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LIC Jeevan Dhara 2 Calculator – Premium, Annuity

LIC Jeevan Dhara 2 Calculator – Premium, Annuity

Total Premium Paid: ₹0
Purchase Price: ₹0
Pension Amount: ₹0
Maturity Benefit: ₹0

LIC Jeevan Dhara 2 is a deferred annuity plan providing regular pension after premium paying term.

What is the LIC Jeevan Dhara 2 Plan?

lic jeevan dhara 2 calculator

Overview of LIC Jeevan Dhara 2 (Plan 862)

LIC Jeevan Dhara 2, also known as Jeevan Dhara II or the Dhara plan, is a single-premium instant annuity plan issued by the Life Insurance Corporation of India. This Jeevan Dara plan guarantees a consistent income throughout your life, making it an excellent retirement option. Unlike standard life insurance plans, this LIC plan provides instant annuity payments beginning on the date of purchase, removing any deferment time for benefit disbursement.

The plan combines the benefits of life insurance with guaranteed income to provide financial security during your retirement years. With numerous annuity alternatives available, policyholders can select the best option depending on their financial objectives and family needs. The Dhara—II plan is designed to provide a consistent income stream with the flexibility of multiple payment methods.

Key Features & Benefits

Immediate Income

No deferment period—annuity payments begin immediately after policy purchase, with the first payment within the chosen mode.

Flexible Payment Modes

Choose from monthly, quarterly, half-yearly, or yearly annuity payments based on your financial needs and cash flow requirements.

Multiple Annuity Options

Select from various annuity options including life annuity with return of purchase price, joint life annuity, and options with 50% or 100% return.

Guaranteed Returns

Fixed annuity rates ensure a predictable income throughout your lifetime with no market-linked risks or premium adjustments.

Life Cover Benefits

Certain options provide life cover in addition to annuity income, ensuring a death benefit for your nominees with return of premium amounts.

Tax Benefits

Enjoy tax benefits under Section 80C on premium payments and tax-efficient annuity income as per prevailing income tax laws.

Who Should Invest in LIC Jeevan Dhara 2?

The LIC Jeevan Dhara 2 plan is ideal for individuals who have accumulated a lump sum amount and are looking for guaranteed regular income. This includes:

  • Retirees seeking steady monthly or periodic income to meet their post-retirement expenses
  • Individuals who have received retirement benefits, maturity proceeds from other LIC policies, or a lump sum inheritance
  • Senior citizens looking to convert their savings into guaranteed lifetime income
  • People approaching age 75 or age 80 who want to secure their financial future
  • Couples wanting joint life annuity coverage to protect both partners financially
  • Conservative investors preferring guaranteed returns over market-linked investments
  • Individuals planning systematic retirement income without manual calculations and market volatility

LIC Jeevan Dhara 2 Calculator – How It Works

Inputs Required for Calculation

To use the LIC Jeevan Dhara 2 calculator effectively and get accurate results, you need to provide the following inputs:

Entry Age

Your current age at the time of purchasing the policy. The minimum entry age is 30 years and the maximum is 85 years. The annuity rates vary based on your age, with higher rates typically available for older entrants. Our calculators automatically adjust the conversion factor based on your age for precision in projections.

Purchase Price

This is the single premium or lump sum amount you wish to invest in the LIC Jeevan Dhara plan. The minimum purchase price is ₹1,00,000 with no upper limit. Higher premium amounts result in proportionally higher annuity income. This one-time investment determines your regular income for life.

Annuity Option

Choose from various annuity options such as life annuity with return of purchase price, life annuity with 100% return to nominee, life annuity with 50% return, joint life annuity, or life annuity without return. Each option has different annuity rates and death benefit features. The LIC calculator helps compare these options.

Mode of Annuity Payment

Select how frequently you want to receive your annuity – monthly, quarterly, half-yearly, or yearly. The annual annuity amount remains the same, but the per-payment amount differs based on the mode chosen. Different modes have different conversion factors affecting the payment amount per installment.

Output Details You Get from the Calculator

After entering the required inputs, our LIC Jeevan Dhara 2 calculator provides comprehensive output details including:

  • Annual Annuity Amount: The total annuity you’ll receive in a year based on your purchase price and chosen option
  • Per Payment Amount: The exact amount you’ll receive in each payment cycle (monthly, quarterly, half-yearly, or yearly)
  • Effective Annuity Rate: The percentage return on your investment, helping you understand your yield
  • Death Benefit Details: Information about the amount your nominees will receive based on the annuity option selected
  • Comparison Data: Option to compare different annuity options and payment modes for informed decision-making

These instant results eliminate the need for manual calculations and help you plan your retirement income accurately. The calculator from policybazaar and other platforms may show similar data, but our tool provides additional insights for better retirement planning through LIC resources.

