Government Pension Calculator (Bangladesh)
Estimates the monthly and yearly pension for a government or semi-government employee in Bangladesh from the average basic salary and length of service.
Recent
Formula
How the calculation works
Each completed year of qualifying service earns a fixed percentage of the average basic salary, and the rate used here defaults to 2 percent per year.
The pension percentage is capped at 80 percent, so beyond forty years at 2 percent the monthly pension stops rising.
Multiplying the average salary by the capped percentage gives the monthly pension, and multiplying that by twelve gives the yearly figure.
Common mistakes
- The base is the average of the last months' basic pay, not the final gross salary, so using the gross will overstate the pension.
- Service shorter than the qualifying period may earn no pension at all, so check the minimum qualifying service before relying on a figure.
When to use it
- Use it before retirement to estimate the monthly income each year of service adds to your government pension.
- Use it when comparing a pensionable public job with a contributory scheme to see which gives a higher retirement income.
Worked example
With an average salary of 20,000 taka, 25 years of service and a 2 percent yearly rate, the monthly pension is 10,000 taka and the yearly pension 120,000 taka.
Common questions
Can the pension exceed 80 percent of salary?
No. The pension percentage is capped at 80 percent of the average basic salary, so additional years beyond that ceiling do not increase the monthly amount.
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