The Indian government has recently approved the **Unified Pension Scheme (UPS)**, which will benefit approximately 23 lakh central government employees. This new scheme, set to be implemented from April 1, 2025, guarantees several key benefits:
1. **Guaranteed Pension**: Employees will receive a pension amounting to 50% of their average basic salary from the last 12 months of service, provided they have completed a minimum of 25 years of service.
2. **Family Pension**: In case of the pensioner's death, their family will receive 60% of the pension.
3. **Minimum Assured Pension**: A minimum pension of ₹10,000 per month will be assured for employees who have served at least 10 years.
4. **Lump-Sum Payment**: At the time of retirement, employees will receive a lump-sum amount in addition to their gratuity.
The scheme also allows current employees to choose between the existing National Pension System (NPS) and the new UPS. This change is part of the government's effort to provide better financial security and dignity to its employees upon retirement
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