Pradhan Mantri Vaya Vandana Yojana (PMVVY): Benefits, Eligibility & Pension Details

PMVVY was a government-backed pension scheme for senior citizens offering guaranteed pension payouts, loan benefits, death benefits, and investment up to Rs. 15 lakh.
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3 mins read
Sep 30, 2026

Pradhan Mantri Vaya Vandana Yojana (PMVVY) was a government-subsidised pension scheme for Indian senior citizens aged 60 years and above, administered by the Life Insurance Corporation of India (LIC). It offered guaranteed pension payments for 10 years, along with a return of the purchase price on death or maturity. PMVVY is no longer open for new subscriptions, as the scheme was withdrawn on 31 March 2023. Existing policyholders can continue to receive benefits according to their policy terms.

PMVVY Scheme benefits and features


Here some key benefits that were offered under the PMVVY:


  1. Rate of return: The PMVVY scheme offers an assured return of 7% to 9% per annum for a 10-year term. The interest rate is adjusted annually to align with the Senior Citizens' Savings Scheme (SCSS).
  2. Maturity benefit: At the end of the 10-year term, the entire purchase price, along with the final pension payment, is returned to the policyholder.
  3. Pension payment: Pension payments are made periodically, as chosen by the policyholder (monthly, quarterly, half-yearly, or annually) throughout the 10-year term.
  4. Death cover: In the event of the policyholder's death during the policy term, the beneficiary receives the full purchase price.
  5. Loan facility: After three years, policyholders can avail a loan of up to 75% of the purchase price. Interest is charged on the loan amount, which is deducted from future pension payments.
  6. Surrender value: Under exceptional circumstances, such as critical illness, the policyholder can surrender the policy. A surrender value of 98% of the purchase price is payable.
  7. Free look period: If dissatisfied with the PMVVY scheme, policyholders have 15 days (30 days for online purchases) to return the policy for a full refund, minus any stamp duty and pension payments.
  8. Suicide clause: In the unfortunate event of suicide, the full purchase price is returned to the nominee.

How to apply for Pradhan Mantri Vaya Vandana Yojana (PMVVY) online and offline?


PMVVY is currently not available for new applications, either online or offline. LIC withdrew the scheme on 31 March 2023, so users should not follow older webpages that show an active PMVVY purchase process.

When PMVVY was available, LIC permitted subscriptions through both online and offline modes. Existing policyholders can still access policy-related services through LIC and the UMANG platform

Maximum and minimum purchase and pension price

This table summarises the pension payouts offered under the Pradhan Mantri Vaya Vandana Yojana scheme based on the investment amount and chosen payment frequency.

Mode of Pension PaymentMinimum Purchase Price (Investment in Rs.)Minimum Pension (in Rs.)Maximum Purchase Price (Investment in Rs.)Maximum Pension (in Rs.)
Monthly1,62,1621,00015,00,0009,250
Quarterly1,61,0743,00014,89,93327,750
Half-Yearly1,59,5746,00014,76,06455,500
Yearly1,56,65812,00014,49,0861,11,000

Important points

 

  • Investment amount determines the pension payout.
  • Higher investment leads to a higher monthly pension.
  • Choose the payout frequency that best suits your financial needs

What are the tax benefits applicable to PMVVY?


PMVVY does not provide a specific income-tax deduction on the purchase amount. The pension received under the scheme is taxable under the applicable income-tax rules, rather than being completely tax-free. LIC also states that taxes on the plan are governed by the tax laws applicable from time to time. Since PMVVY subscriptions closed in 2023, existing policyholders should consider the tax rules applicable for the year in which they receive the pension.


Key tax points:


  • The amount invested in PMVVY does not qualify for a specific PMVVY tax deduction.
  • Pension received is taxable as per applicable income-tax rules.
  • The tax treatment of other amounts received under an existing policy should be checked against the rules applicable in the relevant tax year.
  • Tax laws can change, so policyholders should consult a tax adviser for their individual situation.

The current Income Tax Act, 2025 contains separate provisions for qualifying life-insurance premiums and certain deferred annuity contributions under Section 123; these should not be treated as a blanket tax deduction for PMVVY.


