More Than 31,500 Government Employees Opt for UPS Till July 20: Finance Ministry
As of July 20, 2025, 31,555 central government employees have opted for the Unified Pension Scheme (UPS), the Finance Ministry informed Parliament. Introduced from April 1, 2025, UPS offers an assured pension payout option under the National Pension System (NPS) for central government employees covered by NPS.
Key Highlights of UPS Enrolment
Claim Status:
At least 7,253 claims have been received under UPS, with 4,978 claims processed for benefit payments as of July 20.
Extended Deadline:
Initially, the cut-off to opt for UPS was earlier, but based on representations from employees and associations, the enrolment deadline has been extended till September 30, 2025.
Eligibility:
The scheme covers central government employees who are NPS subscribers. Additionally, there are 25,756 retired government employees eligible for additional benefits under UPS. These include those who have superannuated, retired, or passed away on or before March 31, 2025, with minimum qualifying service of 10 years under the NPS.
Additional Benefits:
UPS has expanded to include retirement gratuity and death gratuity benefits. Government employees opting for UPS under NPS also remain eligible for CCS (Pension) Rules, 2021, and CCS (Extraordinary Pension) Rules, 2023 benefits in cases of death or disability during service.
Tax Benefits:
The government extends the same tax benefits to UPS as are available under the Income Tax Act, 1961 for NPS contributions.
Why UPS Matters
The UPS offers a more secure and assured pension payout for government employees, addressing concerns about pension adequacy and providing broader social security. The extension of enrolment gives employees more time to assess and decide on this pension option.
Frequently Asked Questions (FAQ)
Q1: How many government employees have opted for UPS till July 20, 2025?
31,555 central government employees have opted for the Unified Pension Scheme.
Q2: What is the last date to enrol for UPS?
The deadline to opt for UPS has been extended to September 30, 2025.
Q3: Who is eligible to opt for UPS?
Central government employees covered under NPS, including those currently in service and 25,756 retirees or deceased employees meeting service criteria as of March 31, 2025.
Q4: What benefits does UPS provide besides pension payouts?
UPS includes retirement gratuity, death gratuity, and continued eligibility for CCS (Pension) Rules and CCS (Extraordinary Pension) Rules.
Q5: Are there any tax benefits under UPS?
Yes, UPS contributors receive tax benefits similar to those under the National Pension System according to the Income Tax Act, 1961.
Published on: July 28, 2025
Published by: PAVAN
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