The Haryana Civil Services (Pension) Rules, 2016 govern the retirement and post-service benefits for all Haryana Government employees. These rules provide three major financial benefits to ensure post-retirement and family security:
- 💰 Pension – Regular monthly payment to a retired employee.
- 👨👩👧 Family Pension – Monthly payment to dependents after an employee’s or pensioner’s death.
- 🎁 Gratuity – One-time lump-sum payment for long and faithful service.
While all three are linked to service, their purpose, eligibility, and payment process differ. Let’s understand each in detail with official references and examples.
1️⃣ What Is Pension?
Under Chapter III (Rules 33–47) of the Haryana Pension Rules, Pension is a monthly recurring payment granted by the Government to an employee after retirement as a reward for long and satisfactory service.
Key Features:
- Paid to the government servant after superannuation, voluntary, or invalid retirement.
- Calculated on the basis of last 10 months’ average emoluments or last pay drawn (whichever is beneficial).
- Payable for lifetime and stops upon death of the pensioner.
- Eligible service: Minimum 10 years of qualifying service.
Formula:
Pension = (Last Emoluments × Qualifying Service) ÷ 2 ÷ 33
Maximum Pension: 50% of last pay drawn.
Example:
If last pay = ₹70,000 and qualifying service = 33 years:
₹70,000 × 33 ÷ 2 ÷ 33 = ₹35,000 per month (Pension)
2️⃣ What Is Family Pension?
Under Chapter VIII (Rules 54–61), Family Pension is a recurring monthly benefit paid to the spouse, children, or dependent family members after the death of an employee (while in service) or a pensioner (after retirement).
Key Features:
- Ensures family’s financial support after employee’s death.
- Payable to the spouse first, and then to children or dependent parents.
- Payable even if the employee dies before completing 10 years of service.
Rate of Family Pension:
| Situation | Rate | Duration |
|---|---|---|
| Death while in service (after 7 years) | 50% of last pay | 10 years |
| Death after retirement | 50% of last pay | 7 years or up to superannuation age |
| After enhanced period | 30% of last pay | For life (spouse) |
👉 Family pension is paid through Treasury/Bank directly to the nominee’s account and continues until death or remarriage (in case of spouse).
3️⃣ What Is Gratuity?
Under Chapter VII (Rules 48–53), Death-Cum-Retirement Gratuity (DCRG) is a lump-sum one-time payment made to an employee or their family upon retirement or death.
Key Features:
- Granted in addition to pension.
- Payable after 5 years of qualifying service (for retirement).
- In case of death, payable even if service is less than 5 years.
- Calculated based on last pay and total service period.
Formula (Rule 50):
Gratuity = (1/4) × Last Emoluments × Completed 6-Monthly Periods of Service
Death Gratuity (Rule 51):
| Length of Service | Amount of Death Gratuity |
|---|---|
| Less than 1 year | 2 times of emoluments |
| 1–5 years | 6 times of emoluments |
| 5–11 years | 12 times of emoluments |
| 11–20 years | 20 times of emoluments |
| 20 years or more | Half of emoluments × No. of completed six-monthly periods (max 33 times of emoluments) |
Maximum Limit: ₹20 lakh (subject to revision).
4️⃣ Major Differences Between Pension, Family Pension & Gratuity
| Feature | Pension | Family Pension | Gratuity |
|---|---|---|---|
| Nature of Benefit | Monthly recurring payment to retired employee | Monthly recurring payment to family/dependents after death | One-time lump-sum payment |
| Eligibility | Minimum 10 years of qualifying service | Payable on death in service or after retirement | 5 years qualifying service (none for death case) |
| Recipient | Retired employee | Spouse, children, or dependent parents | Employee or legal nominees/family |
| Calculation Basis | Last pay or average emoluments | Percentage of last pay (50% or 30%) | Based on last pay and length of service |
| Payment Type | Monthly | Monthly | One-time lump sum |
| Taxability | Partially taxable | Tax-free within limits | Fully exempt for government employees |
| Restoration/Continuation | Lifetime (till death) | Till spouse’s death or remarriage, then to dependents | Not applicable |
| Relevant Rules | Rules 33–47 | Rules 54–61 | Rules 48–53 |
5️⃣ Example for Better Understanding
Let’s consider an employee with the following details:
- Last Basic Pay: ₹80,000
- Qualifying Service: 30 years
| Benefit | Calculation | Amount (Approx.) |
|---|---|---|
| Pension | 50% of last pay = ₹40,000/month | ₹40,000 monthly |
| Family Pension (After Death) | 50% for 7–10 years, then 30% | ₹24,000–₹40,000/month |
| Gratuity | 1/4 × ₹80,000 × 60 (30 years = 60 half-years) | ₹12,00,000 |
6️⃣ Purpose of Each Benefit
- 💰 Pension: To provide steady post-retirement income to the employee.
- 👨👩👧 Family Pension: To support the dependents after the employee’s death.
- 🎁 Gratuity: To offer one-time financial reward for long service and assist in post-retirement settlement.
7️⃣ Common Points
- All benefits are governed by Haryana Civil Services (Pension) Rules, 2016.
- All are processed through the Head of Office → Accountant General (A&E), Haryana → Treasury/Bank.
- Nomination is mandatory for gratuity and family pension.
- Dearness Relief (DR) is payable on both pension and family pension.
FAQs – Pension, Family Pension & Gratuity in Haryana
1. Can a retired employee get both pension and gratuity?
Yes. Pension is a monthly payment, while gratuity is a one-time lump sum. Both are sanctioned simultaneously at retirement.
2. Who gets family pension after a pensioner’s death?
The legally wedded spouse first, then eligible children or dependent parents as per Rules 55–57.
3. Is gratuity taxable in Haryana Government?
No. For government employees, gratuity is fully exempt from income tax under Section 10(10)(i) of the Income Tax Act.
4. Is there any minimum service requirement for family pension?
No. Family pension is payable even if the employee dies before completing 10 years of service.
5. Can pension be commuted or taken as lump sum?
Yes. Up to 40% of pension can be commuted under Rules 74–83 for a lump-sum payment.
6. Who sanctions these benefits?
The Head of Office prepares and verifies the case, which is authorised by the Accountant General (A&E), Haryana and paid through Treasury.
Conclusion
In summary, under the Haryana Civil Services (Pension) Rules, 2016:
- 💰 Pension ensures lifetime financial support to the retired employee.
- 👨👩👧 Family Pension safeguards the dependents after the employee’s or pensioner’s death.
- 🎁 Gratuity provides an immediate one-time benefit recognizing long and loyal service.
Together, these three benefits create a complete social security system for Haryana Government employees and their families, ensuring dignity and stability both during and after service.
Source: Official Haryana Civil Services (Pension) Rules, 2016 – Finance Department, Government of Haryana.