Can you guide me about the best SBI pension plans for NRIs?
Shailesh Kumar, Co-founder, Insurance Samadhan
Answered on October 13,2021
Answered on October 13,2021
Dear
You need to first understand that how a pension plan work before selecting the best :
- Each Pension plan has two stages . In first stage you accumulate and create a corpus which can grow either through debt returns or equity return . In second stage your accumulated fund can be used to buy an annuity . Both stages are independent of each other .
- As per terms today , out of total fund you can withdraw upto 60% buy 40% must be used to buy an annuity .
- You can also accumulate fund through other options like Mutual fund , bank deposits , property and buy annuity .
- There are various type of annuity plan which ensure regular income for you till you live . Returns would depend on choice of annuity .
- Annuity for life with return of Purchase price is most preferred and annuity for life without return of purchase price would give best return .
Under the above explanation , all Pension Plans are same and nothing can be called best . It all depends on your choice . SBI Retire smart is a good plan with guaranteed maturity of 101% .
Hope this clarifies
Shailesh