The Maharashtra government has put out some rules explaining how the Revised National Pension System (RNPS) scheme will be implemented for state government employees. If you're interested in joining the RNPS, you can send in your application by December 31, 2026, according to a circular from the Maharashtra government, dated May 6, 2026.
The scheme, launched in March 2024, offers assured pension after a minimum service of 10 years. However, on retirement, Maharashtra government employees need to deposit 60% of their lump sum withdrawal amount with the state government. Other than that, the pension payable by the state government will also be reduced by the annuity amount.
The government mentioned that they will provide a detailed process for pension disbursement under RNPS in a separate announcement.
Now, let's break down the key points regarding the implementation procedure of the RNPS.
Who will benefit from RNPS?
According to the circular, RNPS is also applicable to employees of aided educational institutions, agricultural universities, and affiliated aided non-government colleges covered by NPS. It will also apply to employees of Zilla Parishads and Panchayat Samitis.
Last date to apply for RNPS
Maharashtra government employees covered under NPS can opt for the state's revised NPS scheme. For that, employees must submit their application form by December 31, 2026.
Pension benefits under RNPS
Employees retiring after at least 20 years of service will get 50% of their last-drawn salary as pension. They will also get dearness relief (DR) along with their basic pension.
Employees who complete 10 -20 years of service will get a proportionate pension based on their service length.
Minimum pension: Rs 7,500
Employees with at least 10 years of service will receive a minimum pension of Rs 7,500 per month, while those with less than 10 years of service, will not get any pension.
Family pension under RNPS
The family pension will be 60% of the pension amount. Pensioners will also get DR along with family pension.
Treatment of RNPS corpus
Employees who opt for RNPS need to deposit 60% of their lump sum withdrawal amount from their NPS corpus with the government through the Drawing and Disbursing Officer (DDO) on retirement. This amount will be credited to the Maharashtra government's account.
This rule also applies to employees who retired between March 1, 2024, and the date of this circular if they opt for RNPS.
Treatment of RNPS annuity
The remaining 40% annuity details must be provided to DDO. Pension payable by the state will be reduced by the annuity amount received from the annuity service provider.
Early withdrawal conditionIf an employee had previously withdrawn any amount from their accumulated NPS corpus, it must be repaid with 10% interest.
Otherwise, pension under the revised NPS scheme will be reduced proportionately.
Pension for employees who resign from service
Employees who resign will not get pension under this revised scheme. They will only receive normal NPS benefits.
Retirement gratuity
Employees who opt for RNPS will continue to receive retirement gratuity payments as per previous government orders.
