CCS (Pension) Rules, 2021 | CSS ADDA

CCS (Pension) Rules, 2021 — Study Notes

Central Civil Services (Pension) Rules, 2021 · CSS ADDA Promotion Exams Portal · Notified 20.12.2021

Chapter I : Preliminary — Rules 1 to 4

Total Rules

Chapters

Forms

Formats

2021

Notified Year

Rule 1 — Short Title & Commencement

📋These rules may be called the Central Civil Services (Pension) Rules, 2021.
📅They come into force from the date of publication in the Official Gazette — i.e. 20th December, 2021.

Rule 2 — Application

✅These rules apply to Government servants appointed on or before 31st December, 2003, including civilian GS in Defence Services, appointed substantively to civil services/posts borne on pensionable establishments.

📌 Why 31st December, 2003 Is the Cut-Off

The National Pension System (NPS) was introduced for Central Government employees joining service from 1st January, 2004 onwards — replacing the old Defined Benefit Pension Scheme. So: GS appointed on or before 31.12.2003 → governed by these CCS (Pension) Rules, 2021 (the defined benefit scheme). GS appointed from 1.1.2004 onwards → governed by the NPS (Tier I mandatory, Tier II voluntary). A "pensionable establishment" is an establishment that has a non-contributory pension scheme — i.e., the Government bears the full pension liability without requiring employee contributions. Establishments having only CPF (Contributory Provident Fund) schemes are excluded.

Persons to Whom These Rules Do NOT Apply

🚂Railway servants
👷Persons in casual and daily rated employment
💵Persons paid from contingencies
🏦Persons entitled to the benefit of a Contributory Provident Fund
🏛️Members of All India Services
🌐Persons locally recruited for service in diplomatic, consular or other Indian establishments in foreign countries
📝Persons employed on contract — except when the contract provides otherwise
⚖️Persons whose terms and conditions of service are regulated by or under the provisions of the Constitution or any other law

Special Applicability — Explanation to Rule 2

Induction Trainees (pre-2004)

GS put on induction training on or before 31.12.2003, followed by regular appointment after 31.12.2003 — provided training was essential for appointment, GS received salary/stipend during training, and training period was eligible as qualifying service.

Transfer from Other Pension Schemes

GS initially appointed on or before 31.12.2003 in a Central Govt establishment with a different pension scheme, or in a State Govt/autonomous body with a similar non-contributory pension scheme, and subsequently appointed after 31.12.2003 in a Central Govt establishment covered by these rules.

Post-2003 Appointees (Special Orders)

GS appointed after 31.12.2003 who fulfil conditions for coverage under these rules in accordance with any special or general order issued by Government.

Casual Labourers with Temporary Status

Persons regularised after 31.12.2003 but conferred temporary status on or before 31.12.2003 under the "Casual Labourers Scheme, 1993" — with uninterrupted service from temporary status to regular appointment.

NPS Employees — Death/Invalidation

GS appointed after 31.12.2003 covered by NPS Rules, 2021 — eligible for Invalid Pension and Family Pension on death/invalidation, if the GS exercised the relevant option under NPS Rules or the default option applies.

Temporary GS (pre-2004) — Not Substantively Appointed

GS appointed temporarily on or before 31.12.2003 who retired before substantive appointment — benefits payable to the extent provided in CCS (Temporary Service) Rules, 1965.

Rule 3 — Definitions

26 defined terms. Key definitions for exam preparation:

Term	Meaning
3(a)📋 Accounts Officer	An officer, whatever his official designation, who maintains the accounts of a Ministry, Department or Office of the Central Government or Union territory — includes an Accountant-General entrusted with maintaining accounts of the Central Government or Union territory.
3(b)🏠 Allottee	A Government servant to whom Government accommodation has been allotted on payment of licence fee or otherwise.
3(c)📊 Average Emoluments	Average emoluments as determined in accordance with Rule 32. 📌 Rule 32 — What Average Emoluments Means Average Emoluments = average of emoluments drawn during the last 10 months of service. If the GS was on non-medical EOL or under suspension (not counting as service) during the last 10 months, that period is disregarded and an equal period before the 10 months is included. A month = 30 days. Earned increments not actually drawn (but not withheld) are included. Notional pay from retrospective revision is also included. Fractions of months are calculated on the basis of actual days divided by 30, irrespective of the number of days in that calendar month.
3(d)💻 Bhavishya	An online system for sanction of retirement benefits and tracking of sanction and payment of pension by the Government servant and the authorities concerned.
3(e)👶 Child	A son or daughter of the Government servant who is eligible to receive death gratuity under Rule 45 or family pension under Rule 50.
3(f)📈 Dearness Relief	Dearness Relief on Pension and Family Pension as specified in Rule 52. 📌 Rule 52 — Dearness Relief (Key Points) DR is granted at rates specified by the Central Government from time to time to compensate for price rise. Re-employed pensioners generally do not receive DR during re-employment — except when they were non-Group-A, pay was fixed at minimum, and the entire pension was ignored in pay fixation. Family pensioners continue to receive DR even if employed. DR is also payable on additional pension (after age 80) and additional family pension (after age 80). DR is expressly excluded from the definitions of "pension" and "family pension" in Rule 3 to clarify it is a separate add-on.
3(g)🎖️ Defence Service	Services under the Government of India in the Ministry of Defence including Defence Accounts Department, paid out of Civil Estimates of Ministry of Defence — not subject to the Air Force Act, Army Act or Navy Act.
3(h)💰 Emoluments	Emoluments as defined in Rule 31. 📌 Rule 31 — What Emoluments Means Emoluments = basic pay as defined in FR 9(21)(a)(i) which the GS was receiving immediately before retirement or on the date of death. Also includes Non-Practising Allowance for medical officers, and any stagnation increment. Pay during deputation to State Govt or on foreign service does not count — only the pay the GS would have drawn under Central Government counts. Notional pay from retrospective revision (pay scale revision, retrospective promotion, court order) is treated as emoluments.
3(i)👨‍👩‍👧 Family Pension	Family pension admissible under Rule 50 — does not include Dearness Relief. 📌 Rule 50 — Family Pension Rates at a Glance Normal rate: 30% of pay (min ₹9,000/month, max ₹75,000/month). Enhanced rate: 50% of pay (min ₹9,000/month, max ₹1,25,000/month) — for 10 years from death (death in service) or 7 years/until age 67 whichever is less (death after retirement). "Pay" for family pension = emoluments (Rule 31) or average emoluments (Rule 32), whichever is more. Dearness Relief is payable on top of family pension under Rule 52 — it is expressly excluded from the definition of family pension to clarify it is an add-on.
3(j)🌐 Foreign Service	Service in which a Government servant receives his pay with the sanction of the Government from any source other than the Consolidated Fund of India or the Consolidated Fund of a State or Union Territory.
3(m)🏛️ Government	Means the Central Government.
3(n)💳 Government Dues	Dues as defined in Rule 67. 📌 Rule 67 — Government Dues (Summary) Includes: (i) Arrears of licence fee, damages, electricity/water/PNG charges for Government accommodation; (ii) Balance of house building advance, conveyance advance, or any other advance; (iii) Overpayment of pay/allowances/leave salary; (iv) Arrears of income tax deductible at source. Only these specific Government dues may be adjusted from retirement gratuity — no other dues can be recovered from gratuity.
3(o)🎁 Gratuity	Includes: (i) Service gratuity (Rule 44); (ii) Retirement/death gratuity (Rule 45); (iii) Residuary gratuity (Rule 45). 📌 Three Types of Gratuity Explained (i) Service Gratuity (Rule 44): Payable when QS < 10 years — half month's emoluments per completed 6-monthly period of QS. No pension admissible; only this gratuity. (ii) Retirement Gratuity (Rule 45): One-quarter of emoluments per completed 6-monthly period, max 16.5 times emoluments, cap ₹20 lakh — payable when QS ≥ 5 years. Death Gratuity (Rule 45): 2x to 33x emoluments depending on QS slab, cap ₹20 lakh — paid to family on death of GS in service. (iii) Residuary Gratuity (Rule 45): Paid if GS dies within 5 years of retirement and total benefits received are less than 12x emoluments — the deficit amount is paid as residuary gratuity to the family.
3(p)🏛️ Head of Department	Authority specified in Schedule I to the Delegation of Financial Powers Rules, 1978.
3(q)🏢 Head of Office	A Gazetted Officer declared as such under Rule 14 of the Delegation of Financial Powers Rules, 1978.
3(r)🏦 Local Fund	A fund administered by a body which comes under the control of the Government and over whose expenditure the Government retains complete and direct control.
3(s)👦 Minor	A person who has not completed the age of 18 years.
3(t)📜 Pension	Includes gratuity — except when the term pension is used in contradistinction to gratuity. Does not include Dearness Relief.
3(u)🏦 Pension Disbursing Authority	(i) Banks (selected in consultation with RBI); or (ii) Post Office; or (iii) Treasury including sub-treasury; or (iv) Accounts Officer.
3(v)📄 Pension Payment Order	Includes e-Pension Payment Order.
3(w)📊 Qualifying Service	Service rendered while on duty or otherwise which shall be taken into account for the purpose of pensions and gratuities admissible under these rules.
3(x)🎯 Retirement Benefits	Includes pension or service gratuity, and retirement gratuity, where admissible.
3(y)📚 Service Book	Includes service roll, if any.
3(z)🏦 Treasury	Includes a Sub-Treasury.

