UPS vs NPS: Special benefits offered under UPS include a switch option, tax exemptions, resignation letters, and essential retirement benefits. The government has appealed to all central government employees and retired employees covered under NPS.
Add informalnewz.com as a Preferred Source
UPS: If you are a government employee yourself or someone in your family works in a government job, this news is useful for you. Recently, the government set November 30th as the deadline for switching from NPS to the Unified Pension Scheme (UPS). Therefore, you can submit your application for UPS to the nodal officer by the deadline, either through the Central Recordkeeping Agency (CRA) system or by submitting a physical form. The Finance Ministry has provided information regarding this.
Appeal from the Government
The Ministry stated that the nodal office will process all requests according to the established process. Official information stated that special benefits under UPS include switch options, tax exemptions, resignation letters, and essential retirement benefits. All eligible central government employees and retired employees under the National Pension Scheme (NPS) are urged to submit their UPS applications on time to avail these benefits.
Facility to return to NPS as well!
Selecting the Unified Pension Scheme (UPS) option allows employees to later return to NPS if they wish to use it. The statement further stated, “The Ministry of Finance had notified the Unified Pension Scheme (UPS) for eligible Central Government employees through Notification F. No. FX-1/3/2024-PR dated January 24, 2025.”
The CRA system in the National Pension System (NPS) is the core infrastructure for centralized recordkeeping, administration, and customer service for all NPS customers. Authorized by the Pension Fund Regulatory and Development Authority (PFRDA), it is a web-based application that manages pension accounts and issues PRANs. It also serves as the operational interface for all NPS intermediaries.
How is UPS different from NPS?
Under UPS, employees with sufficient service can receive a pension equal to 50% of their average basic salary. The plan also guarantees eligible individuals a minimum monthly pension of ₹10,000 upon retirement. Subscribers to this pension scheme can make limited partial withdrawals. However, there are certain rules and this is only possible under specific circumstances.
