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News18
3 days ago
- Business
- News18
Unified Pension Scheme: Retired Govt Employees With Over 10 Years' Service To Get Additional Benefits
Last Updated: The government announces that central government NPS retirees by March 31, 2025, with at least 10 years of service, can claim extra benefits under the UPS. In a major relief for retired central government employees, the central government has said that the central government NPS (National Pension System) subscribers who retired on or before March 31, 2025, with a minimum of 10 years of qualifying service, are now eligible to claim additional benefits under the Unified Pension Scheme (UPS) — over and above the regular NPS benefits they may have already availed. This benefit can also be claimed by the legally wedded spouse of the eligible retiree. 'The Central government NPS subscribers who retired on or before 31/03/2025 with minimum 10 years of qualifying service or their legally wedded spouse can claim the following additional benefits under Unified Pension Scheme (UPS), over and above the NPS benefits already claimed," the finance ministry said in a statement on Friday, May 30, 2025. What Are the Additional Benefits? Eligible retirees will receive a lump sum amount equivalent to one-tenth of their last drawn basic pay plus applicable dearness allowance (DA) for every completed six months of qualifying service. Monthly Top-Up Pension A monthly top-up will be calculated based on the UPS payout combined with dearness relief (DR), after deducting the representative annuity amount already received under NPS. How to Claim the Benefits? Physical Mode: Form B2 for the subscriber Form B4/B6 for the legally wedded spouse Forms can be downloaded from: Online Mode: Visit the same website and fill out the online form for quick processing. Important Deadline The last date to claim the UPS benefits is June 30, 2025. Applicants are advised to apply well before the deadline to avoid last-minute issues. Need Help? For more information, join the official webinar hosted by PFRDA at: Or call the UPS Help Desk (Toll-Free) at 1800 571 2930. The Cabinet in August 2024 approved the Unified Pension Scheme (UPS), for an assured pension post-retirement. The UPS has been implemented from April 1, 2025. The move comes after the long-pending demand of the central government employees to reform the new pension scheme (NPS). It is the latest pension scheme for government employees. Under the UPS, there will be a provision of a fixed assured pension, unlike the New Pension Scheme (NPS) which does not promise a fixed pension amount. Under the Unified Pension Scheme, the assured payout will be calculated based on the last 12-month salary, months of qualified service, and retirement corpus. First Published:
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Business Standard
3 days ago
- Business
- Business Standard
Centre announces unified pension scheme for retired NPS subscribers
The Union government has rolled out the Unified Pension Scheme (UPS), offering enhanced pension benefits to retired subscribers of the National Pension System (NPS). The scheme applies to those who retired on or before 31 March 2025, with at least 10 years of qualifying service. If the subscriber is deceased, their legally wedded spouse is also eligible to receive these benefits. The UPS provides supplementary benefits in addition to the existing NPS entitlements. These include a one-time lump sum payment, a monthly top-up pension, and interest on any arrears. Under the scheme, eligible retirees will receive a lump sum amount calculated as one-tenth of their last drawn basic pay plus dearness allowance for every completed six-month period of qualifying service. The scheme covers various forms of retirement, including superannuation, voluntary retirement, and retirement under Fundamental Rule (FR) 56(j). If the annuity received under the NPS is lower than the guaranteed pension promised by UPS, the government will pay a monthly top-up to cover the shortfall. Furthermore, beneficiaries can claim arrears along with simple interest, calculated at the prevailing Public Provident Fund (PPF) interest rate. UPS came into effect on 1 April 2025, aiming to bring greater certainty to pension payouts by guaranteeing a fixed monthly pension — thus addressing the inherent variability of NPS returns. For retirees with 25 years or more of qualifying service, the scheme ensures a pension equal to 50 per cent of the average basic pay drawn during the last 12 months of service. The Pension Fund Regulatory and Development Authority (PFRDA) issued the UPS Regulations, 2025, on 19 March, outlining eligibility criteria and the process for claiming benefits. To assist retirees and stakeholders, PFRDA is also conducting webinars and informational sessions on the new scheme.
