The revised LIC AAO Salary 2025 offers an attractive beginning basic pay of ₹88,635 per month. In addition to the basic pay, employees enjoy various allowances and perks that make the role highly rewarding. These include dearness allowance, house rent allowance, medical benefits, and several other facilities. A detailed understanding of the pay scale, salary slip, and allowances gives aspirants better clarity on the financial growth come with the LIC AAO position.
LIC AAO Salary 2025
The Life Insurance Corporation of India (LIC) provides an attractive and competitive salary package for candidates appointed as Assistant Administrative Officers (AAO). As per the revised structure, the salary now ranges from ₹88,635-₹1,50,025, with incremental benefits of ₹4,385 for 14 stages, followed by ₹4,750 for 4 stages, ultimately reaching ₹1,69,025. This replaces the earlier pay scale of ₹53,600-₹90,630 with increments of ₹2,645 for 14 stages and ₹2,865 for 4 stages, culminating at ₹1,02,090.
Also Read, LIC AAO Admit Card 2025
LIC AAO Salary 2025 Structure
Securing the position of Assistant Administrative Officer (AAO) in LIC is a significant accomplishment, offering both prestige and attractive benefits akin to a reputed central government role. The revised LIC AAO salary for 2025 starts at ₹88,635 and can rise up to ₹1,69,025, with periodic annual increments. To give aspirants a clear picture, the detailed breakdown of the LIC AAO Salary 2025 is provided 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 Assistant Administrative Officer (AAO) in LIC handles both administrative and customer-focused tasks, ensuring smooth operations and effective service.
Key Responsibilities:
- Policy Planning: Formulate new insurance schemes and review existing policies.
- Claims Management: Supervise and process customer claims and settlements.
- Department Coordination: Liaise with other departments for seamless workflow.
- Customer Interaction: Address customer queries and provide solutions.
- Task Execution: Complete assigned work within deadlines efficiently.
- Document Verification: Inspect documents and spot any discrepancies.
LIC AAO Salary 2025: Probation Period
Candidates selected as LIC Assistant Administrative Officers (AAOs) must complete a probation period of one year from their joining date. Depending on the corporation’s policy, this period can be extended up to two years. During probation, the performance of candidates is closely monitored, and those who do not meet the required standards may face termination in accordance with LIC’s guidelines.
LIC AAO Salary 2025: Guarantee Bond
Candidates selected for the Assistant Administrative Officer (AAO) post in LIC must sign a guarantee bond at the time of joining. As per this bond, they are required to serve the corporation for a minimum of four years, including the probation period. If an AAO leaves the job before completing this period, they must pay a penalty of ₹5,00,000 plus GST, or any other amount determined by the Executive Director (Personnel), in accordance with LIC rules.
LIC AAO Exam Analysis 2025, 3rd October 2025 Shift 1
LIC AAO Exam Analysis 2025, 3rd October 2025 Shift 2
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
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