Hand Book 2021 on Defence Pension for Personnel Below Officers Rank (PBORs) 

Hand Book 2021 on Defence Pension for Personnel Below Officers Rank (PBORs) 

Hand Book 2021 on Defence Pension for Personnel Below Officers Rank (PBORs)




Pension in respect of Armed Forces Personnel is in fact a very complex subject in itself as the orders issued thereon are scattered. Nothing is available on which one can lay his hands for a compact knowledge. This has given me an idea to put all the relevant orders issued on a particular subject at one place in the form of a Handbook.

With this fact in view, I reviewed the Govt. letters issued upto 12/2020 and summarize them precisely on each subject and tried to put them in the Handbook separately for PBORs and ICOs.

For this I got blessings of benevolent Principal Controller Mr. Rajiv Ranjan. I express my heartfelt gratitude to him.

Further, I would also like to convey my sincere thanks to Officer In Charge Grants Tech. Mr. A. K. Malviya whose valuable guidance and cooperation of his staff at each stage have helped me a lot.

At last, I request esteem readers to ignore the shortcomings, if any, considering the same as my incompetency.

Retired DCDA (P)



Sl No.SubjectPara
1Qualifying service for earning Service Pension1
2Condonation of deficiency in service3
3Determination of amount of service pension4
4Reckonable emoluments for calculating service pension5
5Retirement gratuity6
6Reckonable emoluments for calculating Retirement Gratuity7
7Commutation of pension8
8Calculation of commuted value of pension11
9Restoration of commutation portion12
10Disability pension13
11Categorization of disability14
12Procedure for adjudication of entitlement of disability15
13Disability pension on invalidment16
14Broad-banding of Disability17
15Disability element on retirement discharge18
16Rates of Disability Element for period w.e.f. 1.1.1996 to 1..200619
17Lump sum compensation in lieu of disability element20
18Invalid Pension24
19Invalid Gratuity25
20War injury pension on invalidment26
21War injury pension on retention27
22Lump sum compensation in lien of war injury pension28
23War injury element on subsequent retirement30
24Liberalized Disability pension31
25Ex-gratia lump sum compensation in cases of invalidment32
26Broad-banding of percentage of disability/war injury on discharge w.e.f. 01.01.201633
27Constant Attendance allowance34
28Rate of constant attendance allowance36
29Special pension to blind soldiers37
30Rate of special pension to blind soldiers38
32Ordinary family pension40
33Eli2ible member for ordinary family pension42
34Ordinary family pension in case of missing personnel /pensioners43
35Pending enquiry award44
36Special family pension45
37Eligible members for special family pension in absence of nomination47
38Rates of special family pension48
39Second life award49
40Special family pension on re-marriage of widow50
41Liberalized family pension51
42Liberalized family pension on re-marriage of widow53
43Ex-gratia lump sum compensation who die in harness54
44Death Gratuity55
45Monetary allowance attached to gallantry decorations56
46Grant of family pension under the Employees pension scheme, 1995 and family pension scheme, 1971 in addition to family pension from Military side57
48Appendix – 1 : Evolution of pensionary structure of PBOR prior to 01.06.5329
49Appendix – 2 : Effective dates from which pension in respect of JCOs/ NCOs/ ORs/ NCs(e) of Regular Army revised41
50Appendix – 3 : Effective dates from which pension in respect of JCOs/ORs of DSC revised42
51Appendix – 4 : Effective dates from which pension in respect of Hony. Commissioned Officer (Regular Army) revision43
52Appendix – 5 : Effective dates from which pension in respect of Hony. Commissioned Officer DSC revised44
53Appendix – 6 : The rates of disability element for 100% disablement sanctioned from time to times for different ranks prior to 01.01.199644
54Appendix – 7 : The rates of special family pension admissible form time to time45
55Appendix – 8 : The rates of ordinary family pension admissible prior to 01.01.9646
56Appendix – 9 : Rates of Monetary Allowances attached to post independence Gallantry decorations47
57Appendix – 10 : List of Govt. letters referred to in the hand book with group order no. under which reproduced49
View :  Constitution of Sexual Harassment Complaints Committee for prevention of Sexual Hrassment of working women at the work place.

