- Minimum pension increased from 6,000 to 7,500 monthly under EPS 95.
- Pension and bonus payments will be directly transferred to beneficiaries bank accounts.
- Centralized Pension Payment System introduced for easy access and smooth pension disbursal.
Employees Pension Scheme (EPS 95) has undergone significant changes, especially benefiting pensioners in Telangana, with the government announcing a large update to ensure improved financial support and convenience. The revised scheme now mandates direct transfer of pension and bonus amounts into beneficiaries bank accounts, easing the payment process and enhancing transparency.
EPS 95 Pension Scheme Update 2025: Key Features and Eligibility
As per the latest reforms, the minimum pension amount under EPS 95 has been increased markedly from ₹1,000 to a much more feasible ₹7,500 per month, aiming to improve pensioners living standards. Additionally, a Cost of Living Adjustment (COLA) in the form of Dearness Allowance (DA) will now be included in these payments, reflecting inflation and ensuring pension amounts maintain their value over time.
| Feature | Details |
|---|---|
| Minimum Pension Amount | ₹7,500 per month (increased from ₹1,000) |
| Dearness Allowance (DA) | Included to adjust for inflation |
| Beneficiaries | Approximately 78 lakh pensioners nationally |
| Implementation Date | April 2025 |
| Eligibility | Minimum 10 years of service under EPFO |
| Payment Method | Direct credit to bank accounts via Centralized Pension Payment System (CPPS) |
Eligibility Criteria Explained
- Employee must have contributed to EPFO under EPS 95.
- A minimum of 10 years of pensionable service is mandatory.
- Minimum age for pension withdrawal is 58 years, with provisions for early withdrawal at 50 with reduced benefits.
- Currently enrolled pensioners continue to receive benefits without additional application requirements.
Benefits of New EPS 95 Pension Scheme Revisions
The recent EPS 95 pension scheme updates provide several advantages for beneficiaries:
- Enhanced Financial Security: The increase to ₹7,500 per month helps meet basic living expenses effectively.
- Inflation Protection: Monthly pension will adjust in line with inflation via DA.
- Convenient Pension Disbursal: Centralized Pension Payment System (CPPS) ensures seamless pension credit directly to bank accounts.
- Reduced Dependence: Improved pension means less economic dependence on family members for elderly citizens.
- Access to Health Benefits: Higher pension amounts enable better healthcare and related services.
Centralized Pension Payment System (CPPS) Overview
To enhance pension distribution efficiency, CPPS facilitates:
- Direct deposits to beneficiaries bank accounts regardless of bank branch location.
- Transfer or change of banks without payment disruptions.
- Simplified withdrawal processes nationwide.
Supreme Court Approval and Impact
In April 2025, Supreme Court sanctioned these significant EPS 95 changes. Key directives included immediate implementation of revised minimum pension and inclusion of DA every six months. This milestone ensures EPS 95 pensioners gain improved social security and dignified retirement life.