Commutation

A PBOR may commute 50% of his basic pension. Amount commuted will be in whole rupee.

How calculated

A commuted value of pension is calculated on the basis of age on next birthday, which falls after the date on which the commutation become absolute.

Formula

50% of pension x 12 x Purchase Value( on the age next birth day)

Absolute Date

Commutation application submitted After one year	The date on which medical board signs the medical proceedings.
Commutation application submitted within one year	The date of commencement of pension when application received prior to retirement. The date of receipt of application by PSA where application is received after retirement.