount is not fixed as it can change with increments, allowances, post-pay, etc. Here are a few key benefits of this tool.
- Besides being super useful this tool is easy to use and has no difficult interface. This makes the PIFRA pension calculator user-friendly and understandable for people of all ages.
- It provides an estimated value of pension amount quickly depending upon the information you provide.
- Moreover, employees can use this piece of information to make informed decisions and retirement plans accordingly to secure their future so they don’t have to go through a hard time financially after retirement.
- It enhances transparency and builds trust of employees in government as they get to know how their pensions are calculated and what factors affect the net pension amount.
What is the new pension policy in Pakistan in 2023?
According to the new pension policy, an increase of 17.5% will be admissible in the pensions of government employees who would retire in or after July 2023.
What is the formula for pension calculation in Pakistan?
Employees can manually calculate their pensions using the following formula. Last Pay Drawn X 7/300 X length of service.
How much pension does a widow get in Pakistan?
50% of the pension is paid to the family of the deceased government employee which includes his widow and children.
In conclusion, the PIFRA pension calculator is an essential tool that government employees of Pakistan can use to accurately calculate their pension. Furthermore, not everyone is aware of the formula through which the pension of government employees is calculated and now after the introduction of the pension calculator, there is no need to become aware of those. We have shared all the details about the PIFRA pension calculator in this guide, I am confident you will find it helpful.
Moreover, it’s a free tool and super easy to use. Try it out now and make an informed decision about your retirement.