Buy LIC Jeevan Shanti policy for guaranteed monthly income
The LIC Jeevan Shanti Deferred Plan is a kind of annuity plan that LIC (Life Insurance Corporation of India) offers, designed to provide individuals with a stable income during their retirement years. It’s important to evaluate your personal financial goals, risk tolerance, and retirement objectives before making a decision. Here are some reasons why people might consider buying the LIC Jeevan Shanti Deferred Plan:
- Guaranteed Income in Retirement: One of the primary reasons to consider this plan is the assurance of a guaranteed income during your retirement years. This can help manage living expenses when you no longer have a regular salary.
- Flexibility in Payout: The plan offers options for receiving the annuity, such as monthly, quarterly, half-yearly, or yearly, allowing you to choose the one that best suits your financial needs.
- Deferred Annuity Option: The deferred annuity option allows you to start receiving the pension at a later date, which could be beneficial if you are still working and don’t need immediate income. This deferral period can also potentially increase the annuity rate you receive.
- Loan Facility: After a certain period, the policy offers a loan facility, which can be useful in case of financial emergencies without disrupting your retirement planning.
- Tax Benefits: Premiums paid towards the policy are eligible for tax deduction under Section 80C of the Income Tax Act, and the annuity income may also have tax benefits, depending on the prevailing tax laws.
- Joint Life Option: It offers an option to include a spouse in the plan, ensuring that the surviving spouse continues to receive the annuity after the policyholder’s death.
- Death Benefit: In the event of the untimely death of the annuitant during the deferment period, a death benefit is payable to the nominee, which can provide financial security to the family members.
Before purchasing any financial product, especially one that impacts your retirement, it’s crucial to thoroughly understand its features, benefits, and the terms and conditions associated with it. Consider consulting with a financial advisor to ensure that the product aligns with your overall financial planning and retirement goals.