How to check PMVVY policy details online


Existing PMVVY policyholders can check their policy information through the UMANG platform. Follow these steps:


  1. Open the UMANG platform and go to the PMVVY section.
  2. Select ‘Policy Basic Details’ and click ‘Open’.
  3. Choose ‘Login with MPIN’ or ‘Login with OTP’.
  4. Enter your registered mobile number and the selected login credential.
  5. Under ‘General Services’, select ‘Policy Basic Details’.
  6. Enter your policy number and mobile number.
  7. Select ‘View Details’ to see the available PMVVY policy information.

 

Eligibility criteria for the Pradhan Mantri Vaya Vandana Yojana


To be eligible for the PMVVY scheme, you must:


  • Age: Be 60 years or older.
  • Citizenship: Be an Indian citizen.
  • Policy term: The policy term for PMVVY is 10 years.
  • Pension options: You can choose from the following pension options:
  • Minimum pension: Rs. 1,000 per month / Rs. 3,000 per quarter / Rs. 6,000 per half-year / Rs. 12,000 per year
  • Maximum pension: Rs. 9,250 per month / Rs. 27,750 per quarter / Rs. 55,500 per half-year / Rs. 1,11,000 per year
  • Maximum purchase price: The maximum purchase price for the PMVVY scheme is ₹15 lakh.

 

Documents required to apply for Pradhan Mantri Vaya Vandana Yojana (PMVVY)


  • Bank account details
  • Aadhaar card
  • PAN card
  • Address proof
  • Age proof
  • Passport size photo
  • Proof of retirement from employment

 

PMVVY contact details


  • Phone: 022-67819281 or 1800227717 (Monday to Friday, 10:00 AM to 5:30 PM IST)
  • Email: onlinepmvvy@licindia.com

Please note: These contact details are specific to PMVVY policy inquiries.

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Investment considerations

The PMVVY scheme offers a guaranteed pension option for eligible senior citizens. It can be a valuable tool for retirement planning. However, a significant initial investment is required to participate.

Conclusion

The Pradhan Mantri Vaya Vandana Yojana (PMVVY) offers a compelling option for senior citizens seeking safe and reliable retirement income. With its guaranteed returns, flexible pay-out options, and government backing, PMVVY is a valuable tool for securing your financial future.

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Frequently asked questions

What is the investment limit in PMVVY?

The maximum investment limit in Pradhan Mantri Vaya Vandana Yojana (PMVVY) is Rs. 15 lakh per individual. This means you can invest up to Rs. 15 lakh, but a couple cannot combine their limits for a joint investment.

Is PM Vaya Vandana Yojana taxable income?

Yes, the interest earned on your PMVVY investment is taxable according to your income tax slab. There's no tax exemption on this income. However, if the total interest you earn in a financial year is less than Rs. 50,000, no tax is deducted at source (TDS) is applied.

Can husband and wife both invest in PMVVY?

Yes, both husband and wife can invest in PM Vaya Vandana Yojana (PMVVY) individually. Each person can invest up to the maximum limit of Rs. 15 lakh, potentially maximising their total returns.

Is PMVVY eligible for 80C deduction?

No, PM Vaya Vandana Yojana (PMVVY) does not qualify for a deduction under Section 80C of the Income Tax Act. This section covers tax-saving investments like PPF, ELSS mutual funds, and ULIPs.

What is the age limit for the PM Vaya Vandana scheme?

The PM Vaya Vandana Yojana (PMVVY) is only available for senior citizens in India. The minimum age limit for investment is 60 years old. There's no upper age limit for investing in this scheme.

Is premature withdrawal allowed in PMVVY?

Generally, PMVVY does not allow early withdrawal of your funds. However, exceptions exist for emergencies. You can withdraw prematurely if you or your spouse experience a critical illness or require hospitalisation. In such cases, a penalty will be applied to the withdrawn amount.

Can I invest Rs. 30 lakhs in PMVVY?

No, you cannot invest Rs. 30 lakhs in PMVVY. The maximum investment limit for PMVVY is Rs. 15 lakhs.

Is TDS deducted in PMVVY?

