The Department of Financial Services (DFS) under the Ministry of Finance has launched a Composite Salary Account Package for Central Government employees, in collaboration with Public Sector Banks (PSBs). The initiative aims to provide a single, integrated financial solution combining banking, insurance, and card-related benefits for government employees across Group A, B and C.
The package was formally launched on 14 January 2026 by M. Nagaraju, Secretary, Department of Financial Services, in the presence of senior officials from State Bank of India, other nationalised banks, DFS officers and representatives of NPCI. The scheme aligns with the Government’s vision of Viksit Bharat 2047 and the goal of Insurance for All by 2047.
What Is the Composite Salary Account Package
The Composite Salary Account Package is designed as a one-stop financial solution for Central Government employees. Instead of managing multiple banking and insurance products separately, employees can now access a single salary account that offers enhanced banking facilities, comprehensive insurance cover and modern digital card benefits.
The package has been developed after consultations with Public Sector Banks to ensure uniform benefits, wide coverage and convenience for employees at all levels.
Key Banking Benefits
Under this package, employees will receive a zero-balance salary account with enhanced features. Facilities such as free RTGS, NEFT and UPI transactions, cheque book services, and nil or concessional charges are included. Employees will also be eligible for concessional interest rates on housing, education, vehicle and personal loans, along with reduced loan processing charges. Additional benefits include locker rent waivers and family banking facilities.
Enhanced Insurance Coverage
One of the major highlights of the package is its strong insurance component. It includes Personal Accident Insurance cover of up to ₹1.50 crore, Air Accident Insurance cover of up to ₹2 crore, and Permanent Total or Partial Disability cover of up to ₹1.50 crore.
In addition, employees will receive in-built term life insurance cover of up to ₹20 lakh, with an option to enhance coverage through affordable top-ups. The package also offers comprehensive health insurance for the employee and family, with a base policy and optional top-up plans to increase coverage as needed.
Digital and Card-Related Benefits
The Composite Salary Account Package provides enhanced debit and credit card features, including reward programmes, cashback offers and airport lounge access. Employees can enjoy unlimited transactions and nil maintenance charges, making everyday banking smoother and more cost-effective.
Why This Scheme Matters
Central Government employees form the backbone of public administration. This initiative ensures they receive modern banking services, strong insurance protection and financial security through a single, seamless account structure. By integrating salary banking with insurance and digital benefits, the scheme reduces complexity and offers peace of mind to employees and their families.
Implementation and Awareness
DFS has advised all Public Sector Banks to widely publicise the Composite Salary Account Package through their websites, conduct awareness camps in government offices, and proactively reach out to employees. Banks have also been asked to facilitate migration of existing salary accounts to this new package, subject to employee consent.
Central Government employees are encouraged to avail the benefits of this scheme through their salary accounts with Public Sector Banks. Detailed information is available on the DFS website.
The launch of the Composite Salary Account Package reflects the Government’s continued commitment to employee welfare and financial security. By offering integrated banking and insurance benefits under one framework, the scheme strengthens the employee–bank relationship and supports a more secure financial future for Central Government employees.
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