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Government of India launches Unified Pension Scheme under National Pension System, offering assured monthly payouts to eligible central employees from April 01, 2025.
The new UPS rules will help employees to get clarity on this guaranteed pension scheme for central employees.
UPS Scheme: The Government of India has notified rules for the Unified Pension Scheme (UPS) in its latest circular. The government has introduced an option for the central government employees to choose the Unified Pension Scheme (UPS) under the National Pension System (NPS). UPS allows them to receive an assured payout after their retirement. The UPS has become operational from April 01, 2025.
Basically, UPS is a fund-based payout system which relies on the regular and timely accumulation and investment of applicable contributions (from both the employee and the employer (the Central Government) for grant of monthly payout to the retiree.
The new rules will help employees to get clarity on this guaranteed pension scheme for central employees.
How Does UPS Different From NPS?
While NPS is market-linked with returns depending on equity and debt performance, UPS offers assured pension payout based on last drawn salary.
NPS is subject to market fluctuations, while UPS has low-risk, as pension is guaranteed.
NPS’s amount will depend on corpus accumulated through investments. UPS, on the other hand, minimum assured pension of Rs 10,000 per month after 10 years of service.
Here is a simple step-by-step guide to help Central Government employees shift from NPS to UPS (Unified Pension Scheme) online, based on the official SOP document:
Who Is Eligible For UPS?
UPS is for Central Government Employees (including civilians in Defence Services) appointed on or after 1st January 2004, who are covered under the National Pension System (NPS) and opt for UPS.
Those who are already under CCS (Pension) Rules, 2021, such as railway servants, casual/daily-rated employees, contingency staff, All India Services, contract employees, and others can’t opt for it.
The employees in service have the option to opt for UPS until October 01. The new employees joining on or after April 01, 2025 are allowed to opt for UPS within 30 days of joining.
Step-by-Step Guide: How to Shift from NPS to UPS (Online Method)
Who Can Apply?
- Central Government employees in service as of April 1, 2025
- Must be currently enrolled under NPS
- Must want to shift to the new UPS scheme offering assured pension payouts
Step 1: Visit the eNPS Portal
- Go to: https://enps.nsdl.com/eNPS/NationalPensionSystem.html
- Click on “NPS to UPS Migration” under the Unified Pension Scheme section
Step 2: Enter Your Details
- Enter your PRAN (Permanent Retirement Account Number)
- Enter your Date of Birth
- Solve the Captcha
- Click on “Verify PRAN”
Step 3: OTP Verification
- You will receive an OTP on your registered mobile number or email ID
- Enter the OTP to proceed
Step 4: Read and Accept the Declaration
- A declaration window will appear
- Read carefully and tick the box to accept
- Click on “Proceed to e-Sign”
- Note: Once submitted, this choice is final and cannot be changed
Step 5: e-Sign Using Aadhaar
- Enter your VID (Virtual ID) or Aadhaar number
- Click “Send OTP”
- You’ll receive an OTP on your Aadhaar-linked mobile number
- Enter the OTP and click “Verify OTP”
Step 6: Confirmation
- If successful, your shifting request will be submitted
- An Acknowledgement Number will be generated
- You can download the e-Signed migration form for your records
Optional: Offline Method
You can also apply offline by: Downloading Form A2 from: https://www.npscra.nsdl.co.in/ups.php
- Application through specified Forms (A1/A2).
- Verified by Head of Office → sent to DDO → PAO/CDDO → forwarded to Central Recordkeeping Agency (CRA).
- CRA allocates Permanent Retirement Account Number (PRAN).
- First contribution must be credited within 20 days of application/date of joining.
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More
September 05, 2025, 12:35 IST
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