No, Tax Deducted at Source (TDS) is not deducted on the pension amount received under PMVVY. However, the interest earned is taxable under your income tax slab.

What is the lock-in period for PM Vaya Vandana Yojana?

PMVVY has a lock-in period of 10 years. You cannot withdraw your investment amount during this period. However, after three years, you can avail a loan up to 75% of the purchase price

What is the interest rate of Pradhan Mantri Vaya Vandana Yojana?

The Pradhan Mantri Vaya Vandana Yojana (PMVVY) offers an interest rate of 7.40% per annum, payable monthly for the current financial year. The rate is subject to periodic revision by the government.

Is PMVVY tax-free?

No, the income received from PMVVY is not tax-free. The pension amount is fully taxable as per the individual's applicable tax slab, though the investment in the scheme does not qualify for tax deductions under Section 80C.

Is it safe to invest in PMVVY?

Yes, PMVVY is considered a safe investment as it is backed by the Government of India. It offers guaranteed returns, making it a secure option for senior citizens seeking steady post-retirement income.

What is the PMVVY scheme?

The Pradhan Mantri Vaya Vandana Yojana (PMVVY) is a pension scheme offered by the Life Insurance Corporation of India (LIC) specifically designed for senior citizens. It provides a guaranteed return and a regular income stream, making it a popular choice for post-retirement financial planning.

What is the disadvantage of PMVVY?

One significant drawback of PMVVY for senior citizens is the 2% deduction on premature withdrawal from the scheme. However, this can encourage productive aging, as beneficiaries may use their returns and experience to explore new opportunities and ventures.

Is TDS deducted on PMVVY?

Yes, the interest earned on your PMVVY investment is taxable. If the annual interest exceeds Rs. 50,000, TDS will be deducted at source.

Can I apply for PMVVY online?

Yes, you can apply for PMVVY both online through the LIC website and offline at a LIC branch.

How do I register for PMVVY online?

You can register for PMVVY online by visiting the LIC website, navigating to the 'Buy Online Policies' section, and selecting the PMVVY option. Follow the on-screen instructions to complete the application process.

Who is eligible for PMVVY?

The PMVVY scheme does not have strict eligibility criteria apart from the subscriber being a senior citizen, meaning aged 60 years or above. The applicant must be an Indian citizen. There is no upper age limit to enroll in the scheme.

Is the PMVVY interest rate fixed for 10 years?

Yes, the interest rate agreed upon at the time of purchasing the policy remains fixed for the entire 10-year term. For policies bought during the financial year 2022-23, the assured interest rate is 7.40% per annum, payable monthly (which is equivalent to 7.66% per annum), guaranteed throughout the policy duration.

What are the benefits of LIC’s PMVVY?

PMVVY offers a regular pension payout for 10 years, providing financial stability to policyholders. Key benefits include a guaranteed pension, attractive returns, and flexible payout options, all designed to ensure senior citizens enjoy financial security in their retirement years.

Can a policyholder invest in PMVVY multiple times?

Yes. While the scheme was open, a senior citizen could hold multiple PMVVY policies. However, the combined purchase price across eligible PMVVY policies could not exceed Rs. 15 lakh. New investments are not permitted because PMVVY was withdrawn on 31 March 2023.

What happens to PMVVY after the policyholder's death?

If the pensioner dies during the 10-year PMVVY policy term, the purchase price is refunded to the beneficiary. The beneficiary needs to submit the required claim documents to LIC for processing. Existing policies continue to follow their original terms.

What is the PMVVY loan facility?

PMVVY provided a loan facility after completion of three policy years. The maximum loan available was 75% of the purchase price. The applicable loan interest rate was determined under the scheme's provisions, and outstanding loan amounts could be recovered from claim proceeds.

Can NRIs invest in PMVVY?

No. PMVVY was meant for senior citizens of India aged 60 years and above. Since the scheme was withdrawn on 31 March 2023, it is also not available for new subscriptions by eligible resident citizens today.

How is pension paid under PMVVY?

PMVVY pension was payable monthly, quarterly, half-yearly or yearly, depending on the option selected at purchase. Payments were made through NEFT or Aadhaar Enabled Payment System. The first instalment was paid after the relevant period based on the selected payment frequency.

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