LIC Jeevan Akshay VII (Plan 857) is a single-premium immediate annuity: pay a lump sum once and a lifelong pension starts immediately. Entry age is 25 to 85 (100 under Option F); the minimum purchase price is ₹1 lakh from age 30, ₹10 lakh at 25–29. Per LIC's brochure, ₹10 lakh at age 60 pays ₹86,100 a year under Option A, or ₹64,000 under Option F, which returns the capital.
Jeevan Akshay VII 857 Pension Calculator
Your estimate
- Annuity rate (yearly)
- 8.23%
- Death benefitPension stops on death; nothing is payable to the nominee.
- ₹0
- Years to get the price back as pension
- 12.1 years
- Purchase price₹10,00,00038%
- Pension in first 20 years₹16,46,88062%
Pension under all 10 options (same age and purchase price)
| Option | Yearly pension | Per instalment |
|---|---|---|
| A | ₹82,344 | ₹6,862 |
| B | ₹81,770 | ₹6,814 |
| C | ₹80,334 | ₹6,695 |
| D | ₹78,229 | ₹6,519 |
| E | ₹75,741 | ₹6,312 |
| F | ₹61,194 | ₹5,100 |
| G | ₹65,692 | ₹5,474 |
| H | ₹76,123 | ₹6,344 |
| I | ₹70,764 | ₹5,897 |
| J | ₹60,524 | ₹5,044 |
Individual life insurance premiums are exempt from GST from 22 September 2025. Figures are estimates based on typical rates and may differ from LIC’s official quote.
What is LIC Jeevan Akshay VII Plan 857?
LIC Jeevan Akshay VII (Plan No. 857, UIN 512N337V07) is an immediate annuity plan. You hand over a lump sum, called the purchase price, and LIC starts paying you a fixed pension from the next instalment date for as long as you live. It is non-linked and non-participating, so the pension does not move with the stock market and there are no bonuses. The rate is locked on the day you buy.
This makes it a natural home for a retirement corpus: PF, gratuity, a matured endowment policy or the proceeds of a property sale. The calculator above estimates what that corpus can pay you under each of the ten options.
Jeevan Akshay VII at a glance
| Feature | Details |
|---|---|
| Plan number / UIN | 857 / 512N337V07 |
| Plan type | Single premium immediate annuity |
| Premium | One-time purchase price |
| Minimum purchase price | ₹1,00,000 from age 30; ₹10,00,000 at ages 25–29 (no upper limit) |
| Entry age | 25 to 85 years (up to 100 for Option F) |
| Annuity options | 10 (A to J), single or joint life |
| Payout modes | Monthly, quarterly, half-yearly, yearly |
| Minimum pension | ₹1,000 a month / ₹3,000 a quarter / ₹6,000 a half-year / ₹12,000 a year |
| GST | Nil from 22 Sep 2025 (earlier 1.8% of purchase price) |
| Status | Available |
Eligibility
| Condition | Limit |
|---|---|
| Minimum age at entry | 25 years |
| Maximum age at entry | 85 years; 100 years for Option F |
| Minimum purchase price | ₹1 lakh from age 30; ₹10 lakh at ages 25–29 |
| Joint life | Between lineal family members (grandparent, parent, child, grandchild), spouses or siblings |
| Minimum pension instalment | As per the chosen mode (see above) |
| Medical tests | Not required for an annuity |
The 10 annuity options
| Option | What you get | On death |
|---|---|---|
| A | Pension for life | Pension stops |
| B | Life pension, 5 years guaranteed | Nominee gets the rest of the 5 years |
| C | Life pension, 10 years guaranteed | Nominee gets the rest of the 10 years |
| D | Life pension, 15 years guaranteed | Nominee gets the rest of the 15 years |
| E | Life pension, 20 years guaranteed | Nominee gets the rest of the 20 years |
| F | Life pension + return of purchase price | Purchase price paid to nominee |
| G | Pension rising by 3% (simple) each year | Pension stops |
| H | Joint life, 50% to survivor | Spouse gets half the pension for life |
| I | Joint life, 100% to survivor | Spouse gets the full pension for life |
| J | Joint life + return of purchase price | Price returned after both deaths |
How the pension is calculated
The pension is purchase price ÷ 1,000 × annuity rate. The rate depends on four things:
- Age at entry. Older buyers get a higher rate because LIC expects to pay for fewer years.
- Option. The more you want back for your family (guaranteed years, return of price, a spouse’s pension), the lower the rate.
- Payout mode. Monthly instalments add up to slightly less than one yearly payment.
- Size and channel. LIC adds a high purchase price incentive to the rate. In yearly mode it is ₹2.40 per ₹1,000 for ₹5–10 lakh, ₹3.40 for ₹10–25 lakh, ₹3.90 for ₹25 lakh–1 crore and ₹4.15 above that (slightly less for other modes). Buying directly online adds 2% of the tabular rate (2.5% from ₹10 lakh), NPS exit money adds 3%, and existing policyholders or nominees get 0.15% more. Below ₹1.5 lakh, the rate is cut by ₹2.40 per ₹1,000.
Our calculator follows the figures in LIC’s Jeevan Akshay VII sales brochure (August 2025). The brochure’s illustration shows ₹10 lakh at age 60, yearly mode, paying ₹86,100 a year under Option A, and the calculator reproduces that and the other nine options at the same age exactly. Pensions at other ages, other spouse ages and other payout modes are our estimates built from that published point, so treat them as close approximations. The brochure gives one set of rates for men and women. LIC revises annuity rates from time to time, and the quote LIC gives you on the day you buy is final.
Worked example: a 60-year-old invests ₹10 lakh through an agent.
- Option A, yearly: ₹86,100 a year (8.61%), the brochure’s own figure.