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Business Standard
6 days ago
- Business
- Business Standard
Extra pension perks? UPS has something for NPS retirees and spouses
The Pension Fund Regulatory and Development Authority (PFRDA) has announced benefits under the Unified Pension Scheme (UPS) for central government employees who retired under the National Pension System (NPS) on or before March 31, 2025. These benefits also extend to their spouses. Who is eligible for Unified Pension Scheme (UPS)? According to a recent notification by the Department of Financial Services and UPS Regulations, 2025: The scheme covers Central Government employees who retired on or before March 31, 2025. They must have completed a minimum of 10 years of qualifying service, 'Legally wedded' spouses of such retirees are also eligible for the benefits. These UPS benefits are over and above the existing NPS entitlements, including annuities. Key benefits under Unified Pension Scheme (UPS) A one-time payout equivalent to one-tenth of the last drawn basic pay plus dearness allowance (DA) for each completed six months of qualifying service. Monthly top-up amount A fixed monthly benefit calculated as: (Admissible UPS payout + dearness relief) – Representative annuity amount under NPS. Interest on arrears Simple interest will be paid on arrears of the above amounts, calculated at the applicable Public Provident Fund (PPF) rates. Note: Sample calculations are available in Schedule VII of the PFRDA UPS Regulations, 2025. How to claim benefits of Unified Pension Scheme (UPS) Applicants can choose between physical or online modes: Offline submission Download the relevant form (Form B2 for subscribers, B4/B6 for spouses) from Submit the completed form to the Drawing and Disbursing Officer (DDO) of the office where the subscriber last served. Online submission Visit the same website Fill and submit the online form directly to the DDO for processing. Important deadline for Unified Pension Scheme (UPS) Application Window: April 1, 2025 to June 30, 2025 No claims will be accepted after this period. PFRDA conducts webinars to help retirees and their families understand the scheme better. Details are available on the official PFRDA website.
Time of India
7 days ago
- Business
- Time of India
UPS benefits announced for these retired govt employees and their spouses: Know how to claim UPS benefits, deadline to apply
Tired of too many ads? Remove Ads Unified Pension Scheme Tired of too many ads? Remove Ads Lumpsum payment (one-time) Monthly top-up amounts Simple interest on arrears Tired of too many ads? Remove Ads The Pension Fund Regulatory and Development Authority ( PFRDA ) has introduced the Unified Pension Scheme (UPS) to provide additional benefits to subscribers who retired under the National Pension System (NPS) on or before March 31, 2025, and their legally wedded Unified Pension Scheme (UPS) is introduced by the Central Government as an option under the National Pension System (NPS) for Central Government employees with effect from 1st April 2025. The UPS provides assured pay-out based on the prescribed UPS was notified by the Department of Financial Services, Ministry of Finance, under notification F. No. FX1/3/2024-PR, dated January 24, 2025. Subsequently, PFRDA issued the UPS Regulations, 2025, on March 19, 2025, to operationalize the scheme. These regulations extend specific benefits to eligible NPS retirees and their spouses, supplementing the benefits already accrued under NPS, including annuity offering a one-time lumpsum payment, monthly top-up amounts, and interest on arrears, the UPS complements existing NPS benefits. Eligible retirees and their spouses are encouraged to act promptly within the claim period (April 1, 2025, to June 30, 2025) and utilize the resources provided by PFRDA to ensure a smooth claim following UPS benefits are available to such subscribers/their legally wedded spouses. These benefits are available in addition to the benefits availed or accrued to such employees under NPS including annuity.A one-time lumpsum payment equivalent to one-tenth of the last drawn basic pay plus dearness allowance (DA) for each completed six months of qualifying service. This amount is payable as of the date of superannuation, voluntary retirement, or retirement under Fundamental Rules 56(j), as applicable.A monthly top-up amount is calculated as follows:Admissible UPS payout + Dearness Relief (DR) – Representative annuity amount under ensures that retirees receive a supplementary pension to bridge any gap between NPS annuity payouts and UPS interest, calculated at the applicable Public Provident Fund (PPF) rates, will be applied to arrears for the above benefits for the past subscriber or spouse, as appropriate, must deliver the completed relevant Form (B2-for the subscriber and B4/B6-for the legally married spouse) to the relevant Drawing and Disbursing Office (DDO) where the subscriber has subscriber or the spouse need to visit and fill the online form and submit the same through online mode to DDO for their is the last date to claim UPS benefits?Timelines to claim the benefits are from April 1, 2025 to June 30, Central Government employees who retired under the NPS on or before March 31, 2025, and completed at least 10 years of qualifying service, are eligible. Their legally wedded spouses are also entitled to claim the retirees and/or their spouses will receive:A one-time lump sum payment based on last drawn pay and DA.A monthly top-up amount to supplement NPS on arrears, calculated using the applicable PPF interest lump sum is equal to one-tenth of the last drawn basic pay + DA for each completed 6 months of qualifying service at the time of is the difference between the UPS pension entitlement (plus dearness relief) and the annuity received under NPS. This amount is paid These are additional benefits on top of what is already received through the NPS, including the annuity.