📖 Note on Undefined Terms

ℹ️Words not defined herein but defined in the Fundamental Rules, 1922 shall have the meanings assigned in those rules.

Rule 4 — Transfer from Non-Applicable Services

🔄A GS permanently transferred to a service/post covered by these rules from one not covered becomes subject to these rules.
📋Option to retain old pension rules: Within 6 months of the transfer order (or 6 months from return from leave, whichever is later), the GS may elect to be governed by the pension rules applicable before transfer.
✍️Option must be exercised in writing and communicated to the transfer authority.
🔒The option, once exercised, is final.

⚠️Key Exam Point: The cut-off date 31st December, 2003 is critical — it divides the old pension scheme (CCS Pension Rules) from NPS (New Pension System).

Chapter II : General Conditions — Rules 5 to 10

Rule 5 — Claims to Pension or Family Pension

📋Any claim to pension or family pension shall be regulated by the provisions in force at the time when a GS retires, is retired, is discharged, is allowed to resign, or dies.
📅The day of retirement/discharge/resignation is treated as the last completed working day. The date of death is also treated as a completed working day.

📌 Why This Rule Matters — Temporal Protection

Rule 5 establishes the date-of-retirement principle: the version of pension rules applicable is determined at the moment the cause of entitlement arises (retirement/discharge/death). This protects a GS from retrospective adverse changes. If rules are liberalised after retirement, a separate government order or Rule 66 revision is needed to extend benefits to existing retirees. The day of retirement/discharge is treated as the last completed working day; the date of death is also treated as a completed working day for pension purposes.

📌 Proviso

ℹ️If the GS was absent on leave or under suspension immediately before retirement/death, the day of retirement/death shall be part of such leave/absence/suspension.

Rule 6 — Limitation on Number of Pensions

🚫

Core Principle

A GS shall not earn two pensions in the same service/post at the same time or by the same continuous service.

🔄

Re-Employment

A re-employed pensioner is not entitled to separate pension/gratuity for re-employment period (except under Rules 19 & 20).

✅ Exception — Autonomous Body / PSU Employees

✅A GS previously in an autonomous body or PSU, subsequently appointed in Government (with proper permission) on or before 31.12.2003, is eligible for pension for Government service in addition to pension from the autonomous body/PSU.
⚠️Cap on total gratuity: Combined gratuity shall not exceed the amount admissible had the entire service been under Government.

Rule 7 — Pension Subject to Future Good Conduct

🔑Future good conduct is an implied condition of every grant of pension.
⚖️The Appointing Authority may withhold or withdraw a pension or part thereof — whether permanently or for a specified period — if the pensioner is convicted of a serious crime or found guilty of grave misconduct.
🛡️Safeguard: Amount withheld/withdrawn shall not be reduced below the minimum pension under Rule 44.

📌 Rule 44 — Minimum Pension Amount

The minimum pension under Rule 44 is ₹9,000 per month. This means that regardless of the gravity of misconduct or the terms of any withholding/withdrawal order under Rule 7, the pensioner shall always receive at least ₹9,000/month. This safeguard cannot be overridden by any order — it is an absolute floor. The same ₹9,000/month minimum applies to compassionate allowance (Rule 41) and compulsory retirement pension (Rule 40).

Process Under Rule 7

Conviction by Court of Law

Action taken in the light of the judgment of the court relating to such conviction.

Grave Misconduct (No Court Conviction)

Authority shall serve notice specifying action proposed and grounds — calling upon the pensioner to submit a representation within 15 days of receipt of notice (extendable by further 15 days). Authority must take into consideration the representation before passing any order.

Intelligence/Security Organisation — Publication Restrictions

GS who worked in intelligence/security organisations (Second Schedule to RTI Act, 2005) shall not, without prior clearance from the Head of Organisation, make any publication after retirement relating to the domain of the organisation or sensitive information. Must give undertaking in Format 1. Failure = grave misconduct.

UPSC Consultation & Appeal

🏛️Where the authority competent to pass an order is the President, the UPSC shall be consulted before any order is passed.
⚖️An appeal against an order by any authority other than the President shall lie to the President — in consultation with UPSC.

📌 UPSC Consultation — When Required

UPSC consultation is mandatory when: (a) the President is the authority passing an order under Rule 7 (withholding/withdrawing pension); (b) an appeal against an order of any other authority is decided by the President; (c) under Rule 8, where President orders action on pension/gratuity after departmental/judicial proceedings; (d) under Rule 40, where compulsory retirement pension is sanctioned at less than full superannuation rate. UPSC consultation is NOT required when a subordinate appointing authority passes the initial order — but that order is always subject to the appeal mechanism described here.

Rule 8 — Power to Withhold or Withdraw Pension

⚖️The President's Power: The President may withhold pension/gratuity (full/part), withdraw pension (permanently or for a period), and order recovery of pecuniary loss — if in departmental or judicial proceedings, the pensioner is found guilty of grave misconduct or negligence during service. UPSC must be consulted. Pension cannot be reduced below minimum under Rule 44.

📌 Rule 44 Minimum (₹9,000/month) + UPSC Consultation Under Rule 8

Rule 44 minimum: No withholding, withdrawal, or reduction under Rule 8 can bring the pension below ₹9,000 per month — the universal minimum pension floor. UPSC consultation: Before any final order is passed by the President (withholding/withdrawing pension/gratuity or ordering recovery), the UPSC must be consulted. This applies to both pension and gratuity. However, the Accounts Officer may provisionally authorise the maximum pension admissible while proceedings are pending — no UPSC consultation is needed at the provisional stage. UPSC is consulted only before the final order is passed.

📌 "Misconduct" & "Negligence" — What These Mean in Rule 8

"Misconduct" means any act done or omitted to be done by the pensioner during the period of service (including re-employment after retirement) which was in violation of any provision of the CCS (Conduct) Rules, 1964 for which action under CCS (CCA) Rules, 1965 could be taken during service. Grounds for action: (i) any corrupt practices during service; (ii) any misconduct whether in relation to performance of official duty or otherwise — including misconduct resulting in pecuniary loss to Government or otherwise. "Civil proceedings" under Rule 8 means proceedings in respect of a civil suit filed by the Government only — a private party's suit against the pensioner does not invoke Rule 8. Recovery cap: Any recovery ordered shall not ordinarily exceed one-third of the pension admissible on the date of retirement.

Three Scenarios — Departmental Proceedings

📋

Scenario A — Instituted While in Service

Proceedings continue after retirement as if GS continued in service. Authority submits findings to President for final decision.

⚠️

Scenario B — Instituted After Retirement

Only with President's sanction (Format 2); only for events within 4 years before institution; conducted by authority & at place directed by President. Charges via Format 3.

🔒

Scenario C — Under Investigation (Not Instituted)

Proceedings contemplated but not instituted till retirement — full pension & gratuity to be authorised on retirement. Post-retirement institution subject to Scenario B conditions.

Provisional Pension

Provisional Pension = Maximum Pension Admissible

Based on qualifying service up to date of retirement

✅Provisional pension from the day following retirement until final orders. No gratuity until conclusion of proceedings.
💰Recovery of pecuniary loss shall not ordinarily exceed one-third of the pension admissible on the date of retirement.
✅No recovery if final pension is less than provisional pension or pension is reduced/withheld.

Rule 9 — Commercial Employment After Retirement

A pensioner who was a member of Central Service Group 'A' and wishes to accept any commercial employment within 1 year of retirement must obtain previous sanction of the Government by submitting an application in Form 1.

📌 Why Only Group A — Rationale

The 1-year cooling-off period applies only to Group A (gazetted) officers because they are the ones who: (a) made sensitive policy decisions; (b) had access to confidential government information; (c) dealt with private sector entities in a regulatory/supervisory capacity. Group B and C employees generally do not hold positions that create a conflict of interest post-retirement. The "date of retirement" for a re-employed GS means the date on which he finally ceases to be re-employed — so the 1-year period starts from the end of re-employment, not from the original retirement date. Applications are considered per Government of India (Transaction of Business) Rules, 1961. A Form 2 checklist is maintained by the Ministry/Department to ensure all aspects receive attention.

1 Year

Cooling-Off Period

Group A

Applicable To

Form 1

Application Form

30 Days

Representation Period

⚠️Penalty for Violation: If a pensioner takes up commercial employment within 1 year without permission or breaches any condition, the Government may declare that the pensioner shall not be entitled to the whole or part of the pension for such period as specified — after giving opportunity to show cause.

