The Department of Pension and Pensioners’ Welfare on Tuesday notified the CCS (Implementation of UPS under NPS) Rules, 2025. Under the new rules, Central Government employees opting for the Unified Pension Scheme in the New Pension Scheme can take Voluntary Retirement Scheme (VRS) after 20 years of service, but full assured payout will be given only after 25 years of service.

Full assured payout will be available only after 25 years, while those retiring earlier will receive benefits on a pro-rata basis, the Ministry of Personnel, Public Grievances and Pensions said in a statement.

These rules inter-alia provides option to UPS subscribers for voluntary retirement from service after completion of 20 years of service. The full Assured payout under the Unified Pension Scheme is available only after completion of 25 years of qualifying service. However, on opting VRS after completion of 20 years or more service, Assured payout on prorata basis ie. year of qualifying service divided by 25 of the Assured payout shall be payable to subscriber. The payout shall be payable from the date of superannuation," the ministry added.

It said that other benefits including final withdrawal of 60% of Individual Corpus and lump sum benefit of 1/10th of Basic pay and Dearness allowance for each six-monthly period of service, retirement gratuity, leave encashment, CGEGIS benefits can be availed on retirement.

Legally wedded spouse will be granted family payout in case of death of a subscriber after taking VRS but before start of Assured payout, legally wedded spouse shall be granted family payout from the date of death of the subscriber.