The United Pension Plan (UPS) exercising options deadline extends to September 30
The central government on Monday extended the critical date applicable to government staff to exercise options for the Uniform Pension Plan (UPS). The new deadline for September 30 extends the current deadline for June 30 by three months. In other words, government workers must use UPS as an optional pension plan by September 30. The pension scheme is designed to provide a comprehensive centralized pension system for central government staff.
UPS June 30 deadline extends by three months
Previously, eligible central government staff – including active growth in late retirees, retirees and spouses – UNIL exercised this option under UPS on June 30. Now, they have to do so until September 30.
“In view of the representations received from various stakeholders requesting an extension of the cut-off date, the Government of India has decided to extend the cut-off date for exercising the option for UPS by three months ie, upto 30th September 2025 for eligible existing employees, past retirees, and the legally married spouses of deceased past retirees,” the Ministry of Finance said in a statement.
UPS is an option for central government employees temporarily available under the National Pension System (NPS) to ensure a fixed monthly pension after retirement.
The amount of pensions depends on the employees’ regular contributions and the government invested in the fund.
Unified Pension Plan (UPS) | Here are some key factors to know:
Who can choose UPS?
Only central government employees already covered by NPS can choose the UPS option.
How to calculate the pension amount under UPS?
The fully guaranteed monthly pension is 50% of the average base salary for the 12 months before retirement. The full pension under the plan is paid after 25 years of qualified service.
If the service is less than 25 years, a proportion of pension is paid under the plan. If retirement takes place after at least 10 years, a pension of at least Rs 10,000 per month is guaranteed, but can be paid in a timely and periodic manner without withdrawal.
For voluntary retirement after 25 years, the pension will start from the date the employee normally retires.
Donations from UPS employees and central government
Under UPS, each employee and central government contributes 10% of the basic salary and provides precious allowances to employees.
