LIC New Pension Plus Plan 867 Calculator: Fund Value, Guaranteed Additions and Pension

What is LIC New Pension Plus Plan 867?

LIC New Pension Plus (Plan 867, UIN 512L347V01) is a unit-linked, non-participating individual pension plan. Your premiums buy units in a pension fund of your choice. The fund grows (or falls) with the market, LIC adds guaranteed additions at set policy years, and at the vesting date you convert the fund into a lump sum plus a lifelong pension.

The plan was launched on 5 September 2022 and is currently on sale: it appears on LIC’s current list of pension plans. This page works for new buyers weighing the plan and for existing policyholders who want to project their fund. If you want a pension that starts straight away instead, compare LIC Smart Pension Plan 879 using the LIC pension calculator.

Key features

Feature	Details
Plan type	Unit-linked, non-participating pension
Entry age	25 to 75 years
Vesting age	35 to 85 years
Policy term	10 to 42 years
Premium	Single (min ₹1,00,000) or regular
Minimum regular premium	₹30,000 yearly, ₹16,000 half-yearly, ₹9,000 quarterly, ₹3,000 monthly
Funds	Pension Growth, Balanced, Bond and Secured
Lock-in	5 years
At vesting	Up to 60% as lump sum, at least 40% for annuity
Status	On sale (on LIC’s current pension plan list)

How the projection works

The calculator follows the charges and method in LIC’s published sales brochure for Plan 867. It invests each instalment when it is due, less the premium allocation charge, deducts the policy administration charge monthly in the first five years, grows the fund month by month at the gross return you choose and takes the fund management charge monthly. There is no mortality charge. At the end of each qualifying policy year it credits the guaranteed addition and keeps growing it. At vesting it splits the fund 60:40 and applies your assumed annuity rate to the 40% to estimate the pension. No GST is added; individual policies have been GST-exempt since 22 September 2025.

Charge	Through an agent	Online
Premium allocation, regular, year 1	7%	2.5%
Premium allocation, years 2–5	4.5% (4% if the annual premium is ₹50,000+)	1.5%
Premium allocation, year 6 onwards	3.5% (3% if ₹50,000+)	1%
Premium allocation, single premium (once)	3.3%	1.5%
Policy administration (years 1–5 only)	Regular: at most ₹57, 55, 53, 51, 49 a month; single: ₹80, 76, 73, 70, 67 a month	Same
Fund management	1.35% a year on all four pension funds	Same
Mortality	None	None

The calculator reproduces the brochure’s sample benefit illustration. For a 30-year-old paying ₹30,000 a year for 42 years through an agent, the brochure shows a fund at vesting of ₹23,33,031 at 4% and ₹64,85,578 at 8%; the calculator gives the same figures. The brochure also notes that, at LIC’s current immediate-annuity rates with no commutation, these funds would buy about ₹2,79,130 and ₹7,79,262 a year. Our default 6.5% annuity rate is more cautious; change it to test other rates.

Worked example (regular premium). A 30-year-old buys through an agent, pays ₹30,000 a year for 25 years, vesting at 55, and assumes 8% gross growth (before charges):

Item	Amount
Total premiums	₹7,50,000
Guaranteed additions	₹29,250
Charges deducted	₹2,67,304
Projected fund at vesting	₹18,59,161
Lump sum (60%)	₹11,15,497
Used for annuity (40%)	₹7,43,664
Pension at 6.5%	₹48,338 a year (₹4,028 a month)

Bought online, the same plan would reach about ₹19,12,076 because of the lower allocation charge.

Single premium example. A 40-year-old invests ₹5,00,000 once for 20 years through an agent at 6% gross. Guaranteed additions add ₹1,13,750 and the fund could reach about ₹13,36,394, giving a pension of about ₹34,746 a year from the 40% portion.

Tip: returns drive almost everything here. At 4% instead of 8%, the regular example above ends near ₹10.6 lakh instead of ₹18.6 lakh. Check the fund chart below the calculator before relying on one number.

Death benefit

If the policyholder dies before vesting, the nominee receives the higher of the fund value or 105% of premiums paid (less partial withdrawals). The nominee can take it as a lump sum or buy an annuity with it.

Partial withdrawal and surrender

No money can be withdrawn in the first five years. After the lock-in, partial withdrawals up to 25% of the fund are permitted within the plan’s limits. Surrender before five years moves the money to a discontinued policy fund, payable after the lock-in ends.

Tax points

Premiums qualify for deduction under Section 123 of the Income-tax Act, 2025 (earlier Section 80CCC) within the overall ₹1.5 lakh limit of the old tax regime. The pension you receive is taxable as income in the year received. The tax treatment of the commuted lump sum depends on the rules in force at vesting, so check before you choose.

New Pension Plus 867 vs Pension Plus 803

The older Pension Plus Plan 803 (2010–2012) also invested premiums in unit funds, but it allowed only one-third commutation and offered a guaranteed return on premiums. Plan 867 allows 60% as a lump sum and rewards long-term holding through guaranteed additions instead.

How to use this calculator

1. Enter age, choose regular or single premium and the amount.
2. Set the policy term; the vesting age appears in the results.
3. Choose agent or online, a gross fund return (before charges) and an annuity rate.
4. Review the fund value, lump sum, pension and the year-wise table. Figures are projections, not guarantees; your annual unit statement shows the actual fund value.