The Central Government has revised the procedure for eligible government employees and pensioners moving from the National Pension System (NPS) to the Old Pension Scheme (OPS). The updated guidelines specifically address cases involving the death or disability of government employees, aiming to simplify pension processing and resolve pending cases more efficiently.
On October 19, the Ministry of Finance issued a new Standard Operating Procedure (SOP), replacing the earlier guidelines released in September 2025. The revised procedure outlines how pension documents should be verified, how a new Pension Payment Order (PPO) will be issued and how records will be transferred between government departments and banks.
What Must Pensioners Do After Switching From NPS to OPS?
Eligible pensioners migrating from NPS to OPS must submit their previous Provisional Pension Payment Order (PPPO) to their bank after receiving the new PPO.
The bank will retain the old PPPO and forward the relevant copies to the concerned government authorities in accordance with the prescribed procedure. Pensioners should therefore keep their existing pension documents safe until the new PPO has been issued and the required submission process is completed.
Following these steps will help ensure that the transition to the revised pension arrangement is handled according to the applicable guidelines.
Who Will Issue the New Pension Payment Order?
Pensioners will not need to prepare the new PPO themselves. The process will be handled by the relevant government offices and pension authorities.
Under the revised procedure, the Central Pension Accounting Office (CPAO) will send copies of the existing PPPO to the concerned Pay and Accounts Office (PAO). The PAO will then obtain the employee’s service book and other required records from the relevant department.
After examining and verifying the documents, the authorities will prepare the new PPO. The document will include the employee’s Permanent Retirement Account Number (PRAN), along with the number of the previous PPPO.
How Will the New PPO Reach the Bank?
Once the necessary documents and service records have been verified, the CPAO will forward the relevant paperwork to the Centralised Pension Processing Center (CPPC) of the pensioner’s bank.
The bank will then complete the required pension payment formalities. The revised process is intended to improve coordination between the authorities involved and make the transfer of pension records more straightforward.
The updated SOP is particularly relevant to older pending cases involving death or disability, where additional documentation may be required to process pension and family benefits.
Life Certificate Rules Remain Unchanged
Despite the revised NPS-to-OPS procedure, the existing life certificate requirement remains in place. Pensioners must continue submitting their life certificates to their banks every November.
Moving from NPS to OPS does not remove this obligation. Pensioners should therefore ensure that they complete the annual verification process within the prescribed period to avoid potential disruption to pension payments.
Documents Pensioners and Families Should Keep Ready
Eligible pensioners and family members dealing with an NPS-to-OPS transition should keep their PPPO, new PPO, PRAN details and service records organised.
After the new PPO is issued, the previous PPPO must be submitted to the bank according to the prescribed procedure. Pensioners should also maintain updated bank records and remember the annual life certificate requirement.
The revised SOP aims to reduce procedural difficulties, particularly in death and disability cases. Eligible beneficiaries should follow the instructions issued by their respective pension authorities to ensure that their cases are processed correctly.
Disclaimer
This article is intended for general informational purposes only and is based on the details provided about the revised Standard Operating Procedure. It does not constitute legal, financial or pension advice. Procedures and eligibility requirements may depend on the applicable government rules and individual circumstances. Pensioners and family members should consult the official Ministry of Finance notification, CPAO guidelines or their respective pension authorities for confirmation of the latest requirements.