LIC Jeevan Dhara 2 Annuity Options Explained

Single Life Annuity Options

Single life annuity options under the new jeevan dhara plan provide income for the lifetime of the annuitant. The main single life options include:

  • Life Annuity with Return of Purchase Price: This popular option provides regular annuity income throughout the annuitant’s life. Upon death, the entire purchase price is returned to the nominee. This offers both lifetime income and capital protection with premiums paid being returned.
  • Life Annuity with 100% Return on Death: Similar to the above but with slightly higher annuity rates. The complete purchase price is paid to the nominee after the annuitant’s death, ensuring full capital preservation and death benefit.
  • Life Annuity with 50% Return: This option provides higher annuity income during the annuitant’s lifetime compared to 100% return options. On death, 50% of the purchase price is returned to the nominee, balancing income and death benefit.
  • Life Annuity without Return: Offers the highest annuity rates as there is no return of purchase price to nominees. The annuity payments cease upon the annuitant’s death without any death benefit provision.

Joint Life Annuity Options

The joint life annuity option is designed for couples who want to ensure continuous income for both partners. Key features include:

  • Regular annuity payments continue as long as either the primary annuitant or the spouse is alive
  • After the death of one partner, the surviving spouse continues to receive the full annuity amount
  • Annuity payments cease only after both partners have passed away
  • The purchase price is returned to nominees after both annuitants’ death under return options
  • Provides comprehensive life cover for couples with joint financial planning
  • Particularly beneficial for families where both partners depend on the annuity income

Joint life options typically have lower annuity rates than single life options due to the extended coverage period, but they offer superior family protection. Use our LIC calculators to compare returns under different scenarios.

Annuity with Return of Purchase Price

This is the most popular feature of LIC Jeevan Dhara 2, combining guaranteed lifetime income with capital protection. Benefits include:

  • Receive regular annuity payments throughout your lifetime without any reduction
  • 100% of the purchase price is guaranteed to be returned to your nominees on death
  • No risk of capital erosion despite receiving lifetime income – your principal remains intact
  • Provides peace of mind knowing your family will receive the full invested amount
  • The return is not affected by the number of annuity payments already received
  • Acts as both an income plan and a savings plan with life insurance benefits
  • Premium amounts invested are fully protected with guaranteed return of premium

This option is ideal for conservative investors who want guaranteed income without compromising on capital safety. The LIC of India ensures this benefit through its strong financial backing and regulatory oversight.

LIC Jeevan Dhara 2 Premium & Annuity Calculation

Monthly Annuity Calculation

Monthly annuity is the most popular payment mode for LIC Jeevan Dhara 2, as it provides a regular monthly income similar to a salary. The calculation involves:

  • Formula: Monthly Annuity = (Annual Annuity Rate × Purchase Price) / 12
  • The annual rate is adjusted using a conversion factor for monthly payments
  • Example: For a purchase price of ₹10,00,000 with an annual annuity rate of 7%, monthly income = (7% × 10,00,000) / 12 = ₹5,833
  • Monthly payments help manage regular household expenses effectively
  • The first payment is typically made within one month of policy commencement

Our calculator provides instant monthly projections eliminating the need for manual calculations. The precision of our tool ensures accurate results matching LIC data.

Quarterly & Half-Yearly Annuity Calculation

For those preferring less frequent but larger payments, quarterly and half-yearly options are available:

Quarterly Annuity

  • Four payments per year, once every three months
  • Quarterly Amount = (Annual Annuity Rate × Purchase Price) / 4
  • Example: ₹10 lakh at 7% = ₹17,500 per quarter
  • Suitable for managing quarterly expenses like property taxes or insurance premiums

Half-Yearly Annuity

  • Two payments per year, every six months
  • Half-Yearly Amount = (Annual Annuity Rate × Purchase Price) / 2
  • Example: ₹10 lakh at 7% = ₹35,000 per half-year
  • Ideal for those with bi-annual expense patterns or other income sources

The conversion factor for quarterly and half-yearly modes slightly reduces the effective annuity rate compared to annual payments, but provides flexibility in cash flow management. Use our calculators to compare all modes.