Rule 10 — Employment Under a Government Outside India

🌐A Group 'A' pensioner wishing to accept employment under any Government outside India must obtain previous permission of the Central Government.
⛔If accepted without permission — no pension payable for the period of such employment or such longer period as Government may direct.

Chapter III : Qualifying Service — Rules 11 to 30

Rule 11 — Commencement of Qualifying Service

📅Qualifying service commences from the date the GS takes charge of the post to which he is first appointed — substantively, in an officiating capacity, or in a temporary capacity.

📌 Provisos

ℹ️Officiating or temporary service counts only if followed without interruption by substantive appointment.
⛔Service rendered before attaining the age of 18 years shall not count — except for military service under Rule 20.

📌 Rule 20 — Why Military Service Is Excepted

Rule 20 provides for counting of military service rendered before civil employment as qualifying service — subject to the GS ceasing to draw military pension and refunding the pension drawn, commuted value, and gratuity. The exception for pre-18 service in the context of military service exists because persons can join the armed forces below age 18. Had this exception not been carved out, a soldier who joined at age 17 and later joined civil service would lose that early military service entirely. The exception ensures fair counting of such early military service.

Rule 12 — Conditions for Qualifying Service

✅Service qualifies only if duties and pay are regulated by the Government and paid from the Consolidated Fund of India or a Local Fund administered by that Government.

📌 Why "Consolidated Fund of India" Matters

The Consolidated Fund of India (CFI) is the main account of the Central Government — all revenues received, all loans raised, and all moneys received in repayment of loans form part of it (Article 266 of the Constitution). Salary paid from the CFI = "Government service" for pension purposes. Salary paid from any other source (e.g., from a local fund, project fund, or a body not having Government control) may or may not qualify — it depends on whether the body is specifically covered. This is why service in PSUs (paid from PSU funds, not CFI) does NOT count as qualifying service under Rule 14, while service in a Local Fund administered by the Government does count under Rule 12.

Rule 13 — Service in State Government

🏛️A GS belonging to a State Government (appointed on or before 31.12.2003 in a pensionable establishment) who is permanently transferred to Central Government — continuous service under State Government (officiating, temporary or substantive) shall qualify.
💰Pension liability borne by Central Government. No recovery from State Government.

Rule 14 — Service in Autonomous Bodies

🏢Service in an autonomous body (with non-contributory pension scheme) counts as qualifying service — provided the GS is not drawing a separate pension from the body and the body discharges pension liability by paying a lump sum.
⛔Service in a PSU (including nationalised bank) shall NOT count as qualifying service.

Rule 15 — Casual Labourers with Temporary Status

👷50% of the service rendered in "temporary status" capacity — under the Casual Labourers Scheme, 1993 — shall count as qualifying service.

Rule 16 — Service on Probation

✅Service on probation against a post, if followed by confirmation in the same or another post, shall qualify.

Rule 17 — Service as Apprentice

⛔Service as an apprentice shall not qualify.
✅Exception: Subordinate Accounts Service apprentice in the Indian Audit and Accounts Department or the Defence Accounts Department.

Rule 18 — Service on Contract

📝Contract service counts as qualifying service if the GS was subsequently appointed (on or before 31.12.2003) without interruption of duty — provided he refunded the Government contribution in the CPF with interest and other compensation.

Rule 19 — Counting of Pre-Retirement Civil Service (Re-employed GS)

🔄A GS who retired on compensation/invalid pension or gratuity, was re-employed on or before 31.12.2003, and ceased to draw pension and refunded pension drawn, commuted value, and retirement gratuity — shall count the former service as qualifying service.
📅Refund in monthly instalments not exceeding 36. Right to count revives only when whole amount is refunded.

Rule 20 — Counting of Military Service

🎖️Military service before civil employment (re-employed on or before 31.12.2003) counts as qualifying service if the GS ceased to draw military pension and refunded all amounts.
⛔Military service rendered after 31.12.2003 — GS continues to draw military pension and is covered by NPS rules on re-employment.

Rule 21 — Leave

Type of Leave	Counts as QS?
Leave for which leave salary is payable	✅ Yes
EOL on Medical Certificate	✅ Yes
EOL — Civil commotion or Higher scientific/technical studies	✅ Yes — if appointing authority allows at time of granting
Other EOL	⛔ No — unless definite entry in service book. If no entry by 6 months before superannuation, shall be treated as QS.

Rule 22 — Training

✅Departmental training before regular appointment to a Group C post (with pay/stipend) shall count as qualifying service.

Rule 23 — Suspension

Outcome	Counts as QS?
Fully exonerated or only minor penalty and suspension held wholly unjustified	✅ Automatically counts
All other cases	⚠️ Only if competent authority expressly declares so

Rule 24 — Forfeiture on Dismissal or Removal

⛔Dismissal or removal entails forfeiture of entire past service.

Rule 25 — Past Service on Reinstatement

✅On reinstatement on appeal or review — GS is entitled to count past service as qualifying service.
⚠️Period of interruption and suspension shall not count unless regularised by a specific order of the reinstating authority.

Rule 26 — Forfeiture on Resignation

⛔Resignation entails forfeiture of past service — unless it is withdrawn in the public interest.
✅Exception: Resignation to take up, with proper permission, another appointment under the Government where service qualifies — does not entail forfeiture.

Conditions for Withdrawal of Resignation

📌Tendered for compelling reasons not involving integrity issues; conduct during intervening period was proper; period of absence not more than 90 days; vacated post or comparable post is available.

Rule 27 — Effect of Interruption

⚠️An interruption entails forfeiture of past service — except: authorised leave of absence, suspension (if followed by reinstatement), transfer to non-qualifying service in public interest, joining time on transfer.

Rule 28 — Condonation of Interruption

✅In the absence of a specific indication to the contrary in the service book — interruption between two spells of civil service shall be treated as automatically condoned.
⛔Automatic condonation does not apply to interruption caused by resignation, dismissal, removal or participation in a strike.
⚠️The period of interruption itself shall not count as qualifying service.

Rule 29 — Deputation to UN and Other Organisations

✅Option A: Pay pension contributions → count such service as qualifying for pension.
⛔Option B: Not pay pension contributions → not count such service as qualifying for pension (contributions refunded).

Rule 30 — Periodic Verification of Qualifying Service

First Verification — After 18 Years of Service

Head of Office, in consultation with Accounts Officer, shall verify service and communicate qualifying service to GS in Format 4.

Second Verification — 5 Years Before Superannuation

Fresh verification carried out when GS is left with 5 years of service.

Annual Report — 31st January

By 31st January each year, a report shall be submitted to the Secretary of the Administrative Ministry giving details of GS who were required to be issued a certificate during the previous calendar year.

🔒Verification done under this rule shall be treated as final and shall not be reopened — except when necessitated by a subsequent change in rules.

Chapter IV : Emoluments & Average Emoluments — Rules 31 & 32

Rule 31 — Emoluments

💰"Emoluments" means basic pay (as defined in FR 9(21)(a)(i)) which a Government servant was receiving immediately before retirement or on the date of death. Also includes Non-Practising Allowance granted to a medical officer in lieu of private practice.
ℹ️Stagnation increment shall be treated as emoluments for calculation of retirement benefits.

📌 Non-Practising Allowance (NPA) — Why It Is Included

NPA is a special allowance granted to medical officers (in Central Health Service and other medical cadres) who are prohibited from private practice as a condition of service. It compensates for the income they forego by not practising privately. Since it is granted in lieu of private practice income and is a regular recurring payment forming part of the service terms, NPA is specifically included in emoluments for pension calculation. All other allowances (DA, HRA, TA, CCA etc.) are excluded from emoluments — NPA is the lone exception.

📌 Stagnation Increment — What It Is and Why It Counts

A stagnation increment is a pay increment granted to a GS who has reached the maximum pay cell of his pay level in the Pay Matrix (7th CPC) and cannot progress further in the normal course. Such increments are granted every two years to provide some relief. Since they are treated as emoluments under Rule 31, they are included in both the pension calculation base (emoluments) and the average emoluments (Rule 32) calculation — ensuring that GS at the top of their pay level are not disadvantaged in their pension calculation.

Special Situations for Determining Emoluments

Situation	How Emoluments Are Determined
GS on leave (leave salary payable) or EOL on medical certificate or reinstated after suspension	Emoluments which he would have drawn had he not been absent/suspended. But any increase in pay not actually drawn (other than increment or notional pay) shall not form part.
GS on EOL (non-medical) or under suspension (not counting as service)	Emoluments drawn immediately before proceeding on such leave or being placed under suspension.
GS on leave and earned an increment (not withheld)	Such increment, though not actually drawn, shall form part of emoluments.
GS on deputation to ex-cadre post (same/other Central Govt dept or Armed Forces)	Pay drawn on deputation = emoluments. On leave after deputation — pay he would have drawn in parent department.
GS on deputation to State Govt or on foreign service	Pay on deputation/foreign service is NOT emoluments. Only the pay he would have drawn under Central Government counts.
Pay notionally increased retrospectively (pay scale revision / retrospective promotion / court order)	Such notional pay shall be treated as emoluments.
GS dies during currency of a penalty reducing pay (would have been restored on expiry)	The notional pay on the date of death ignoring the effect of such penalty shall be treated as emoluments.

