It was noted that the Old Pension Scheme (OPS) will definitely have a larger present value of pension payouts compared to the NPS. Suppose pension payouts equal to OPS are funded with a contributory scheme (‘funded OPS’) having higher government contribution and no employee input. We can now compare OPS and NPS, as now OPS is being represented by the funded OPS; we have two baskets of apples to compare. This is the one-time amount required to top up the NPS corpus if it is to be converted to a funded OPS. Using NPS Corpus data, government contribution to NPS was estimated at ₹2,732 crore (Rajasthan) and ₹1,060 crore (Chhattisgarh) for 2021-22.

Source: The Hindu June 01, 2022 07:24 UTC