Switch to Secure Retirement: Unified Pension Scheme Revolution!
The Finance Ministry urges government employees to transition to the Unified Pension Scheme before the September 30, 2025 deadline, offering a secure retirement option under the National Pension System. A one-time switch back to NPS is allowed. UPS provides retirement and death gratuities along with tax benefits.
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The Finance Ministry has urged government employees to make the switch to the Unified Pension Scheme (UPS) ahead of the September 30, 2025 deadline. The scheme, integrated within the National Pension System (NPS), promises assured payouts and additional benefits, making it a lucrative option for central government employees.
Introduced officially on April 1, 2025, the UPS allows physical submission of opt-in requests amid challenges with the online platform. To date, approximately 31,555 employees have availed themselves of the UPS, and the Finance Ministry has sanctioned a one-time one-way switch from UPS back to NPS.
This flexibility can be exercised not later than one year before superannuation or three months prior to voluntary retirement. The scheme also offers retirement and death gratuities and extends tax benefits under the Income Tax Act, aligning UPS benefits with those of NPS.
(With inputs from agencies.)
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