Rule 32 — Average Emoluments

Average Emoluments Formula

Average of Emoluments drawn during the last 10 months of service

This is the figure used in the pension calculation formula under Rule 44

📋If during the last 10 months the GS was on EOL (non-medical) or under suspension — that period shall be disregarded and an equal period before the 10 months shall be included. A month = 30 days for this calculation.
📋Where pay is notionally increased retrospectively during the last 10 months — such notional pay shall be taken into account.

📖 Illustration

📊A GS retires on 16th July, 2019. Emoluments for fractional periods shall be computed by multiplying the emolument by the factor 14/30 and 16/30 respectively — irrespective of the number of days in the month (including February).

Chapter V : Classes of Pensions — Rules 33 to 41

Rule 33 — Superannuation Pension

🏅Granted in accordance with Rule 44 to a GS who is retired on attaining the age of superannuation, or on expiry of extended service period.

📌 Rule 44 — How Superannuation Pension Is Calculated

Pension = 50% of emoluments or average emoluments (whichever is more beneficial). Emoluments = basic pay at retirement (Rule 31). Average emoluments = average of emoluments drawn during the last 10 months of service (Rule 32). Minimum qualifying service for pension: 10 years (9 years 9 months is rounded up to 10). Minimum pension: ₹9,000/month. Maximum pension: ₹1,25,000/month. Fractions of a year equal to 3 months and above are treated as a completed six-monthly period for pension calculation. Additional pension is payable when the pensioner attains age 80 (20%), 85 (30%), 90 (40%), 95 (50%), 100 (100%).

Rule 34 — Retiring Pension

🚪Granted to a GS who: retires on his own volition before superannuation (Rule 43 / FR 56); or being declared surplus, opts for SVRS; or is retired by the Government before superannuation (Rule 42 / FR 56).

📌 FR 56 — What It Provides

Fundamental Rule 56 is the primary rule governing superannuation and compulsory retirement in the Central Government. FR 56(j) empowers the Government to retire a GS compulsorily in public interest after he completes 50 years of age (Group A & B) or 55 years of age (Group C), by giving 3 months' notice or 3 months' pay in lieu. FR 56(l) allows a GS to seek voluntary retirement on completing 30 years of qualifying service by giving 3 months' notice. Rule 34 cross-references FR 56 because GS compulsorily retired under FR 56(j) and those retiring voluntarily under FR 56(l) are also entitled to a retiring pension — exactly like those under Rule 42 (premature retirement) and Rule 43 (voluntary retirement).

💰 SVRS — Surplus Employees

✅A permanent GS who is declared surplus and opts for the SVRS shall be entitled to ex-gratia amount in addition to retiring pension/service gratuity (Rule 44) and retirement gratuity (Rule 45).

Rule 35 — Pension on Absorption in State Government

🏛️A GS permitted to be absorbed in a State Government shall be deemed to have retired from Central Government from the date of absorption — eligible for pension/gratuity based on qualifying service and emoluments at absorption.
✅Option A: Receive retirement benefits for Central Government service separately.
Option B: Count the Central Government service in the State Government for combined pension — entire pension and gratuity paid by the State Government.

📌 Gratuity Cap (Rule 35) — Why It Applies

Under Option A, Central Government pays its own pension and gratuity based on qualifying service up to the date of absorption. But a cap applies: on eventual retirement from the State Government, the total of Central + State gratuities shall not exceed the amount that would have been admissible had the GS continued in Central Government and retired on the same pay. This cap prevents windfall gains from receiving two full gratuities. Under Option B, there is no Central pension at the time of absorption — the entire pension liability (for Central + State combined service) is discharged by the State Government when the GS eventually retires, so the cap question does not arise. The relieving order is issued in Format 5, and the transit period between relief and joining may be regularised as leave or extraordinary leave.

Rule 36 — Pension on Absorption in Corporation/Company/Body

🏢Similar to Rule 35. Option B → Government pays lump sum capitalised value per CCS (Commutation of Pension) Rules, 1981 commutation table. No lien retained in relieving department.

📌 CCS (Commutation of Pension) Rules, 1981 — Lump Sum Calculation

The lump sum is calculated using the commutation table in these Rules: Lump sum = Monthly pension × 12 × Commutation factor (based on age at absorption). This gives the Government a standardised, actuarially fair way to discharge its entire pension liability in one shot, so the Corporation/Body can fund future pension payments independently. "No lien retained" means once the GS is absorbed, he severs all ties with Central Government — there is no reverting back, no retained post, and the Government bears no further pension liability for that GS.

Rule 37 — Pension on Absorption on Conversion of Govt Department into PSU

En-Masse Transfer on Deemed Deputation

All GS transferred on deemed deputation (foreign service terms, no deputation allowance) until absorbed.

PSU Frames Rules (≤ 5 Years)

PSU shall frame its rules within 5 years.

Option Within 3+3 Months

GS asked within 3 months to exercise option to revert to Government or seek permanent absorption. Option to be exercised within 3 months. If no option — deemed to have opted for absorption.

Option B: Combined Pension on Industrial DA Pattern

Pension Fund/Trust established. Government pays lump sum. PSU makes pensionary contributions. Pension on Industrial DA pattern.

📌 Special Case — BSNL & MTNL

📞Pension Fund/Trust provisions do not apply to BSNL and MTNL. Pensionary benefits including family pension shall be paid by the Government.

Rule 38 — Absorption on Conversion into Central Autonomous Body

🏛️Substantially similar to Rule 37 — but pension on Central DA pattern (not Industrial DA). Prasar Bharati exception applies.

Rule 39 — Invalid Pension

Application by GS (or family)

If permanently incapacitated — GS may apply to the Head of Department. Application by spouse/family member accepted if GS is unable to apply.

Medical Examination (within 15 + 30 days)

Head of Office shall request within 15 days; medical authority shall examine within 30 days. Medical Board for Gazetted GS and non-Gazetted GS whose pay exceeds ₹54,000/month; Civil Surgeon/District Medical Officer in other cases. Certificate in Format 6.

Grant of Invalid Pension (within 45 days)

If found unfit for further service — invalid pension granted not later than 45 days from receipt of medical certificate per Rule 44.

✅ Even Before 10 Years QS

✅A GS who retires on invalid pension even before completing 10 years QS shall also be granted invalid pension — calculated at 50% of emoluments or average emoluments (whichever is more beneficial).

Rule 40 — Compulsory Retirement Pension

⚖️A GS compulsorily retired as a penalty may be granted pension/gratuity — at a rate not less than ⅔ and not more than full superannuation pension or gratuity. Where President awards less than full superannuation pension, the UPSC shall be consulted.
📅Final pension/gratuity order shall be issued not later than 3 months after compulsory retirement order. Provisional pension and provisional gratuity at ⅔ rate if not issued simultaneously.

Rule 41 — Compassionate Allowance

⛔Dismissal or removal forfeits pension and gratuity.
✅Competent authority may sanction compassionate allowance not exceeding ⅔ of pension or gratuity — decision within 3 months after dismissal/removal order. Not less than minimum pension under Rule 44.

Quick Comparison — Types of Pension

Type of Pension	Key Features
🏅 Superannuation (Rule 33)	On attaining age of superannuation or on expiry of extended service period.
🚪 Retiring (Rule 34)	On own volition (Rule 43/FR 56), declared surplus (SVRS), or retired by Government (Rule 42/FR 56).
🏛️ Absorption — State Govt (Rule 35)	Deemed retirement from Central Govt. Option A or B. Format 5 relieving order.
🏢 Absorption — Corporation/Body (Rule 36)	Similar to Rule 35. No lien retained. Option B → Govt pays lump sum per commutation table.
🏭 Absorption on PSU Conversion (Rule 37)	Deemed deputation → option 3+3 months. Pension Fund/Trust. Combined pension on Industrial DA. BSNL/MTNL exception.
🏛️ Absorption on CAB Conversion (Rule 38)	Similar to Rule 37 but pension on Central DA. Prasar Bharati exception.
🏥 Invalid (Rule 39)	Medical incapacity. Format 6. Within 45 days. Even <10 years QS eligible. RPwD Act, 2016.
⚖️ Compulsory Retirement (Rule 40)	⅔ to full pension. UPSC consulted if less than full. Provisional at ⅔. Final within 3 months.
🤲 Compassionate Allowance (Rule 41)	On dismissal/removal. Max ⅔. Decision within 3 months. Not less than minimum pension.

