BCI rules do not permit advertisement or solicitation by advocates or their firms. This website is for information only. See Disclaimer

๐”๐ง๐ข๐Ÿ๐ข๐ž๐ ๐๐ž๐ง๐ฌ๐ข๐จ๐ง ๐’๐œ๐ก๐ž๐ฆ๐ž (๐”๐๐’) 2025

Featured in
download

Indian Ministry of Finance (Department of Financial Services) on January 24, 2025, has introduced the Unified Pension Scheme (UPS), 2025, effective from April 01, 2025. UPS will ensure that Central Government employees receive a guaranteed pension, something NPS never promised.

๐Š๐ž๐ฒ ๐‡๐ข๐ ๐ก๐ฅ๐ข๐ ๐ก๐ญ๐ฌ ๐จ๐Ÿ ๐ญ๐ก๐ž ๐’๐œ๐ก๐ž๐ฆ๐ž

๐„๐ฅ๐ข๐ ๐ข๐›๐ข๐ฅ๐ข๐ญ๐ฒ: Central Government Employees under NPS opting for this scheme, with assured payouts in cases of superannuation (10+ years of service), voluntary retirement (25+ years), or retirements under FR 56(j). The scheme shall not be applicable in cases of dismissal, removal, or resignation.

๐๐š๐ฒ๐จ๐ฎ๐ญ ๐๐ž๐ง๐ž๐Ÿ๐ข๐ญ๐ฌ: Assured payouts at 50% of the average basic pay for 25+ years of service, subject to a minimum monthly payout of โ‚น10,000 after qualifying service. Proportionate payouts are available for shorter service periods and voluntary retirement payout will start at the normal superannuation age.

๐ƒ๐ฎ๐š๐ฅ ๐‚๐จ๐ซ๐ฉ๐ฎ๐ฌ ๐Œ๐จ๐๐ž๐ฅ: Employee and Government contribute 10% each of basic pay + DA, with an additional 8.5% from the Government towards a pool corpus. Investment options are available for individual corpus, while the Government manages the pool corpus.

๐Ž๐ฉ๐ž๐ซ๐š๐ญ๐ข๐จ๐ง: Existing NPS corpus will be transferred to the UPS upon opting in. A benchmark corpus will be determined to ensure sufficient funds for assured payouts. At retirement, employees must transfer the benchmark corpus value to the pool corpus. Any surplus remains with the employee, while deficits require additional contributions.

๐€๐๐๐ข๐ญ๐ข๐จ๐ง๐š๐ฅ ๐…๐ž๐š๐ญ๐ฎ๐ซ๐ž๐ฌ:

๐…๐š๐ฆ๐ข๐ฅ๐ฒ & ๐€๐๐๐ข๐ญ๐ข๐จ๐ง๐š๐ฅ ๐๐ž๐ง๐ž๐Ÿ๐ข๐ญ๐ฌ: 60% of the assured payout is provided to the spouse in case of the payout holderโ€™s demise.

๐๐š๐ฌ๐ญ ๐‘๐ž๐ญ๐ข๐ซ๐ž๐ž๐ฌ: Past retirees under NPS can also benefit, with arrears and interest adjustments made for earlier withdrawals or annuities.

The scheme is operational from April 2025, and detailed guidelines will be issued by the Pension Fund Regulatory and Development Authority (PFRDA). This initiative reinforces the Governmentโ€™s commitment to financial security for its employees while offering flexibility and clarity in pension-related matters.

For insights or expert guidance on the regulatory implications of this scheme, feel free to reach out to Regstreet Law Advisors at info@regstreetlaw.com.

Copy of the notification is enclosed.

Latest RegPost

๐ˆ๐ง๐๐ข๐š๐ง ๐’๐ž๐œ๐ฎ๐ซ๐ข๐ญ๐ข๐ž๐ฌ ๐‹๐š๐ฐ โ€“ ๐Š๐ž๐ฒ ๐’๐ฎ๐ฉ๐ซ๐ž๐ฆ๐ž ๐‚๐จ๐ฎ๐ซ๐ญ ๐š๐ง๐ ๐‡๐ข๐ ๐ก ๐‚๐จ๐ฎ๐ซ๐ญ ๐‰๐ฎ๐๐ ๐ฆ๐ž๐ง๐ญ๐ฌ ๐Ÿ๐จ๐ซ 2024

Read More

๐๐ž๐ฐ ๐๐š๐ง๐ค ๐‹๐ข๐œ๐ž๐ง๐ฌ๐ž๐ฌ ๐ข๐ง ๐ˆ๐ง๐๐ข๐š: ๐‘๐๐ˆ ๐‘๐ž๐œ๐จ๐ง๐ฌ๐ญ๐ข๐ญ๐ฎ๐ญ๐ž๐ฌ ๐’๐ญ๐š๐ง๐๐ข๐ง๐  ๐„๐ฑ๐ญ๐ž๐ซ๐ง๐š๐ฅ ๐€๐๐ฏ๐ข๐ฌ๐จ๐ซ๐ฒ ๐‚๐จ๐ฆ๐ฆ๐ข๐ญ๐ญ๐ž๐ž

Read More

๐’๐„๐๐ˆ ๐’๐ž๐ž๐ค๐ฌ ๐…๐ž๐ž๐๐›๐š๐œ๐ค ๐จ๐ง ๐’๐จ๐œ๐ข๐š๐ฅ ๐’๐ญ๐จ๐œ๐ค ๐„๐ฑ๐œ๐ก๐š๐ง๐ ๐ž ๐…๐ซ๐š๐ฆ๐ž๐ฐ๐จ๐ซ๐ค ๐‘๐ž๐ฏ๐ข๐ž๐ฐ

Read More

๐‘๐ž๐ ๐ฌ๐ญ๐ซ๐ž๐ž๐ญ ๐‹๐š๐ฐ ๐€๐๐ฏ๐ข๐ฌ๐จ๐ซ๐ฌ ๐š๐ง๐ ๐’๐ฎ๐ฆ๐ข๐ญ ๐€๐ ๐ซ๐š๐ฐ๐š๐ฅ ๐‘๐ž๐œ๐จ๐ ๐ง๐ข๐ณ๐ž๐ ๐ข๐ง ๐‹๐ž๐ ๐š๐ฅ ๐Ÿ“๐ŸŽ๐ŸŽ ๐‘๐š๐ง๐ค๐ข๐ง๐ ๐ฌ

Read More

Cateories