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The LIC AAO Salary 2025 offers an attractive pay package along with several allowances and benefits. As per the revised salary structure, a newly appointed Assistant Administrative Officer (AAO) at LIC starts with a basic pay of ₹88,635 per month, which increases with regular increments. Alongside the basic pay, LIC AAOs are entitled to various perks including HRA, DA, medical benefits, and more. This article gives you a detailed breakdown of the revised pay scale, salary slip, and the complete list of allowances applicable in 2025.
LIC AAO Salary 2025
The Life Insurance Corporation of India (LIC) offers a highly rewarding salary structure to candidates selected for the Assistant Administrative Officer (AAO) post. With the implementation of the LIC Wage Revision Notification by the Ministry of Finance (Department of Financial Services), the pay scale has seen a notable enhancement. The revised salary structure for AAOs now stands at Rs. 88,635-4,385(14)-1,50,025-4,750(4)-1,69,025, replacing the earlier scale of Rs. 53,600-2,645(14)-90,630-2,865(4)-1,02,090.
LIC AAO Salary 2025 Structure
Getting selected as an Assistant Administrative Officer (AAO) in LIC is a big achievement. It gives candidates the respect and benefits that come with a well-known central government job. The latest LIC AAO salary starts at Rs. 88,635 and can go up to Rs. 1,69,025, with regular yearly increases. This shows how well-paid the job is. Along with the good salary, the post also offers great chances to grow in your career, which is why many people aim for it. To help you understand better, the LIC AAO Salary 2025 is explained in detail below.
| LIC AAO Salary Structure 2025 | |
| Components | Amount (Rs.) |
| Basic Pay | 88635.00 |
| DA @ 15.38% | 13635.39 |
| Cadre Special Allowance | 8900.00 |
| HRA | 6204.45 |
| Transport Allowance | 3300.00 |
| Gross Total Income | 120674.84 |
| Deductions | |
| Income Tax | 10200.00 |
| New GI Scheme | 137.42 |
| Professional Tax | 200.00 |
| GIS Premium | 2915.00 |
| Total Deductions | 13452.42 |
| Net Pay | 107222.42 |
LIC Assistant Administrative Officer Salary 2025: Deductions
The in-hand salary of a LIC Assistant Administrative Officer (AAO) is calculated after specific deductions are made from the gross salary. These deductions typically include Income Tax, New GI Scheme, Professional Tax, GIS Premium, and other applicable charges.
| LIC AAO Salary 2025: Deductions | |
| Deductions | Amount |
| Income Tax | 10200.00 |
| New GI Scheme | 137.42 |
| Professional Tax | 200.00 |
| GIS Premium | 2915.00 |
| Total Deductions | 13452.42 |
LIC AAO Salary 2025: Increments
Initially, the basic pay commences at Rs. 88,635, with increments of Rs. 4385 for a duration of 14 years. Subsequently, the basic pay rises to Rs. 1,50, 025 with increments of Rs. 4750 for the following four years. Following this period, the basic pay reaches to Rs. 1,69,025.
| LIC AAO Salary: Increments | ||
|---|---|---|
| Year | Basic Pay | Increment |
| 1-14 | Rs. 88,635 | Rs. 4,385 (per year) |
| 15-18 | Rs. 1,50,025 | Rs. 4,750 (per year) |
| 19 | Rs. 1,69,025 | – |
LIC AAO Salary Perks & Benefits
The total salary package of a LIC Assistant Administrative Officer (AAO) includes several allowances that enhance the overall compensation. These allowances act as appealing incentives for employees. However, it’s important to note that the amount may vary depending on the city of posting. Below is the list of allowances provided to LIC AAOs:
| LIC AAO Salary Allowances | ||
| Allowance | Criteria | Rate |
| House Rent Allowance | Cities with a Population of 45 lakhs and above | 10 % of pay, subject to a maximum of Rs.13,000/- per month |
| Cities with Population Exceeding 12 lakh but less than 45 lakh | 8% of pay, subject to a maximum of Rs.11,000/- per month | |
| Other Places | 7% of pay, subject to a maximum of Rs. 10,500/- per month. | |
| City Compensatory Allowance | Cities with a Population of 45 lakhs and above | 3% of pay, subject to a maximum of Rs.3,300/- per month |
| Cities with Population Exceeding 12 lakh but less than 45 lakh | 2.5% of pay, subject to a maximum of Rs. 3,100 /- per month | |
| Cities with Population Exceeding 5 lakh but less than 12 lakh | 2% of pay, subject to a maximum of Rs. 2,400 /- per month | |
| Hill Allowances | Posted at a place situated at a height of 1,500 metres or more above the mean sea level |
2.5% of basic pay subject to a maximum of Rs.2,055/-per month |
| Posted at a place situated at a height of 1,000 metres or more but less than 1,500 metres above the mean sea level | 2% of basic pay subject to a maximum of Rs.1,650/- per month | |
| Located at an altitude of at least 750 meters above sea level, this place is accessible solely through hills towering at 1,000 meters or higher. | 2 % of basic pay subject to a maximum of Rs.1,650/- per month | |
- The other benefits that an Assistant Administrative Officer receive have been listed down below.
- Defined Contributory Pension.
- Gratuity.
- LTC.
- Cash Medical Benefit.
- Group Mediclaim.
- Group Personal Insurance.
- Vehicle Loan (2-wheeler/4-wheeler) as per rules.
- Sodexo meal coupons.
- Mobile Expenses.
- Supply of Dailies and Magazines.
- Reimbursement of cost of Briefcase/leather bags.
LIC AAO Salary: Job Profile
The role of a LIC Assistant Administrative Officer (AAO) involves administrative and customer-focused responsibilities. AAOs play a key role in policy management, claim processing, inter-departmental coordination, and ensuring smooth customer service. They are expected to complete tasks efficiently while supporting the organization’s operational goals.
Key Responsibilities of LIC AAO:
- Formulating new schemes and reviewing existing policies.
- Supervising and processing customer claims and settlements.
- Coordinating with other departments for smooth workflow.
- Interacting with customers and resolving their queries.
- Completing assigned tasks within deadlines.
- Inspecting documents and identifying factual discrepancies.
LIC AAO Salary 2025: Probation Period
Candidates appointed as LIC Assistant Administrative Officers (AAOs) are required to undergo a probation period of one year from their joining date. This probation period may be extended for up to two years based on the corporation’s existing policy. During this time, candidates’ performance will be closely evaluated, and those who fail to meet the required standards may face termination as per the organization’s guidelines.
LIC AAO Salary 2025: Guarantee Bond
Candidates who are selected for the Assistant Administrative Officer (AAO) post in the Life Insurance Corporation of India must sign a guarantee bond. According to this bond, they are required to work with LIC for a minimum of four years from the date they join, which also includes their probation period. If someone leaves the job before completing this period for any reason, they will have to pay a penalty of Rs. 5,00,000 plus GST or any other amount set by the Executive Director (Personnel) as per LIC’s rules.
LIC AAO Salary: Promotion
Everyone who is working in the government sector gets a promotion in his job period. With the increments, the LIC AAO is expected to be getting higher-grade assistants. It will also depend upon the performance and experience of the candidate.
- Administrative Officer
- Assistant Divisional Manager
- Divisional Manager
- Senior Divisional Manager
- Zonal Manager
| Related Posts | |
| LIC AAO Cut Off | LIC AAO Syllabus |
| LIC AAO Previous Year Papers | |
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