Chapter VI : Premature Retirement and Voluntary Retirement — Rules 42 & 43

Rule 42 — Retirement on Completion of 30 Years' Qualifying Service

🏛️After a GS has completed 30 years of qualifying service, he may be required by the appointing authority to retire in the public interest.
📋The appointing authority shall give a notice in writing at least 3 months before the date of required retirement — or 3 months' pay and allowances in lieu of such notice.
💰The GS shall be entitled to a retiring pension per Rule 44. Same procedure as for FR 56 retirements.

📌 Rule 44 & FR 56 — Premature Retirement Pension & Procedure

Rule 44: Pension = 50% of emoluments or average emoluments (whichever is more beneficial). Minimum QS: 10 years. Minimum: ₹9,000/month; Maximum: ₹1,25,000/month. FR 56 Procedure: The DoPT guidelines issued under FR 56 govern the periodic review — officials completing 25 years of service or attaining age 50/55 are reviewed. For Rule 42 (Government-initiated premature retirement), the same review framework applies. The 3-month notice (or pay in lieu) must be in writing from the appointing authority, and the GS has no right to challenge the decision in the same way as a disciplinary action.

Rule 43 — Voluntary Retirement on Completion of 20 Years' Qualifying Service

✍️After completing 20 years of qualifying service, a GS may, by giving notice of not less than 3 months in writing to the appointing authority, retire from service.
📅Before giving notice, the GS shall request a certificate of 20 years QS to be issued within 15 days. If not issued, the GS may give notice without the certificate.

⚠️Important: The provision for treating fraction of a year equal to 3 months and above as a completed six-monthly period shall NOT be applicable for determining qualifying service under this rule. The GS must have actually completed or will complete 20 years on the intended date.

📌 Why the Rounding Rule Is Excluded Here

The 3-month rounding rule under Rule 44 was designed for computing pension amounts (rounding QS to the nearest six-monthly period for calculation purposes). It was not intended to determine eligibility for voluntary retirement. If it applied here, a GS with 19 years 9 months could claim voluntary retirement eligibility — which would undermine the 20-year threshold. The legislature has therefore explicitly excluded this rounding in Rule 43 to ensure that the eligibility threshold of 20 years means exactly 20 years of actual qualifying service.

When Permission May Be Withheld

⛔If GS is under suspension
⛔If a charge sheet has been issued and disciplinary proceedings are pending
⛔If judicial proceedings on charges of grave misconduct are pending

Withdrawal of Notice

🔄GS shall be precluded from withdrawing except with specific approval of the appointing authority — request to be made not less than 15 days before intended date of retirement.

Quick Comparison — Rule 42 vs Rule 43

Feature	Rule 42 — Premature	Rule 43 — Voluntary
Initiated by	Government	Government servant
Minimum QS	30 years	20 years
Ground	Public interest	GS's own volition
Notice	3 months by Govt (or pay in lieu)	3 months' written notice by GS
Acceptance	Not applicable	Requires acceptance by appointing authority
Withdrawal	N/A	Only with specific approval, ≥15 days before intended date
Pension	Retiring pension per Rule 44	Retiring pension per Rule 44

Chapter VII : Regulation of Pension and Gratuity — Rules 44 to 49

Rule 44 — Amount of Pension

Pension Formula

Pension = 50% × Emoluments or Average Emoluments (whichever is more beneficial)

Minimum: ₹9,000/month · Maximum: ₹1,25,000/month · Minimum QS: 10 years

💰A GS who retires under Rules 33, 34, 35, 36, 37, 38 or 39, after completing QS of not less than 10 years, shall be eligible for pension at 50% of emoluments or average emoluments (whichever is more beneficial).
✅Invalid pension exception: A GS who retires under Rule 39 before completing 10 years QS shall also be eligible for invalid pension at 50%. The 10-year minimum QS condition shall not apply.

📌 Emoluments vs Average Emoluments — When Each Is Used

Emoluments (Rule 31): The basic pay the GS was drawing immediately before retirement or on the date of death. Average Emoluments (Rule 32): The average of emoluments drawn during the last 10 months of service. The rule says "whichever is more beneficial" — meaning the Government compares both figures and uses whichever gives the GS a higher pension. In practice, average emoluments become more beneficial when the GS received a pay revision or promotion during the last 10 months (pulling the average up), while basic pay at retirement becomes more beneficial when the GS was promoted just before retirement (making the last-drawn pay higher than the 10-month average).

📌 Rule 39 — Conditions for Invalid Pension

Invalid pension applies when a GS is permanently incapacitated (bodily or mental infirmity) for further service. The GS (or spouse/family if the GS is unable) applies to the Head of Department. A Medical Board examines the GS (for Gazetted officers and non-Gazetted GS with pay > ₹54,000/month); otherwise a Civil Surgeon/District Medical Officer examines. The medical authority issues a certificate in Format 6 — stating whether the GS is unfit for further service or fit for less laborious work. If unfit — invalid pension granted within 45 days of receiving the medical certificate. Even where the GS has less than 10 years of qualifying service, invalid pension at 50% is granted — provided the GS was examined and declared fit for Government service before appointment.

Service Gratuity (Less than 10 Years QS)

📋Service gratuity = half month's emoluments for every completed six-monthly period of qualifying service. Dearness Allowance also treated as part of emoluments for service gratuity.

Additional Pension on Attaining 80 Years

Age of Pensioner	Additional Pension
80 to less than 85 years	20% of basic pension
85 to less than 90 years	30% of basic pension
90 to less than 95 years	40% of basic pension
95 to less than 100 years	50% of basic pension
100 years or more	100% of basic pension

Key Calculation Rules

📋Rounding of QS: Fraction of a year equal to 3 months and above shall be treated as a completed six-monthly period.
📋9 years 9 months rule: QS of 9 years 9 months or more but less than 10 years shall be treated as 10 years — eligible for pension.
📋Rounding off: All amounts shall be expressed in whole rupees. Fractions rounded to next higher rupee.

📌 How the Rounding Works — A Practical Example

The rounding provision (fraction of a year equal to 3 months and above = completed six-monthly period) works in two steps: Step 1 — Apply the 3-month rounding. A GS with 9 years 9 months has 9 years + 9 months. Since 9 months ≥ 3 months, the fraction rounds to 1 full six-monthly period, giving QS = 9 years 6 months. Step 2 — Apply the 9Y9M rule. Since 9 years 9 months ≥ 9 years 9 months, the QS is treated as 10 complete years. A GS with exactly 9 years 8 months: 8 months rounds to 1 six-monthly period → 9 years 6 months, but this is less than 9Y9M, so the 10-year rule does NOT apply → service gratuity only. A GS with 9 years 10 months: rounds to 10 years → eligible for pension.

Rule 45 — Retirement Gratuity and Death Gratuity

Retirement Gratuity Formula

Gratuity = ¼ × Emoluments × Completed Six-Monthly Periods of QS

Maximum: 16½ times emoluments · Overall cap: ₹20 lakhs · Minimum QS: 5 years · 4 years 9 months treated as 5 years

Death Gratuity Rates

Length of Qualifying Service	Rate of Death Gratuity
Less than 1 year	2 times of emoluments
1 year or more but less than 5 years	6 times of emoluments
5 years or more but less than 11 years	12 times of emoluments
11 years or more but less than 20 years	20 times of emoluments
20 years or more	Half of emoluments for every completed six-monthly period, maximum 33 times

⚠️Both retirement gratuity and death gratuity shall not exceed ₹20 lakhs.
✅Death gratuity provisions also apply in case of death by suicide.

Residuary Gratuity

💰If a GS eligible for service gratuity or pension dies within 5 years of retirement and the sums received are less than 12 times emoluments — a residuary gratuity equal to the deficiency may be granted to his family.

Rule 46 — Nominations

📝A GS shall, on initial appointment, make a nomination in Form 3 conferring the right to receive retirement gratuity and death gratuity.
📝If the GS has family — nomination shall be in favour of a member or members of the family only.
📅Every nomination and cancellation takes effect from the date of receipt by the Head of Office.
🔄A GS may at any time cancel a nomination by sending a notice in writing to the Head of Office — along with a fresh nomination.

Rule 47 — Persons to Whom Gratuity Is Payable

💰Gratuity shall be paid to the person(s) on whom the right is conferred by nomination under Rule 46.
💰If no valid nomination exists — First priority: wife/husband, sons, unmarried daughters, widowed/divorced daughters (in equal shares). Second priority: father, mother, brothers, sisters, married daughters, children of pre-deceased son.
👶Gratuity granted to a minor shall be payable to the guardian. Up to 20% of minor's share may be paid without a guardianship certificate on an indemnity bond in Format 7.

📌 Rule 46 — How Nomination Works

Every GS shall, on initial appointment, make a nomination in Form 3 conferring on one or more persons the right to receive retirement gratuity and death gratuity. If the GS has a family — nomination must be in favour of a family member only. If the GS acquires a family after a non-family nomination — the nomination becomes invalid automatically. If more than one nominee — shares must cover the entire gratuity amount. The GS may cancel and file a fresh nomination at any time. Every nomination takes effect from the date of receipt by the Head of Office.

