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. Subject Para
1 Qualifying service for earning Service Pension 1
2 Condonation of deficiency in service 3
3 Determination of amount of service pension 4
4 Reckonable emoluments for calculating service pension 5
5 Retirement gratuity 6
6 Reckonable emoluments for calculating Retirement Gratuity 7
7 Commutation of pension 8
8 Calculation of commuted value of pension 11
9 Restoration of commutation portion 12
10 Disability pension 13
11 Categorization of disability 14
12 Procedure for adjudication of entitlement of disability 15
13 Disability pension on invalidment 16
14 Broad-banding of Disability 17
15 Disability element on retirement discharge 18
16 Rates of Disability Element for period w.e.f. 1.1.1996 to 1..2006 19
17 Lump sum compensation in lieu of disability element 20
18 Invalid Pension 24
19 Invalid Gratuity 25
20 War injury pension on invalidment 26
21 War injury pension on retention 27
22 Lump sum compensation in lien of war injury pension 28
23 War injury element on subsequent retirement 30
24 Liberalized Disability pension 31
25 Ex-gratia lump sum compensation in cases of invalidment 32
26 Broad-banding of percentage of disability/war injury on discharge w.e.f. 01.01.2016 33
27 Constant Attendance allowance 34
28 Rate of constant attendance allowance 36
29 Special pension to blind soldiers 37
30 Rate of special pension to blind soldiers 38
31 Appeals 39
32 Ordinary family pension 40
33 Eli2ible member for ordinary family pension 42
34 Ordinary family pension in case of missing personnel /pensioners 43
35 Pending enquiry award 44
36 Special family pension 45
37 Eligible members for special family pension in absence of nomination 47
38 Rates of special family pension 48
39 Second life award 49
40 Special family pension on re-marriage of widow 50
41 Liberalized family pension 51
42 Liberalized family pension on re-marriage of widow 53
43 Ex-gratia lump sum compensation who die in harness 54
44 Death Gratuity 55
45 Monetary allowance attached to gallantry decorations 56
46 Grant of family pension under the Employees pension scheme, 1995 and family pension scheme, 1971 in addition to family pension from Military side 57
47 Illustrations
48 Appendix – 1 : Evolution of pensionary structure of PBOR prior to 01.06.53 29
49 Appendix – 2 : Effective dates from which pension in respect of JCOs/ NCOs/ ORs/ NCs(e) of Regular Army revised 41
50 Appendix – 3 : Effective dates from which pension in respect of JCOs/ORs of DSC revised 42
51 Appendix – 4 : Effective dates from which pension in respect of Hony. Commissioned Officer (Regular Army) revision 43
52 Appendix – 5 : Effective dates from which pension in respect of Hony. Commissioned Officer DSC revised 44
53 Appendix – 6 : The rates of disability element for 100% disablement sanctioned from time to times for different ranks prior to 01.01.1996 44
54 Appendix – 7 : The rates of special family pension admissible form time to time 45
55 Appendix – 8 : The rates of ordinary family pension admissible prior to 01.01.96 46
56 Appendix – 9 : Rates of Monetary Allowances attached to post independence Gallantry decorations 47
57 Appendix – 10 : List of Govt. letters referred to in the hand book with group order no. under which reproduced 49

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

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%.

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.



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