Yearly Annuity Calculation

Yearly annuity provides the highest per-payment amount and typically offers the best annuity rates:

  • Formula: Yearly Annuity = Annual Annuity Rate × Purchase Price
  • Single payment once a year on the policy anniversary
  • Example: Purchase price ₹10,00,000 at 7% rate = ₹70,000 per year
  • No conversion factor reduction – you get the full annual rate
  • Best suited for those who can manage their finances annually or have other regular income sources
  • Ideal for investors who want to maximize their annuity income percentage
  • Can be invested elsewhere during the year for additional returns

The yearly mode offers maximum flexibility for LIC policyholders who are comfortable with lump sum annual income. Our LIC tools help you understand the differences in calculations across all payment modes for accurate retirement planning.

LIC Jeevan Dhara 2 Eligibility Criteria

Minimum & Maximum Entry Age

Understanding the age criteria is crucial for planning your investment in the Jeevan Dharaplan:

  • Minimum Entry Age: 30 years (age nearest birthday)
  • Maximum Entry Age: 85 years for single life options
  • For Joint Life Options: Maximum entry age is 80 years for both lives
  • Age is calculated as on the date of commencement of the policy
  • Higher entry ages typically receive higher annuity rates due to shorter expected payout periods
  • No medical examination required regardless of age or purchase price
  • Spouse’s age is also considered for joint life annuity calculations

Those approaching age 75 or age 80 can still invest and benefit from immediate annuity income. The specific calculations based on age are handled automatically by our LIC calculator for precision.

Minimum Purchase Price

The financial requirements for investing in LIC Jeevan Dhara 2 are straightforward:

  • Minimum Purchase Price: ₹1,00,000 (One Lakh Rupees)
  • Maximum Purchase Price: No upper limit – invest any amount above the minimum
  • Amount can be paid in a single lump sum only – no installment option
  • Higher investment amounts result in proportionally higher annuity income
  • The purchase price determines your lifetime income stream
  • Can be funded from retirement benefits, maturity of other policies, or savings
  • No medical examination required, regardless of the premium amounts invested

Because of its single premium structure, LIC Jeevan Dhara 2 is appropriate for people who have saved a lot of money or received a lump amount for retirement. The premium payments are one-time, with no future payment commitments. According to LIC criteria, the purchase price should match your retirement income requirements.

LIC Jeevan Dhara 2 Tax Benefits

Tax Benefits Under Section 80C

LIC Jeevan Dhara 2 offers tax benefits under the Income Tax Act, making it a tax-efficient retirement solution:

  • Section 80C Deduction: The purchase price (single premium) paid for LIC Jeevan Dhara 2 is eligible for tax deduction under Section 80C
  • Maximum deduction limit of ₹1.5 lakh per financial year under Section 80C (subject to overall 80C limit including all investments)
  • If purchase price exceeds ₹1.5 lakh, only ₹1.5 lakh can be claimed under 80C for that year
  • This reduces your taxable income and overall tax liability in the year of purchase
  • Tax benefit applies to premiums paid for self, spouse, and dependent children
  • This is in addition to other LIC policies and investments under Section 80C

The tax benefits make the effective cost of the policy lower, improving your overall returns. Consult with LIC agents or tax advisors for specific calculations based on your tax bracket.

Taxation of Annuity Income

Understanding how annuity income is taxed is important for retirement planning:

  • Taxable Income: The annuity received from LIC Jeevan Dhara 2 is considered as “Income from Other Sources” and is fully taxable
  • Annuity income is added to your total income and taxed as per your applicable income tax slab
  • TDS Deduction: LIC deducts TDS (Tax Deducted at Source) if annual annuity exceeds ₹50,000 (for senior citizens above age 75, the limit is higher)
  • TDS rate is typically 10% if PAN is provided; 20% if PAN is not provided
  • You can claim the TDS deducted when filing your income tax return
  • Return of Purchase Price: The lump sum paid to nominees on death is tax-free under Section 10(10D)
  • No tax is levied on the death benefit received by your family members

While the annuity is taxable, the combination of 80C premium advantages and tax-free death benefit makes LIC Jeevan Dhara 2 a well-balanced tax-efficient product. To ensure realistic planning, the return calculator and estimates should take post-tax income into account.

Advantages of Using LIC Jeevan Dhara 2 Calculator Online

 Instant & Accurate Results

Our online LIC Jeevan Dhara 2 calculator provides numerous advantages over traditional planning methods:

  • Immediate Calculations: Get results in seconds without waiting for LIC agents or visiting branch offices
  • Precision & Accuracy: Mathematical calculations are error-free, using official LIC annuity rates and conversion factor data
  • Multiple Scenarios: Quickly compare different purchase prices, ages, and annuity options to find the best fit
  • No Manual Errors: Eliminates mistakes in manual calculations that could affect your retirement planning
  • Updated Rates: Calculator uses the latest annuity rates from LIC of India, ensuring your projections reflect current market conditions
  • Visual Comparison: See side-by-side comparisons of different options for informed decision-making

Online calculators are crucial tools for retirement planning due to their accuracy and quickness. Whether you’re considering the jeevan dhara plan or comparing it to the jeevan labh, jeevan anand, new jeevan anand, or jeevan shanti plans, our calculator gives accurate results.