Rule 48 — Debarring a Person from Receiving Gratuity

⚖️If a person eligible for gratuity is charged with the offence of murdering the GS — claim suspended till conclusion of criminal proceedings. If convicted — debarred. If acquitted — share payable to him.

⚠️The charge of murder or abetting in murder includes the charge of abetting death by suicide.

Rule 49 — Lapse of Gratuity

⚠️Where a GS dies without receiving gratuity, leaves no family, and has made no nomination (or nomination does not subsist) — the amount of gratuity shall lapse to the Government.
✅Exception: Amount payable to the person in whose favour a Succession Certificate has been granted by a Court of Law.

Chapter VIII : Family Pension — Rules 50 & 51

Rule 50 — Family Pension

Rates of Family Pension

Type	Rate	Duration	Min / Max
Normal Rate	30% of pay	After expiry of enhanced rate period	Min ₹9,000/month · Max ₹75,000/month
Enhanced Rate — Death in Service	50% of pay	10 years from date of death	Min ₹9,000/month · Max ₹1,25,000/month
Enhanced Rate — Death After Retirement	50% of pay	7 years or until deceased would have attained age 67, whichever is less	Min ₹9,000/month · Max ₹1,25,000/month

📌 "Pay" for Family Pension — Rule 31 vs Rule 32

"Pay" for computing family pension means emoluments (Rule 31) or average emoluments (Rule 32), whichever is more. Rule 31 emoluments = basic pay the GS was drawing immediately before retirement/death. Rule 32 average emoluments = average of emoluments drawn during the last 10 months of service. The "whichever is more" protection ensures that if the GS suffered a pay reduction in the final months (e.g., due to a penalty), the family is not penalised — they get the higher of the two figures. The enhanced rate cap is also important: family pension on death after retirement shall not exceed the pension authorised on retirement (including the commuted portion) — so if the authorised pension was lower than the normal 30% family pension, the enhanced 50% is further restricted to that pension amount.

Order of Entitlement

Widow or Widower

Including post-retiral spouse and judicially separated wife or husband. Payable up to date of death or re-marriage.

Children

Sons (below 25, unmarried, not earning). Daughters (unmarried/widowed/divorced, not earning). Disabled children — for life. In order of birth.

Dependent Parents

Mother first, then father. Must be dependent (combined income less than minimum FP + DR).

Dependent Disabled Siblings

Brother or sister suffering from mental or physical disability — wholly dependent on the GS immediately before death. For life.

Additional Family Pension — After Age 80

Age of Family Pensioner	Additional Family Pension
80 to less than 85 years	20% of basic family pension
85 to less than 90 years	30% of basic family pension
90 to less than 95 years	40% of basic family pension
95 to less than 100 years	50% of basic family pension
100 years or more	100% of basic family pension

Dual Family Pensions — Both Parents Were Government Servants

Situation	Maximum Combined Family Pensions
Both family pensions at enhanced rate (50%)	₹1,25,000/month
One at enhanced rate, one at normal rate (30%)	₹1,25,000/month
Both at normal rate (30%)	₹75,000/month

Debarring Persons Charged with Murder

⛔Family pension not paid to person charged with murder of GS — till conclusion of criminal proceedings. If convicted — permanently debarred. If acquitted — family pension becomes payable from date of acquittal.

Rule 51 — Missing GS or Pensioner or Family Pensioner

🔍Missing GS (in service): Family pension payable from the latest of: date following leave sanctioned / date up to which pay was paid / date of lodging FIR/DDR/GDE.
🔍Missing Pensioner: Family pension from later of: date after last pension paid / date of lodging FIR/DDR/GDE.
💰Payment of family pension and retirement gratuity — not made before 6 months from the date of lodging the police report.
📅Death gratuity payable after death is conclusively established or on expiry of 7 years from the date of lodging the police report, whichever is earlier.
⛔Rule 51 shall not apply where the GS/pensioner disappears and is under investigation for fraud, embezzlement or any other crime.

📌 Why 7 Years — Legal Basis

The 7-year period is aligned with the Indian Evidence Act, 1872 (Section 108) — which creates a rebuttable presumption of death when a person has not been heard of for 7 years by persons who would naturally have heard of him had he been alive. After 7 years from the date of the police report, the missing GS/pensioner is legally presumed dead, making payment of death gratuity (as opposed to the retirement gratuity already paid) legally sound. This is also why the 6-month waiting period for family pension and retirement gratuity is separate — those are payable once the family establishes a claim; the death gratuity difference awaits the legal presumption of death.

📌 Why This Exclusion Exists

Rule 51 is designed to protect the family of a GS/pensioner who has gone missing through no fault of their own — an accident, a natural calamity, or unexplained circumstances. Where, however, the GS/pensioner is under investigation for fraud, embezzlement, or another crime — the disappearance may itself be part of the wrongdoing (e.g., absconding to evade prosecution). In such cases, extending benefits to the family immediately would be inconsistent with the principle of Rule 8 (pension subject to good conduct) and Rule 87. Additionally, Rule 51 expressly excludes those charged or convicted of such crimes — so neither pending investigation nor post-conviction disappearance triggers Rule 51 benefits.

Chapter IX : Dearness Relief — Rule 52

Rule 52 — Dearness Relief on Pension and Family Pension

📈Relief against price rise may be granted to pensioners (including persons drawing compassionate allowance) and family pensioners, at such rates and subject to such conditions as the Central Government may specify.

Dearness Relief During Re-Employment

⛔A pensioner who is re-employed under the Central/State Government or any Corporation/Company/Body/Bank shall not be eligible for dearness relief during re-employment or absorption.

✅ Exception — When DR Continues During Re-Employment (All 3 Conditions)

📌Pensioner was not holding a Group 'A' post before re-employment/absorption;
📌Pay was fixed at the minimum of the scale of pay of the post, and such minimum was less than the pay drawn immediately before retirement;
📌The entire amount of pension was ignored (i.e. no part of pension was taken into account for pay fixation).

📌 Why All 3 Conditions Together?

The rationale is that the exception applies only when the re-employed pensioner is in a genuinely disadvantaged position — he is not a Group A officer (so not in a senior role), his pay is fixed at the minimum of the scale (not even at his pre-retirement pay level), and his pension is completely ignored (not even partially taken into account). In such a case, the pensioner is financially worse off than before retirement, so denying DR would be unjust. If any of the 3 conditions fails — e.g. the pension is partially counted for pay fixation — DR is not payable during re-employment. A certificate confirming all 3 conditions must be obtained from the re-employing authority.

Family Pensioner — No Restriction

✅A family pensioner who is employed shall continue to be eligible for dearness relief on family pension during the period of such employment. The restriction does not apply to family pensioners.

⚠️Exam Tip: Pensioner re-employed = DR stopped (unless all 3 exceptions are met); Family pensioner employed = DR continues regardless.

Chapter X : Determination and Authorisation of Pension and Gratuity — Rules 53 to 70

15 Months

Advance List Prepared

8 Months

Before Retirement — HoO Completes

4 Months

Before Retirement — AO Gets Papers

2 Months

Before Retirement — PPO Issued

21 Days

CPAO Issues SSA

Rule 53 — Processing Through Bhavishya

💻Unless otherwise exempted by a general or special order of the Government, the pension case of a GS shall be processed through 'Bhavishya' — the online pension sanctioning and tracking system.
📋In the case of a department/office/person exempted from Bhavishya — details shall be transmitted in physical mode and the pension case processed manually.
📋Where a particular action cannot be performed under Bhavishya — such action shall be performed manually.

Rule 54 — Preparation of List of GS Due for Retirement

📋Every Head of Department shall have a list prepared by the 15th day of every month of all GS due to retire within the next 15 months of that date.
📋A copy of every such list shall be supplied to the Accounts Officer before the last day of every month.
📋For retirement other than superannuation — the Head of Office shall inform the Accounts Officer not later than 10 days from the date of issue of the retirement order.

Rule 55 — Intimation to Directorate of Estates Regarding "No Demand Certificate"

🏠Immediately after preparing the retirement list, the Head of Office shall obtain from each GS who was or is an allottee of Government accommodation the complete details and send them to the Directorate of Estates at least 1 year before retirement — for issuing a "No Demand Certificate" for the period preceding 8 months of retirement.
🏠For retirement other than superannuation — details shall be obtained immediately after the retirement order and sent to the Directorate within 10 days.
📋A GS who was never allotted any residential accommodation during service shall submit a declaration to the Head of Office. The Head of Office, after verification, shall issue the "No Demand Certificate" himself.

Rule 56 — Preparation for Processing of Pension Case

📅Every Head of Office shall undertake preparatory work for processing the pension case 1 year before the date of superannuation, or on the date the GS proceeds on leave preparatory to retirement, whichever is earlier.

