Pensioner’s Data is divided into 4 Parts

Besides evaluating employee gratuity, Charan Gupta Consultants Pvt. Ltd also helps its clients to evaluate employee pensions. In the context of pension calculation it is relevant to say that the pensioner’s data is divided into 4 parts and they are as follows:-

On-Roll Employee

All eligible on Roll employee will be covered in this. There Present Salary will be projected till the retirement age and then only the pension and commuted pension is calculated based on the pension rules. Based on the pension the future liability is derived using Discount rate, Pension increase and mortality table of IALM (Indian Assured Lives Mortality). At present the Life expectancy is around 19.5 years at the age of 60. We assume that all on-roll employees have their spouse so we provisioned the liability for another 5 years for spouse. The restoration of commuted pension as per the rule of the organization is taken care while doing this valuation.

Retired Couple Employee

This category we take all retired employee whose spouse is alive. Based on present pension and age, the liability is derived using Discount rate, Pension increase and mortality table of IALM. Like on roll employee we provisioned the liability for another 5 years for spouse. The restoration of commuted pension as per the rule of the organization is taken care while doing this valuation.

Retired Single Employee

In this category we take all retired employee whose spouse is not alive. Based on present pension and age, the liability is derived using Discount rate, Pension increase and mortality table of IALM. The restoration of commuted pension as per the rule of the organization is taken care while doing this valuation.

Family Pensioners & Enhance Pensioners

In this category spouse of all expired employee is covered. Based on present Family pension and age, the liability is derived using Discount rate, Pension increase and mortality table of IALM. In case of Enhance pensioners, the pension is taken as full till the enhanced period and after that it is calculated on normal family pension.