- Option A, monthly: about ₹6,862 a month, or ₹82,344 a year.
- Option F, yearly: ₹64,000 a year, and the ₹10 lakh goes back to the nominee.
- Option I with a 55-year-old spouse, yearly: ₹74,000 a year for as long as either of them lives.
- Option A bought directly online, yearly: about ₹88,167 a year, thanks to the 2.5% online incentive.
Yearly pension for ₹10 lakh (yearly mode, through an agent; the age-60 row is LIC’s published figure, the others are estimates):
| Age | Option A | Option F |
|---|---|---|
| 40 | ₹75,073 | ₹61,340 |
| 50 | ₹80,035 | ₹62,765 |
| 60 | ₹86,100 | ₹64,000 |
| 70 | ₹1,00,435 | ₹65,140 |
| 80 | ₹1,29,104 | ₹66,090 |
Tip: Option F’s rate hardly changes after 60, while Option A keeps rising with age. If you are in your late 60s and do not need to leave the capital behind, Option A or a guaranteed-period option pays far more.
Death benefit
What the family receives depends entirely on the option. Under Options A and G nothing is paid, because you have “sold” the capital for a higher income. Options B to E continue the pension to the nominee until the guaranteed period ends. Options F and J return the full purchase price. Options H and I keep paying your spouse.
Other features
- Loan: the brochure summary we used mentions a loan after three months from issue. Check your policy terms for the options that allow it.
- Free-look period: 15 days to return the policy (30 days if bought online).
- No maturity value: the pension itself is the benefit.
Tax benefits
The purchase price may be claimed under Section 123 of the Income-tax Act, 2025 (earlier Section 80CCC) (old regime, within the ₹1.5 lakh overall limit). The pension you receive is taxable as income every year. Since 22 September 2025 there is no GST on the purchase price. Earlier buyers paid 1.8%.
Who should buy Jeevan Akshay VII?
It suits retirees who want a guaranteed, lifelong income that no market fall can touch, and who are comfortable locking money away for good. It is less suitable if you might need the capital back, or if you are under 50: the rates at younger ages are noticeably lower. Many people split their corpus, using Option A or C for income and keeping the rest liquid.
Jeevan Akshay VII vs Jeevan Akshay VI
Jeevan Akshay VI (Plan 189) was the earlier version and is withdrawn. Existing VI pensioners keep their locked-in rates. Compared with VI, Plan 857 re-letters the options, sets minimum pension amounts and allows entry up to 100 under Option F. If you want the pension to start later rather than today, look at New Jeevan Shanti 758, LIC’s deferred annuity. To compare plans on one screen, try the LIC pension calculator.
How to use this calculator
- Enter the purchase price and your age.
- Choose an annuity option. Joint options ask for the second annuitant’s age.
- Select the payout mode and how you are buying (agent, online or NPS exit).
- Read the instalment, the yearly pension, the effective annuity rate and the death benefit. The comparison table shows all ten options for the same inputs.
Frequently asked questions
How much pension will I get from ₹10 lakh in Jeevan Akshay VII?
It depends on age and option. LIC's brochure shows a 60-year-old getting ₹86,100 a year (yearly mode) under Option A, life annuity; monthly mode works out to about ₹6,862 a month. With Option F, where ₹10 lakh goes back to the nominee, the pension is ₹64,000 a year. Buying directly online adds a little more.
What is the minimum and maximum age for LIC Jeevan Akshay VII?
You must be at least 25 years old, and buyers aged 25 to 29 need a purchase price of at least ₹10 lakh. The maximum entry age is 85 for most options. Option F, life annuity with return of purchase price, accepts entry up to age 100, which makes it one of the few pension products open to very senior citizens.
Which is the best annuity option in Jeevan Akshay VII?
There is no single best option. Option A pays the highest pension but nothing is left for the family. Option F or J returns the purchase price on death but pays less each month. Joint-life options H and I protect a spouse. Choose based on whether income or legacy matters more to you.
Is there a minimum pension amount in Jeevan Akshay VII?
Yes. The pension instalment must be at least ₹1,000 a month, ₹3,000 a quarter, ₹6,000 a half-year or ₹12,000 a year. At age 60 under Option A, ₹1.5 lakh clears the yearly minimum (about ₹12,405) but not the monthly one; monthly pension needs roughly ₹1.6 lakh.
Is GST charged on the Jeevan Akshay VII purchase price?
No. Individual life insurance and annuity policies are exempt from GST from 22 September 2025, so the purchase price is all you pay. Before that date, LIC collected 1.8% GST on the purchase price of this plan.
Is the pension from Jeevan Akshay VII taxable?
Yes. The annuity is added to your income and taxed at your slab rate every year. Under the old tax regime, the purchase price may qualify for deduction under Section 123 (earlier 80CCC), within the overall ₹1.5 lakh limit shared with Section 123 of the Income-tax Act, 2025 (earlier Section 80C).
Can I surrender Jeevan Akshay VII or take a loan?
An immediate annuity is meant to be held for life, so there is no maturity value and exits are restricted. The source brochure mentions a loan facility after three months from issue. Check the policy document for which options allow a loan or surrender before relying on it.
What is the difference between Jeevan Akshay VI and VII?
Both are LIC immediate annuity plans with 10 options. Jeevan Akshay VI (Plan 189) is withdrawn. VII (Plan 857) is the version on sale, with its own option lettering (return of purchase price is Option F in VII, Option B in VI), minimum pension amounts and a higher entry age of 100 for Option F.
Disclaimer: LIC Premium Calculators is an independent website. We are not affiliated with, endorsed by or connected to Life Insurance Corporation of India. All figures are estimates for illustration; confirm exact premiums and benefits with LIC or a licensed agent before buying.