Rule 57 — Stages for Processing of Pension Case on Superannuation

First Stage — Verification of Service (Complete 8 Months Before)

Head of Office shall go through the service book and verify whether certificates of verification for service subsequent to the last verification under Rule 30 are recorded.

📌 Rule 30 — Periodic Verification of Qualifying Service

Under Rule 30, two mandatory verifications of qualifying service are conducted: First verification — after 18 years of service (Head of Office in consultation with Accounts Officer, result communicated in Format 4); Second verification — when the GS has 5 years of service remaining before superannuation. Special verification may also be done on transfer, closure of department, or posts being declared surplus. Once done, the verification is treated as final and cannot be reopened except on a subsequent change in rules. By the time Stage 1 of Rule 57 begins (1 year before retirement), the Rule 30 verifications should already be on record in the service book — Rule 57 only picks up the remaining unverified portion after the last Rule 30 verification.

📌 Rule 30 — What "Last Verification" Means

Under Rule 30 (Periodic Verification of Qualifying Service), the Head of Office is required to carry out formal verification of qualifying service at two key points: (1) when the GS completes 18 years of service; and (2) when the GS is left with 5 years before superannuation. The result is communicated to the GS in Format 4. Rule 57 Stage 1 picks up from where the last Rule 30 verification stopped — it verifies all service rendered after that last certificate. The verification under Rule 57 must be completed 8 months before superannuation.

✅ Unverified portions verified based on pay bills, acquittance rolls, last pay certificates, pay slips.

✅ If service was rendered in another office/department — the Head of Office shall refer that period to the other office, which shall verify and send certificates within 2 months. If no response within 2 months — such period shall be deemed to qualify for pension.

✅ If any period is still unverifiable — GS shall file a written statement within 1 month declaring the service was rendered, with a sworn declaration. The Head of Office shall admit that period.

⚠️ If a GS gives incorrect information wilfully to obtain benefits not entitled to — it shall be construed as grave misconduct.

Second Stage — Making Good Omissions in Service Book

Head of Office shall identify omissions, imperfections or deficiencies having a direct bearing on emoluments and qualifying service. Every effort shall be made to make these good.

Any omission incapable of being made good, and unverified portions about which no statement was submitted — shall be ignored. QS determined on the basis of entries in the service book.

For emoluments and average emoluments — Head of Office shall verify correctness of emoluments only for the period of 24 months preceding retirement, not for any prior period.

Third Stage — Communication to GS (Not Later Than 8 Months Before Retirement)

As soon as the second stage is completed (but not later than 8 months before retirement), the Head of Office shall:

✅ Furnish to the retiring GS a certificate of qualifying service, emoluments, and average emoluments proposed for pension/gratuity calculation.

✅ Direct the GS to furnish reasons for non-acceptance (with supporting documents) within 2 months.

✅ Advise the GS to submit Form 4, Form 6, undertaking to Bank in Format 9, common nomination form in Form A (Payment of Arrears of Pension Nomination Rules, 1983), and option form for Fixed Medical Allowance or out-patient medical facility.

GS Obligations — Rule 57

📋The GS shall submit Form 4, Form 6, Format 9, Form A and option form not later than 6 months before retirement.
📋The GS may also apply in Form 6 for commutation of a percentage of pension under CCS (Commutation of Pension) Rules, 1981.
📋Where the GS is unable to submit forms due to bodily or mental infirmity — the spouse or a family member eligible for family pension may submit Form 4 and Form 6. The GS shall not be entitled to commutation until he himself subsequently applies.

Rule 58 — Forms for Retirement Other Than Superannuation

📋A GS retiring for reasons other than superannuation shall submit Form 4, Form 6, Format 9, Form A and option form immediately after the competent authority has approved such retirement or the retirement has become effective.
📋Same provisions as Rule 57 for submission by spouse/family member in case of infirmity apply.

Rule 59 — Completion of Pension Case

📋Superannuation cases (Rule 57): Head of Office shall complete Part I of Form 7 along with the check list and pension calculation sheet not later than 4 months before retirement.
📋Other cases (Rule 58): Head of Office shall complete Part I of Form 7 within 2 months after submission of Form 4 and Form 6.
📋If a GS dies after retirement and forms under Rule 57/58 were not submitted — action shall be taken per Rule 80(5).

📌 Rule 80(5) — What Happens When GS Dies After Retirement Without Submitting Forms

The Head of Office shall allow the spouse (or, in absence of spouse, any other eligible family member) to submit the claim in Form 10 along with Form 4 and Format 9. If no family member is eligible for family pension, the gratuity nominee may submit Form 6 instead. The Head of Office then fills up Form 7 (with a specific notation that the GS did not submit Form 6 before death), issues a sanction in Format 13 for family pension if applicable, and forwards the complete papers to the Accounts Officer. The AO authorises pension + retirement gratuity + family pension in the PPO and also authorises payment of arrears of pension from the date following retirement up to the date of death.

Rule 60 — Forwarding Pension Case to Accounts Officer

📋Head of Office shall forward to the Accounts Officer: copies of Form 4, Form 6, Format 9; copies of Form 7 (with check list and pension calculation sheet) and covering letter in Format 10; and the duly completed service book with supporting documents.
💰Government dues assessed under Rule 67 and any amount to be withheld per Directorate of Estates shall also be furnished in Format 10.

📌 Rule 67 — Government Dues to Be Furnished

The dues required to be furnished in Format 10 cover: (i) Accommodation dues — arrears of licence fee, damages for subletting/unauthorised occupation/transfer to ineligible officer, electricity/water/PNG charges; and (ii) Other dues — balance of house building/conveyance/other advances; overpayment of pay/allowances/leave salary; and arrears of income tax deductible at source. The Head of Office must assess these 8 months before superannuation (Rule 69). Only these qualifying Government dues can be adjusted against retirement gratuity — no other dues can be recovered from the gratuity.

⏱️ Timelines — Rule 60

📅Superannuation: Not later than 4 months before superannuation.
📅Other cases: Not later than 2 months after submission of Form 4 and Form 6.

Rule 61 — Intimation to Accounts Officer Regarding Subsequent Events / Dues

📋If after forwarding the pension case, any event occurs having a bearing on the amount of pension — the fact shall be promptly reported to the Accounts Officer.
💰If any additional Government dues come to notice after intimating the original dues — they shall be promptly reported to the Accounts Officer.

Rule 62 — Provisional Pension (for Reasons Other Than Departmental/Judicial Proceedings)

Provisional Pension

Provisional Pension = 100% of Pension as Admissible + 90% of Gratuity (10% withheld)

Sanctioned from the day following retirement · Continues for max 6 months

When Provisional Pension Is Sanctioned

📋Where in a superannuation case, after forms have been submitted but the Head of Office cannot forward papers within time, or the Accounts Officer returns papers for further information, and the GS is likely to retire before final assessment — the Head of Office shall determine provisional pension and provisional retirement gratuity.
📋In non-superannuation cases — same process on receipt of forms.

Sanctioning Process — Rule 62

✅Head of Office shall issue a letter of sanction authorising: 100% of pension as provisional pension from the day following retirement; and 100% of gratuity as provisional gratuity withholding 10% of gratuity (for adjustment of Government dues).

⏱️ Timelines — Rule 62

📅Superannuation cases: Sanction issued not later than 10 days after retirement.
📅Other cases: Within 1 month from date of Form 4 and Form 6 submission.
📅Provisional pension shall not continue beyond 6 months from retirement (or from date of form submission, whichever is later).

📌 Why 6 Months? — Target for Final Assessment

The 6-month period is the maximum time allowed for the Accounts Officer to assess the final pension and issue the PPO. If final amounts are determined within 6 months — the AO issues the PPO and the Head of Office disburses the balance gratuity (after adjusting dues). If not determined within 6 months — the AO shall treat the provisional pension and gratuity as final and issue the PPO immediately. This prevents the GS from remaining indefinitely on provisional pension, which provides less certainty for financial planning in retirement.

Final Assessment and Adjustment

📋If final pension and gratuity are determined within 6 months — the Accounts Officer shall issue the PPO and direct the Head of Office to disburse the difference between final and provisional gratuity (after adjusting dues).
📋If provisional pension exceeds final pension — excess may be adjusted out of the withheld 10% gratuity or recovered by short payments of future pension.
✅If provisional gratuity exceeds final gratuity — the retired GS shall not be required to refund the excess. Head of Office shall ensure such overpayments are minimised; officials responsible shall be accountable.
📅If final amounts are not determined within 6 months — the Accounts Officer shall treat provisional pension and gratuity as final and issue the PPO immediately.
🏠If the GS was an allottee of Government accommodation — the withheld 10% shall be paid on receipt of "No Demand Certificate" from the Directorate of Estates.

📌 Why No Recovery of Excess Gratuity?

The policy here is beneficiary-protective — the retired GS received the gratuity in good faith based on the provisional assessment by the Head of Office. Since the excess arose due to an administrative error in estimation (not misrepresentation by the GS), it would be unjust to recover it. The Head of Department is required to fix responsibility on the officials who caused the overpayment, and disciplinary action may follow — but the financial burden shall not fall on the retiree.

