Pakistani govt ends multiple pensions, limits family payouts amid major reforms

01:16 PM | 2 Jul, 2024

Source: file photo

ISLAMABAD – Pakistan's pension system saw major amendments under Pay and Pension Commission of 2020 to deal with future increase in pension costs.

The incumbent government implemented new regulations restricting multiple pensions and limiting pension payments to family members to maximum of 10 years.

Under latest reforms, the gross pension amount will now be calculated as 70 percent of the average pensionable earnings received during the last 2 years of service before retirement.

Finance Division made following key amendments which will be effective from July 2024:

Aspect of Pension	Details
Gross Pension Calculation	70% of average salary over the last 24 months of service.
Voluntary Retirement Penalties	3% annual pension reduction for employees retiring after 25 years, capped at 20%. Applies to armed forces and civil armed forces below prescribed rank.
Pension Increment	Based on net pension at retirement (baseline pension), reviewed every three years.
Ordinary Family Pension	Available for 10 years after spouse’s death or for life for disabled children. For other children, until they turn 21 or for 10 years, whichever is later.
Special Family Pension	Available for 25 years after spouse’s death or for life for disabled children. 50% of last drawn pension, transferable to eligible heirs.
Re-employment	Pensioners re-employed after 60 can choose between retaining pension or drawing salary from new employment.
Multiple Pensions	Individuals can only draw one pension; in-service employees can receive spouse’s pension.
Annual Surge	80% of average inflation rate over last two years, based on Consumer Price Index (CPI).

Tax Calculator for Salaried Income after Budget 2024-25

Web Desk

Daily Pakistan Global Web Desk

Latest

06:45 PM | 4 Jul, 2024

Tax on prize bond winning amount increased after Budget 2024-25

Wheat tax threatens to spike flour prices in Pakistan

06:41 PM | 4 Jul, 2024
High-level flood warning issued as monsoon rains approach Punjab

06:20 PM | 4 Jul, 2024
Five-day remand for couple accused of dismembering body in Karachi's ...

05:50 PM | 4 Jul, 2024
Suzuki GD 110s latest price, installment plan for July 2024

05:37 PM | 4 Jul, 2024
Resolution submitted in Sindh assembly against Sahil Adeem’s ...

05:20 PM | 4 Jul, 2024

Gold & Silver

03:32 PM | 4 Jul, 2024

Gold extends gains in Pakistan; check latest rates

Forex

Today Open Market Currency Rates - Pak Rupee to US Dollar, Euro, Pound, Riyal - 4 July 2024

Pakistani currency rates against US Dollar and other currencies on July 4, 2024 (Thursday) in open market.

USD to PKR Rate Today

US dollar was being quoted at 277.9 for buying and 280.95 for selling.

Euro's buying rate moves up to 294.5 and selling rate is 298 while British Pound rate is 350.5 for buying, and 353.5 for selling.

UAE Dirham AED was at 75.05 and Saudi Riyal increases to 73.2.

Currency	Symbol	Buying	Selling
US Dollar	USD	277.9	280.95
Euro	EUR	294.5	298
UK Pound Sterling	GBP	350.5	353.5
U.A.E Dirham	AED	75.05	75.8
Saudi Riyal	SAR	73.20	74
Australian Dollar	AUD	182.2	184
Bahrain Dinar	BHD	740.22	748.22
Canadian Dollar	CAD	203	205
China Yuan	CNY	38.29	38.69
Danish Krone	DKK	40.03	40.43
Hong Kong Dollar	HKD	35.63	35.98
Indian Rupee	INR	3.34	3.45
Japanese Yen	JPY	1.90	1.98
Kuwaiti Dinar	KWD	907.71	916.71
Malaysian Ringgit	MYR	58.99	59.59
New Zealand Dollar	NZD	169.34	171.34
Norwegians Krone	NOK	26.14	26.44
Omani Riyal	OMR	722.87	730.89
Qatari Riyal	QAR	76.44	77.14
Singapore Dollar	SGD	202	204
Swedish Korona	SEK	26.27	26.57
Swiss Franc	CHF	309.01	311.51
Thai Bhat	THB	7.55	7.70

Lifestyle

Blogs

Top Lists

Supreme Court resumes hearing on SIC plea against denial of reserved seats

10:27 AM | 24 Jun, 2024
State Dept releases report on Pakistani women officers receiving military training in US

11:29 PM | 23 Jun, 2024
Tecno Camon 30 LOEWE Edition launched, price, specifications

03:38 PM | 21 Jun, 2024
World leaders who died in plane crashes!

09:38 PM | 21 May, 2024
BAT launches Global Business Solutions Hub in Lahore

04:32 PM | 15 May, 2024
Who is the most followed Pakistani actor on Instagram?

09:55 PM | 3 Apr, 2024

Follow us on Facebook

Follow us on Twitter

Follow @publishrr

Search