How can central govt employees switch from NPS to UPS before deadline? Finance ministry answers

The Unified Pension Scheme (UPS) offers an option of assured pension to central government employees who are currently covered under the National Pension System (NPS). However, to avail of this option, employees are required to formally apply for switching from NPS to UPS before the November 30 deadline.

What the Finance Ministry says

As the deadline to exercise the option to switch to UPS approaches, the Finance Ministry said that all concerned NPS subscribers can follow any of the following steps to opt for the assured pension scheme:

• Submit their UPS request online through the CRA system; or

• Submit a duly filled physical application form to their respective Nodal Office on or before 30.11.2025.

Once the employee applies for the switch, the Nodal Offices will process all requests in accordance with the prescribed procedure.

According to the ministry, key benefits under UPS include the switch option, tax exemptions, resignation and compulsory retirement benefits, and many more.

"All eligible employees and past retirees of the Central Government under NPS are urged to submit their UPS requests on time to avail these benefits," the ministry said.

"By opting for UPS, employees retain the flexibility to switch back to NPS at a later date, should they choose to exercise it," it added.

Can employees switch back to NPS?

Yes. Employees will have a one-time option to switch from UPS to NPS, provided they opted for UPS within the stipulated timelines.

According to a release by the Ministry of Personnel, Public Grievances & Pensions dated September 18, 2025, employees have the following options:

• Eligible employees under UPS can switch to NPS only once, and cannot switch back to UPS.

• The switch can be exercised at least one year before superannuation or three months before VRS.

• The switch facility will not be allowed in case of removal, dismissal or compulsory retirement as a penalty or for cases where disciplinary proceedings are ongoing or contemplated.

• Those who do not opt for the switch within the stipulated time will continue under UPS.

• Subscriber on opting NPS will get NPS benefits and the Government's differential contribution (4%) at default investment pattern will be worked out and shall be credited to the individual's NPS corpus at the time of exit.

• This switch option would provide more flexibility to subscriber in opting UPS and also help them in planning their post-retirement financial security.

The last date to switch from NPS to UPS is November 30, 2025.