7th pay commission latest news: Only a few days are left for the start of the new financial year. The Integrated Pension Scheme is going to be implemented for central employees in the upcoming financial year starting from April 1.
The central government has launched the Integrated Pension Scheme as an alternative to the National Pension System (NPS). UPS will be available to those central government employees who are already enrolled in NPS and opt for this new scheme. The Finance Ministry has said that central government employees eligible under NPS now have the option to switch to the Integrated Pension Scheme within the NPS structure.
About the scheme
-Retired persons will now get 50% of their average basic salary in the last 12 months before retirement as pension, provided they have put in a minimum service of 25 years. Also, the government is increasing its contribution from 14% to 18.5%.
-At the same time, the contribution of employees will not increase. In case of unfortunate death of a pensioner, his family will receive 60% of the pension received by the employee. ₹ 10,000 per month will be received as pension on retirement after a minimum of 10 years of service.
-The provisions of UPS will apply to pre-retired employees of NPS (who have already retired). The arrears of the previous period will be paid with interest at PPF rates.
– UPS will be available as an option to employees. Existing NPS/VRS as well as future employees with NPS will have the option to join UPS. Option once chosen will be final.
– UPS is being implemented by the Central Government. It will benefit about 23 lakh central employees. If the state governments also adopt it, it can benefit more than 90 lakh government employees who are currently on NPS.
Related Article:-
- EPFO is making a big change, PF account will be identified by Aadhaar
- TDS Deduction: If more TDS is being deducted on your income, then fill Form-13 to avoid the deduction
- Post Office’s Time Deposit Scheme Gives Bumper Returns, You Can Open an Account With ₹ 1000
- ITR filing: Keep these 7 dates in mind to file income tax returns…
- New Vande Bharat: Another Vande Bharat sleeper train will run in this state, know route
