Nominees In Government Pensions

Pension is one of the major perks a Government servant is given upon one's retirement from their post, as and when it occurs. It acts as a major source of security for the retiree to live a comfortable life with dignity upon retirement by having a constant source of income after having served the government for the number of years that one did. However, what happens if the retiree expires, leaving behind one's dependents? How the pension will be paid to the beneficiaries on death of the person and the tax implications related to it depend upon the type of pension one has.

Nomination makes it easier to settle death claims as all banks and financial institutions have standard and simpler death settlement processes. However, in case of absence of nomination, there are a lot of documents that are required, such as a death certificate, a court order or Will, etc. It seems simpler on paper but ends up being a long process in reality.