Big Update On Old Pension Scheme in India: Check Now

Big Update On Old Pension Scheme in India: Check Now

Introduction: The Indian government has announced the reinstatement of the Old Pension Scheme (OPS), giving all government employees the option to choose it over the New Pension Scheme. The OPS is being implemented in various states, including Rajasthan, Punjab, and Chhattisgarh. In this article, we will explore the advantages of the OPS and how eligible employees can opt for it before the deadline.

Advantages of the Old Pension Scheme:

1. Based on Last Drawn Salary: The biggest advantage of the OPS is that it is based on the last drawn salary of the employee. This means that the pension amount is calculated as a percentage of the final salary, ensuring a secure retirement income.
2. Inflation-Linked: The OPS is inflation-linked, meaning that the Dearness Allowance (DA) increases with inflation. This ensures that the pension amount keeps up with the rising cost of living.
3. Increase with Pay Commission: The OPS also increases with the implementation of a new pay commission. This ensures that the pension amount keeps pace with the changing economic scenario.

How to Opt for the Old Pension Scheme:

All government employees are eligible to choose the OPS over the New Pension Scheme until 31 August 2023. If an employee does not select the OPS option by the deadline, they will be enrolled in the New Pension Yojana. To opt for the OPS, employees need to follow these steps:

1. Visit the official website of the concerned authority.
2. Fill in the required details, such as name, employee ID, and date of birth.
3. Choose the option for the Old Pension Scheme.
4. Submit the form.

FAQs

1. What is the Old Pension Scheme?
   • The Old Pension Scheme (OPS) is a pension scheme that was in place for government employees until it was abolished in 2004. It is based on the last drawn salary of the employee and is inflation-linked.
2. What are the advantages of the Old Pension Scheme?
   • The advantages of the OPS include a pension amount based on the last drawn salary, inflation-linked Dearness Allowance (DA), and an increase in pension with the implementation of a new pay commission.
3. How can government employees opt for the Old Pension Scheme?
   • Government employees can opt for the OPS until 31 August 2023 by visiting the official website of the concerned authority, filling in the required details, and choosing the option for the Old Pension Scheme.
4. What happens if a government employee does not opt for the Old Pension Scheme by the deadline?
   • If an employee does not select the OPS option by the deadline, they will be enrolled in the New Pension Yojana.
5. In which states has the Old Pension Scheme been reinstated?
   • The OPS has been reinstated in various states, including Rajasthan, Punjab, and Chhattisgarh. It may be implemented in other states as well.