Free & Easy-to-Use Tool

Our LIC Jeevan Dhara 2 calculator is designed with user convenience in mind:

  • 100% Free: No charges, no registration required – completely free LIC tools available to everyone
  • User-Friendly Interface: Simple input fields with clear labels requiring no technical knowledge
  • Mobile Compatible: Works seamlessly on smartphones, tablets, and desktops
  • No Installation: Web-based calculator accessible from anywhere with internet connection
  • Guided Inputs: Helpful tooltips and validation to ensure you enter the correct information
  • Privacy Protected: No personal data collected or stored—your information remains confidential

Everyone, from tech-savvy persons to others who are less familiar with digital technologies, can use it because it is so simple. LIC policyholders can do particular computations without requiring assistance from others.

Helps in Retirement Planning

The calculator serves as a comprehensive retirement planning tool:

  • Income Projection: Understand exactly how much monthly income you’ll receive from your investment
  • Budget Planning: Match annuity payments to your expected retirement expenses
  • Comparative Analysis: Evaluate different investment amounts to meet your income goals
  • Option Selection: Compare the benefits of different annuity options for your family situation
  • Cash Flow Management: Choose a payment frequency that aligns with your expense patterns
  • Return Analysis: See the effective return on your investment through the maturity calculator function
  • Goal Setting: Determine the required purchase price to achieve the desired monthly income

Regular calculators for LIC plans allow you to make data-driven retirement decisions. The application provides answers to crucial concerns such as “How much do I need to invest?” and “What will my monthly income be?” without relying entirely on LIC agents or external experts.

LIC Jeevan Dhara 2 Calculator – Sample Calculation

Example with Age, Purchase Price & Annuity Option

Let’s walk through a practical example to understand how the LIC calculator works:

Scenario Details:

  • Name: Mr. Rajesh Kumar
  • Age: 60 years
  • Purchase Price: ₹20,00,000 (Twenty Lakhs)
  • Annuity Option: Life Annuity with Return of Purchase Price
  • Payment Mode: Monthly

Calculation Process:

  • Step 1: Identify the annuity rate for age 60 under the chosen option (approximately 7.5% per annum)
  • Step 2: Calculate Annual Annuity = ₹20,00,000 × 7.5% = ₹1,50,000
  • Step 3: Apply conversion factor for monthly payments (typically 0.995)
  • Step 4: Adjusted Annual Annuity = ₹1,50,000 × 0.995 = ₹1,49,250
  • Step 5: Monthly Annuity = ₹1,49,250 / 12 = ₹12,437

Results:

  • Monthly Income: ₹12,437 for lifetime
  • Annual Income: ₹149,250
  • Death Benefit: ₹20,00,000 (complete purchase price returned to the nominee)
  • Total Income in 15 Years: ₹22,38,750 (excluding the death benefit)
  • Effective Return: 7.46% per annum

This example shows that Mr. Kumar will receive ₹12,437 each month for his whole life, with his family receiving the full ₹20 lakh upon his death. Over 15 years, he earns more than his initial investment while maintaining wealth. This demonstrates the value of adopting precise LIC calculations for retirement planning using the Dhara plan. Similar estimates can be made for other LIC plans, such as New Jeevan or Jeevan Bima Marg, using the relevant calculator.

LIC Jeevan Dhara 2 vs Other LIC Annuity Plans

Comparison with LIC Jeevan Akshay VII

LIC Jeevan Akshay VII is another popular immediate annuity plan. Here’s how it compares with Jeevan Dhara 2:

FeatureLIC Jeevan Dhara 2LIC Jeevan Akshay VII
Plan TypeImmediate AnnuityImmediate Annuity
Minimum Entry Age30 years30 years
Maximum Entry Age85 years85 years
Minimum Purchase Price₹1,00,000₹1,00,000
Number of Annuity OptionsMultiple options10 comprehensive options
Deferment PeriodNo deferment periodOptional deferment period available
Guaranteed Period OptionNot availableAvailable for 5, 10, 15, 20 years
Increasing AnnuityNot available3% annual increase option available
Best ForSimple, straightforward annuity needsMore complex requirements with flexibility

Key Takeaway: LIC Jeevan Akshay VII provides more annuity options and features, such as guaranteed periods and growing annuity, making it ideal for individuals looking for greater flexibility. LIC Jeevan Dhara 2 is simpler with core options, making it suited for those with uncomplicated retirement income requirements. Use both LIC calculators to see which plan provides the best returns for your age and investment amount.