Time of India
23-05-2025
- Business
- Time of India
Central govt employees under NPS: Last date to apply for UPS pension is June 30, 2025; What happens if you miss it
Last date to opt for UPS is June 30, 2025 Live Events What will happen if a central government employee fails to opt for UPS by June 30, 2025? Which category of central government employees are eligible to opt for UPS by June 30, 2025? Who will not be subject to the June 30, 2025, deadline for opting for UPS? Forms to submit to opt for UPS Can a central government employee switch back to NPS after choosing UPS? The central government launched the option of the Unified Pension Scheme (UPS) for its employees on April 1, 2025. UPS provides an assured pension contingent upon certain conditions. It guarantees a fixed pension for government employees upon retirement, unlike the National Pension System NPS ), which provides a pension amount that is not pre-fixed but is based on the corpus accumulated at retirement and the annuity purchased. In comparison, UPS offers an assured pension amounting to 50% of the average basic pay drawn over the past 12 months before superannuation for a minimum qualifying service of 25 the FAQs released by the Pension Fund Regulatory and Development Authority (PFRDA) mention that existing employees are required to choose the option to opt for UPS within three months of the date when UPS was Wealth online provides information on the final date to choose a pension under UPS, the consequences of missing this deadline, and the eligibility criteria for opting into UPS by this to the FAQs issued by the PFRDA, "Option has to be exercised within three (03) months from April 1, 2025, or within such extended timelines, if any, allowed by the central government." This is in response to a question regarding the timelines to exercise the option of UPS under NPS by an eligible existing (as of 31.03.2025) central government Champaneria, Partner at Solomon & Co. - a law firm, says, "As per the FAQs released on March 30, 2025, by the PFRDA, the period for exercising the option under UPS for the specified central government employees is within three months from April 1, 2025, i.e., until June 30, 2025, unless extended by the central government."Concurring with the view, Manmeet Kaur, Partner at Karanjawala & Co, a law firm says, "The PFRDA has introduced the Unified Pension Scheme (UPS) for employees working in the government sector. UPS became operational with effect from April 1, 2025. Government employees who are currently covered under NPS are eligible to opt for UPS. The concerned government employees may exercise this option by June 30, 2025."Some central government employees may fail to opt for UPS by June 30, 2025. What will happen in such a scenario?Kaur says, "If a central government employee fails to opt into UPS by June 30, 2025, or by any further extended date, they will continue to be governed by the provisions of the National Pension System and shall be considered to have chosen to remain under the NPS."Will they get a second chance to opt for UPS?Champaneria says, "While the FAQs do not explicitly provide for a second opportunity to opt for the scheme, they do state that the timeline for availing the UPS option may be extended at the discretion of the central government. Therefore, if such an extension is granted, eligible central government employees who missed the initial window may have a second chance to opt for the UPS."The last date to apply for UPS by June 30, 2025, is applicable for specific central government following central government employees can exercise the option to opt for UPS by June 30, 2025:a) Existing central government employees who are in service as of April 1, 2025, and are covered under NPS.b) Central government employees who retired prior to March 31, 2025, and meet the prescribed conditions - a) Superannuated after a minimum of 10 years of qualifying service or, b) Retired under Fundamental Rules 56(j) ) (which is not treated as a penalty under Central Civil Services (Classification, Control and Appeal) Rules, 1965), on or before 31st March 2025, or c) Legally wedded spouses, in cases where the subscriber has superannuated or retired and passed away prior to exercising the option for says, "The three-month timeline (ending on June 30, 2025, unless extended) does not apply to new recruits joining central government services on or after April 1, 2025. These individuals must exercise the option under UPS within 30 days from the date of joining, unless the central government extends this timeline."Two forms, Form A1 and Form A2, are available on the Protean CRA website. Eligible central government employees must submit their applications to opt for UPS using either one of these A1 is for newly recruited central government employees joining service on or after April 1, 2025. Form A2 is to exercise the option to opt for UPS by an eligible central government employee currently subscribed to the National Pension System. The form can be submitted online or physically to the head of office/DDO where the subscriber is employed. Subscribers are advised to retain the acknowledgement slip signed/stamped by the designated respective nodal office where they submit the application, as per the to the FAQs, once exercised, the option to choose UPS is final and irrevocable.
