UPS Deadline : Big news for everyone. The deadline for switching to the Unified Pension Scheme (UPS) has been set for November 30th, leading to a surge in application activity among eligible government employees. The Finance Ministry has clarified that employees who wish to switch from the NPS to the UPS can complete the process either through the Central Recordkeeping Agency (CRA) system or by submitting physical forms. According to the ministry, nodal officers will process all requests within the established guidelines to ensure that all eligible individuals receive the scheme’s benefits in a timely manner.
Switch option and tax benefits are attracting
An official statement issued by the government said that the main attractions of UPS include switch option, tax exemption, post-resignation benefits and mandatory retirement benefits. This is the reason why current and former employees enrolled in NPS are showing great interest in this scheme.
The Finance Ministry said that after the notification of 24 January 2025, awareness has been spread on a large scale about this scheme, so that no eligible person is deprived of the benefits. The special thing is that even after choosing UPS, employees can return to NPS again in future if they wish.
CRA system provides a convenient process
CRA is a key pillar of the National Pension System, serving as the focal point for recordkeeping, administration, and customer service for millions of subscribers. Authorized by the Pension Fund Regulatory and Development Authority (PFRDA), this platform is completely web-based, encompassing pension account management, PRAN number issuance, and the operation of various intermediaries.
The process of switching to UPS has been simplified through this system, enabling employees to apply without any technical hurdles. According to the ministry, this technical infrastructure provides timely and accurate data, facilitating smooth completion of pension-related formalities.
The Unified Pension Scheme’s biggest advantage is its pension formula, which provides employees with sufficient service with a monthly pension equal to 50% of their average basic salary. The guaranteed minimum Rs 10,000 per month makes it even more attractive. The scheme also offers limited partial withdrawals, although this will only apply under special circumstances. According to experts, this scheme strengthens financial security after retirement and assures employees of a stable income. With the deadline approaching, the government has again urged eligible employees to ensure benefits by applying on time.