Pensionary Awards in Respect of PBOR

Service Pension

Qualifying service for earning Service Pension

1. The minimum period of qualifying service actually rendered and required for earning Service Pension will be 15 years (20 years in case of NCs(E))

Note : The term “qualifying service “will mean actual qualifying service rendered from the date of enrolment to the date of discharge. This will be subject to total qualifying service not exceeding 33 years. The provision of weightage has been withdrawn w.e.f. 01.01.2006.

2. Service rendered in fraction of a year equal to three months and above shall be treated as a completed one year.

[GOI MOD Nos 1 (5) /87/ D(Pen/sers ) dt. 30.10.1987, 03.02.1998 and 17(4) / 2008 (2)/ D(Pen/ Pol) dt. 12.11.2008]

Condonation of deficiency in service

3. Deficiency in service upto 6 months may be condoned by Officer in-Charge (Records) and upto 12 months by Service HQrs. to make the individual eligible for a minimum pension.

Determination of amount of service pension

4. Linkage of full pension with 33 years of qualifying service is dispensed with w.e.f. 01.01.2006.

Now, the service pension is calculated at 50% of the reckonable emoluments last drawn or average of reckonable emoluments drawn during the last 10 months, whichever is more beneficial subject to minimum of Rs.9000/-PM

View :  Enhanced rate of pension to the Pensioners/Family Pensioners from the day when the Pensioners enters the age of 80 years : Gauhati High Court Judgement in WP(C) 4224/2016

Reckonable emoluments for calculating Service Pension

5. The term “reckonable emoluments” will mean pay in the pay matrix, MSP, X group pay and classification allowance, if any last drawn.

Retirement Gratuity

6. An individual who has completed 5 years qualifying service and is eligible for Service/disability/invalid pension or gratuity of any type shall be granted on the termination of his service a retirement gratuity equal to 1/4th of reckonable emoluments for each completed six monthly period of qualifying service subject to a maximum of 16 ‘% times the reckonable emoluments.

The maximum limit of all kinds of gratuity shall be Rs.20 lakhs. This ceiling shall be increased by 25% whenever dearness allowance rises by 50% of the pay.

[Auth: MoD letter of 12.11.2008 and 04.09.2017]

Reckonable emoluments for calculating Retirement Gratuity

7 The term “reckonable emoluments” will mean pay in the pay matrix, MSP and X group and classification allowance admissible on the date of retirement plus DA.

Note 1 : An example showing calculation of service pension, retirement, gratuity, etc. based on the provisions of 7th CPC is given in illustration no. 1

Note 2: Evolution of pensionary structure are given in Appendix 1

Note 3: Effective dates from which rate of pension has been revised are given in Appendices 2-5

Commutation of pension

8 Personnel below Officer Rank shall be entitled to commute for a lump sum payment upto 50% of his pension which is sanctioned for life. Prior to 2-9-2008, this limit was 45%.

View :  7th CPC Dearness Allowance at 38% to Armed Forces Officers and Personnel Below Officer Rank including NCs(E) effective from 01.07. 2022

Note 1 : Temporary increase, ad-hoc increase, interim relief, graded relief, ad-hoc relief etc. given in old regime not commutable. The dearness relief is also not commutable.

Note 2: The additional pension sanctioned to Havildars granted Honarary Rank of Naib Subedar in old regime was commutable, similarly, revised pension of HNS for pay on Notional promotion basis is also commutable.

9 A pensioner who is in receipt of pension shall be eligible to commute a portion of his pension within one year from the date of discharge/ invalidment without medical examination. In case, a pensioner applies for commutation of pension after one year from the date of discharge, commutation of pension will be done only after medical examination.

10 The application for commutation of pension will be submitted to pension sanctioning authority through Record Office if pension has not been sanctioned. After the grant of pension, application for commutation of pension is to be submitted to Pension Sanctioning Authority through concerned Record Office.

Calculation of commuted Value of Pension

11 The calculation of commuted value of pension shall be computed as under:-

Amount of pension commutable X 12 X purchase value (as per commutation table for the age next birth day)

Note:- The commutation table is given in Army instruction No. 85/71. This has been substituted by a new table annexed at annexure of Govt. letter of 12-11-08 and is applicable w.e.f. 02.09.2008.