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Pension rules clarified: DoPPW circular details revision and excess payment norms

Upstox
By Upstox News Desk

2 min read | Updated on November 04, 2025, 10:09 IST

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SUMMARY

Circular 38/10(03)/2025-P&PW(A) dated 30/10/2025 on additional and family pension for retired central government employees highlights two key points

pension rule clarified

Once authorised or revised, a pension or family pension cannot be reduced to the pensioner’s disadvantage. | Image: Shutterstock.

The Department of Pension & Pensioners’ Welfare (DoP&PW) has clarified that once a pension or family pension is authorised or revised, it cannot be reduced to the pensioner’s disadvantage, except in cases of clerical errors.

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If such an error is discovered after two years, any reduction requires approval from the Department.

In cases where a revision results in an excess payment, the administrative Ministry will determine whether the excess can be waived. If not, the pensioner will be notified to refund the amount within two months. Failing that, the excess will be recovered in instalments from future pensions. All Ministries and Departments are required to follow these rules and inform the concerned pensioners.

According to circular 38/10(03)/2025-P&PW(A) (e 11193) (v) dated 30/10/2025, which covers additional pension and family pension for retired Central Government employees under the Central Civil Services Pension Rules 2021, the key points are:

1. Protection against reduction of pension

General rule: Once authorised or revised, a pension or family pension cannot be reduced to the pensioner’s disadvantage.
Exception: Only if a clerical error is detected.
Delayed detection: If the error is identified after two years, any downward revision requires concurrence from DoP&PW.

The administrative Ministry/Department decides whether a revision is genuinely due to a clerical error.

2. Waiver and recovery of excess payment

Excess payment: If a revision leads to an overpayment not caused by the pensioner’s misrepresentation, the administrative Ministry, in consultation with the Department of Expenditure, will decide if the excess can be waived.
Non-waiver procedure:

The pensioner/family pensioner will be served a notice to refund the excess within two months.

If not repaid, the Head of Office will recover the excess in instalments from future pension payments.

In an earlier circular, the DoPPW clarified that family pension will be paid for seven years or until the retired government employee would have turned 67, whichever is shorter. This applies regardless of whether the employee retired at 60 or a higher age, such as doctors in the Central Health Service who retire at 65.
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About The Author

Upstox
Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.

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