Govt extends deadline to opt for Unified Pension Scheme till November 30

The government has directed the Pension Fund Regulatory and Development Authority (PFRDA) to ensure system and regulatory preparedness.

The Finance Ministry has extended the deadline for employees, retirees and spouses of deceased retirees to exercise their option under the Unified Pension Scheme (UPS) by two months, moving the cut-off date from September 30 to November 30, 2025.

“Accordingly, it has been decided to extend the cut-off date to exercise choice for UPS by two months i.e. upto 30th November, 2025 for eligible existing employees, past retirees and legally-wedded spouse of the deceased past retirees,” an official communication from the Department of Financial Services, Finance Ministry said. The order was issued with the approval of Finance Minister Nirmala Sitharaman.

The decision follows multiple representations from stakeholders who had sought more time after the government recently introduced additional features in the scheme. As the order stated, “Various positive changes have been announced recently under UPS including the switch option, benefits on resignation, compulsory retirement, tax exemptions etc. Requests have been received from various stakeholders that some more time need to be given to employees to exercise the option in view of these changes.”

The latest extension provides flexibility to ensure wider participation in the new retirement framework, while allowing PFRDA and related systems to align with the updated features of the scheme.

The Unified Pension Scheme was operationalised on April 1, 2025. Under the Pension Fund Regulatory and Development Authority (Operationalisation of UPS under NPS) regulations. Employees, past retirees, and legally-wedded spouses of deceased retirees were initially given a three-month window till June 30, 2025, to opt for the scheme. That deadline was first extended to September 30 through an office memorandum dated July 1, 2025, before now being pushed further to November 30.

The government has directed the Pension Fund Regulatory and Development Authority (PFRDA) to ensure system and regulatory preparedness. “PFRDA is requested to carry out necessary changes including required entablements in the Central Recordkeeping Agency (CRA) systems, regulations or issue of a circular to give effect to the decision of the government in this regard,” the order said.