Complete Guide to SSF Pension and Retirement Benefits
Short answer:
A contributor who reaches 60 years of age and has contributed for at least 180 months (15 years) receives a lifelong monthly pension — formula: (total amount in the pension account + investment returns) ÷ 160. The Retirement Benefit Scheme amount (8.33%) is paid as a lump sum when employment ends or at retirement.
✨ Highlights
- ✔Eligibility: 60 years of age + at least 180 months (15 years) of contribution.
- ✔Monthly pension = (pension-fund balance + returns) ÷ 160, for life.
- ✔The retirement benefit (8.33%) is paid as a lump sum when the job ends.
- ✔If the pensioner dies, the spouse continues to receive it.
Table of contents
- Pension formula and eligibility
- Example
- What does the family receive if the pensioner dies?
- Loan facilities
- Points to note
Pension formula and eligibility
The total of the amount deposited in the Pension Scheme plus the returns earned from the Fund's investments is divided by 160 — that amount is paid every month for life (Operational Procedure 2075, sections 20–22). It is also adjusted for inflation.
- Eligibility: 60 years of age completed + at least 180 months of contribution
- Everyone who started contributing after Shrawan 1, 2078 is mandatorily enrolled in the Pension Scheme
- If you reach 60 without completing 180 months: you can choose either a lump sum or a monthly pension of that amount ÷ 160
- If the contributor dies before 60, the legal heir receives the entire amount with returns as a lump sum
[Example]Example
Suppose that by age 60 your pension account has accumulated Rs. 1,600,000 including returns: 1,600,000 ÷ 160 = Rs. 10,000 per month, for life. The longer you contribute and the larger the amount, the higher your pension.
What does the family receive if the pensioner dies?
- If death occurs within 7 years of the pension starting: the spouse receives the same amount until the 7 years complete, then 50% for life
- If there is no spouse: dependent children under 18 share 50% of the amount proportionally
- Receiving a government or other pension does not block you from also receiving the SSF pension (section 24d)
Loan facilities
| Loan | Eligibility | Maximum limit |
|---|---|---|
| Home loan | 36 months of contribution | Rs. 7.5 million (within collateral/salary limits), up to 20 years |
| Education loan | 36 months of contribution | Rs. 3.5 million or actual cost, up to 15 years |
| Special loan | 36 months of contribution + within 2 years of retirement | 80% of the Retirement Benefit amount (no collateral needed) |
[Caution]Points to note
- If you contribute on an amount more than 5 times the minimum wage, the excess portion goes to the Retirement Benefit Scheme (section 23a)
- If you keep working after 60, you can continue contributing — the new amount is deposited into the Retirement Benefit Scheme
- Foreign nationals can withdraw their old-age amount as a lump sum once the employment relationship ends
📺 Related videos
Related FAQs
📜 Official sources
- सामाजिक सुरक्षा योजना सञ्चालन कार्यविधि, २०७५ (५औँ संशोधनसहित) (मूल २०७५।०८।०६; ५औँ संशोधन २०८१।०९।१०, लागू २०८२।०१।०१)
- योगदानकर्ता सापटी निर्देशिका, २०७९ (१म संशोधनसहित) (२०७९।०३।३१; संशोधन २०८१।०८।०२)
For legal purposes always consult the original documents and latest amendments. Rates and limits can change through amendments.
This content is for educational purposes; final approval and benefits follow official SSF rules. Found outdated information? Report it here.