Comparison with LIC Saral Pension

LIC Saral Pension is another pension plan, but with different characteristics:

FeatureLIC Jeevan Dhara 2LIC Saral Pension
Plan TypeImmediate AnnuityDeferred Annuity
Premium PaymentSingle PremiumRegular Premium (Annual/Half-yearly/Quarterly/Monthly)
Vesting AgeImmediate (no deferment period)40-70 years (accumulation period)
Annuity StartImmediately after purchaseAfter vesting age is reached
Accumulation BenefitNo accumulation phaseFund accumulation during premium payment term
Loan FacilityNot availableAvailable after specified period
Surrender ValueNot applicableAvailable after premium payment completion
Best ForThose with lump sum needing immediate incomeYounger individuals building retirement corpus

Key Takeaway: The LIC Saral Pension is a long-term savings plan with regular premium payments and a deferment period that is ideal for those who are working and planning for retirement. LIC Jeevan Dhara 2 is for people who already have a lump sum and require urgent regular income. Choose according to your present financial circumstances and whether you require revenue immediately or later. Due to these fundamental variances, the return calculator for each plan will produce different forecasts.

Additional LIC Plans and Resources

Beyond Jeevan Dhara 2, LIC provides plans such as jeevan labh (earnings endowment), new jeevan (conventional money-back plan), and jeevan shanti (immediate or deferred annuity). Each has different financial objectives. LIC HFL offers competitive housing loan financing choices. All LIC policies provide yearly bonus rates, which add to the maturity benefits of qualifying plans.

LIC policyholders have access to a variety of LIC tools, including online portals, mobile apps, and branch offices for policy service. LIC agents provide personalised advice, whereas online LIC resources such as calculators enable you to make your own judgements. Understanding LIC bonus rates, guidelines, and policy conditions helps you get the most out of your LIC plans.

There are specialist tools for performing particular calculations for different plans, such as the LIC SIP calculator for systematic investment planning or the maturity calculator for endowment plans. The quality of these computerised tools assures that projections are accurate and free of manual calculation errors. The addition of such instruments to your financial planning armoury ensures comprehensive coverage for all LIC requirements.

Important Considerations and Guidelines

Key Points to Remember:

  • Annuity rates are guaranteed and fixed for the policy term—no market-related adjustments or alterations
  • There is no repudiation of claims for honest disclosures—full transparency is encouraged
  • Premium amounts once paid cannot be withdrawn except through surrender or loan in applicable plans
  • The death benefit is paid to the nominee as per the annuity option selected without deductions
  • Policy loans are not available in immediate annuity plans like Jeevan Dhara 2
  • Regular annuity payments cease only upon the death of the annuitant (or both in joint life)
  • Grace period provisions don’t apply, as it’s a single premium plan
  • Policy cannot be surrendered or canceled after commencement

Before investing, always thoroughly review the LIC’s norms and policies. The benefits of the LIC Jeevan Dhara II plan are contractual and subject to policy terms. In addition to using online calculators, you should speak with LIC agents or financial experts for personalized advice based on your specific circumstances.

Conclusion

The LIC Jeevan Dhara 2 calculator is a helpful resource for anyone contemplating this immediate annuity plan. By offering fast, accurate forecasts of annuity income, death benefit, and returns, it enables you to make informed retirement planning decisions. Whether you’re comparing a life annuity with a return of purchase price, a shared life annuity, or choices with a 50% or 100% return, the calculator helps you grasp the specific benefits.

The dhara plan from LIC of India combines the security of guaranteed lifelong income with the flexibility of different annuity and payment options. It provides entire retirement demands with significant characteristics such as no deferment time, life insurance benefits, and premium return to nominees. The precision of the computations, the addition of tax benefits, and the lack of market risks make it an appealing option for conservative investors.

Use the interactive calculator above to run several scenarios based on your age, investing ability, and income needs. Compare the forecasts to other LIC plans such as Jeevan Labh, New Jeevan Anand, and Jeevan Shanti to determine the best fit. Remember that good retirement planning takes into account all elements, including tax consequences, inflation adjustment demands, and family protection requirements.

For additional information on LIC Jeevan Dhara 2 or to acquire an insurance, contact your local LIC branch office, LIC agents, or the official LIC of India website. The combination of guaranteed returns, capital protection, and lifetime income makes Jeevan Dhara 2 an essential component of prudent retirement planning.

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