UPS Deadline Extended to November 30, 2025

Official Extension Announcement

The Department of Financial Services issued an official order dated September 30, 2025, extending the cut-off date for exercising the option to join the Unified Pension Scheme (UPS) under NPS from September 30 to November 30, 2025.

Key Reasons for the Extension

• Announcements of new benefits under UPS including switch option, enhanced tax exemptions, and improved family pension provisions.
• Requests from stakeholder organizations seeking more time to understand these changes.

Who Can Still Opt for UPS?

• Existing central government employees under NPS as of April 1, 2025.
• Past retirees with at least 10 years’ qualifying service (FR 56(j)).
• Legally wedded spouses of deceased past retirees.

Recent Improvements That Made Extension Necessary

1. Switch Facility

One-time option to switch from UPS back to NPS, exercisable at least one year before superannuation or three months before voluntary retirement.

2. Enhanced Tax Benefits

All tax benefits under NPS now apply to UPS, including Section 80CCD deductions and exemptions on withdrawals and annuities.

3. Improved Service Conditions

New rules provide clarity on benefit calculations, disciplinary proceedings, and resignation/compulsory retirement cases.

Low Adoption Rate Despite Benefits

Only about 1 lakh out of 23 lakh eligible employees (≈4.3%) had opted into UPS by September 2025. Preference for OPS, satisfaction with NPS flexibility, and communication gaps contributed to low uptake.

Key UPS Benefits to Consider

• Assured Pension: 50% of average last 12 months’ basic pay (25+ years) or ₹10,000 minimum after 10 years.
• Lump Sum: one-tenth of the last drawn basic pay (including DA) for every completed six-month period of qualifying service plus gratuity.
• Family Pension: 60% of subscriber’s pension for spouse with dearness relief.

What Happens If You Miss the Deadline?

Employees missing the November 30 deadline will remain in NPS permanently with no further UPS option.

How to Exercise the Option

1. Download Form A2 using the button above.
2. Submit the completed form with documents to your DDO or Head of Office.
3. Ensure submission before November 30, 2025.

Note: This is a one-time, irreversible choice. Make an informed decision well before the deadline.