📌 What "No Demand Certificate" Means (Rule 68)

The "No Demand Certificate" is issued by the Directorate of Estates confirming that there are no outstanding licence fee, damages, or other dues on account of Government accommodation allotted to the GS. The Directorate must issue this certificate within 14 days of the GS vacating the accommodation. If the Directorate fails to issue it within 14 days, the GS becomes entitled to interest at GPF rate on the excess withheld amount (i.e., the 10%) from the date of application until the date of refund.

⚠️Government dues specified in Rule 67 shall be deducted before disbursement of provisional gratuity.

📌 Rule 67 — Government Dues (What Must Be Deducted)

"Government Dues" means: (i) Accommodation dues — arrears of licence fee, damages for subletting/unauthorised occupation/transfer to ineligible officer, electricity/water/PNG charges; (ii) Other dues — balance of house building advance, conveyance advance, or any other advance; overpayment of pay and allowances or leave salary; and arrears of income tax deductible at source under the Income Tax Act, 1961. Only these specific Government dues may be deducted from the retirement gratuity — no other dues not qualifying as "Government dues" can be recovered from gratuity.

Rule 63 — Authorisation of Pension and Gratuity by the Accounts Officer

Type of Retirement	Action	Timeline
Superannuation	Apply requisite checks, complete Part II of Form 7, assess pension/family pension/gratuity, issue PPO	PPO issued not later than 2 months in advance of retirement date
Other cases	Issue PPO after receipt of pension papers from Head of Office	PPO issued within 45 days of receipt of pension papers
Forward PPO to CPAO	AO forwards PPO to Central Pension Accounting Office for Special Seal of Authority	Within 2 months of receipt of pension papers
CPAO issues SSA	CPAO issues Special Seal of Authority and forwards to PDA	Within 21 days of receipt of PPO from AO

PPO — Emoluments Verification

📋Accounts Officer shall verify correctness of emoluments only for 24 months preceding retirement, not for any prior period.

PPO — Family Pension Details

👩PPO shall indicate the name of the spouse (if alive) as family pensioner. Where there are more than one wife alive — names of all wives with their respective shares.
👧Where there are children from a deceased wife, divorced wife, or void/voidable marriage — initially only the surviving wife's name and share shall be indicated. On the pensioner's death, the Accounts Officer shall issue a Revised Pension Payment Authority.
♿Permanently disabled children, dependent parents, and disabled siblings shall also be indicated as family pensioners — if there is no other family member to whom family pension may become payable before them.
📋On receipt of intimation regarding marriage or remarriage after retirement — Accounts Officer shall issue a Revised Pension Payment Authority including the new spouse.

Gratuity Disbursement

💰Gratuity amount shall be intimated to the Head of Office for disbursement after adjusting Government dues (Rule 67) and withheld amount (Rule 68 — Directorate of Estates).

Departmental/Judicial Proceedings Pending

⚖️If proceedings are pending — provisional pension as per Rule 8 shall be authorised. No gratuity until conclusion and final orders.
📋After conclusion — Head of Office shall forward final orders along with Form 7-A within 30 days. Accounts Officer shall authorise final pension within 30 days of receipt of Form 7-A.

📌 Rule 8 — Provisional Pension in Departmental/Judicial Proceedings

Where departmental or judicial proceedings are pending or contemplated against a GS at the time of retirement, the Accounts Officer shall authorise provisional pension equal to the maximum pension admissible based on qualifying service up to the date of retirement (or the date before suspension, if applicable). This provisional pension is payable from the day following retirement until final orders are passed. No gratuity is paid until the proceedings are concluded and final orders are issued by the President. The provisional pension is adjusted against the final benefits — and no recovery is made if the final pension turns out to be less than the provisional pension.

Rule 64 — Government Servants on Deputation

📌 Rule 64 — Why the Borrowing/Cadre Authority?

The borrowing department or cadre authority handles the pension case because they have the GS on their muster rolls at the time of retirement and possess all current service records. This avoids routing pension papers through multiple departments and prevents delays. The pension entitlement is still calculated as per the parent/cadre department's service history, but the administrative processing (completing Form 7, forwarding to Accounts Officer) is done by whoever the GS was serving under at the time of retirement.

Situation	Who Takes Pension Action?
GS retiring while on deputation to another Central Government Department	Head of Office of the Borrowing Department
GS retiring while on deputation to a State Government	Head of Office or the Cadre Authority which sanctioned the deputation
GS retiring while on foreign service	Head of Office or the Cadre Authority which sanctioned the foreign service

Rule 65 — Interest on Delayed Payment of Gratuity, Pension and Family Pension

💰Where provisional pension/family pension/gratuity has not been sanctioned in accordance with these rules, or where payment is authorised later than the due date, and the delay is clearly attributable to administrative reasons or lapses — interest shall be paid on arrears at the rate applicable to General Provident Fund.
⛔No interest if the delay was caused by the GS/pensioner/family member failing to comply with the prescribed procedure.

Sanctioning Authority for Interest

🏛️The Secretary of the Ministry/Department (or any officer not below Joint Secretary authorised by him) shall consider each case of delayed payment and sanction interest where the delay was due to administrative reasons.
📅Interest payment shall be made within 2 months from the date of sanctioning.
⚖️Disciplinary action shall be taken against the GS(s) responsible for the delay. Interest payment shall not wait for the outcome of such disciplinary proceedings.

Period for Which Interest Is Payable

Situation	Interest Payable From
📅 Superannuation	Date following expiry of 3 months from retirement → up to date of payment
📅 Other retirement / absorption / death	Date following expiry of 3 months from retirement/absorption/death → up to date of payment
⚖️ Exonerated after dept/judicial proceedings	Date following expiry of 3 months from retirement → up to date of payment of gratuity and arrears
⚖️ Not fully exonerated but pension/gratuity allowed	Date following expiry of 3 months from the order for payment → up to date of payment
🕊️ Proceedings dropped on death	Date following expiry of 3 months from death → up to date of payment of pension, family pension and gratuity
📈 Retrospective revision of emoluments / liberalisation	Date following expiry of 3 months from the revision/liberalisation order → up to date of payment of arrears

Rule 66 — Revision of Pension After Authorisation

📈Pension and family pension may be revised by the Government in accordance with any general order issued in implementation of Central Pay Commission recommendations or otherwise. The revised pension shall become the basic pension for additional pension/family pension and dearness relief.
🔒Subject to Rules 7 and 8 — pension once finally assessed or revised shall not be revised to the disadvantage of the GS — unless revision becomes necessary on account of detection of a clerical error.
⚠️No adverse revision after 2 years from the date of authorisation/revision — without concurrence of the Department of Pension and Pensioners' Welfare.
💰If excess payment was made and was not due to misrepresentation by the pensioner — the administrative Ministry shall examine (in consultation with Ministry of Finance, Department of Expenditure) whether recovery can be waived off.
📋If not waived — the pensioner shall be served a notice to refund within 2 months. If not complied with — excess shall be adjusted by short payments of future pension in instalments.

📌 Why 2-Year Protection?

The 2-year protection against adverse revision gives the pensioner a window of certainty after pension is fixed or revised. An error in pension calculation may take time to surface. If the Ministry/Department wants to correct the pension downwards after 2 years, they must get DoPPW concurrence — which acts as a check to ensure the recovery is genuinely warranted. If the excess was paid without misrepresentation by the pensioner, the Ministry must also examine (in consultation with Ministry of Finance, Department of Expenditure) whether recovery should be waived off entirely — protecting pensioners from financial hardship due to errors not of their making.

Rule 67 — Recovery and Adjustment of Government Dues

💰The Head of Office shall ascertain and assess Government dues payable by a retiring GS. Outstanding dues shall be adjusted against retirement gratuity.

📖 "Government Dues" Includes

🏠Accommodation dues: Arrears of licence fee, damages (for occupation beyond permissible period, subletting, unauthorised occupation, transfer to ineligible office), electricity/water/PNG charges.
💳Other dues: Balance of house building/conveyance/any other advance; overpayment of pay and allowances/leave salary; arrears of income tax deductible at source under the Income Tax Act, 1961.

⚠️Only Government dues shall be adjusted against retirement gratuity. Any other dues which are not Government dues shall not be recoverable from the gratuity.

Rule 68 — Adjustment of Dues Pertaining to Government Accommodation

🏠Superannuation: Directorate of Estates shall inform the Head of Office within 2 months of receipt of intimation, if any licence fee is recoverable for the period prior to 8 months of retirement.
🏠Other retirement: Directorate of Estates shall inform within 1 month.
📋If no intimation received by the stipulated date — it shall be presumed that no licence fee was recoverable.
📋Head of Office shall ensure licence fee for the last 8 months is recovered monthly from pay and allowances. Any balance — recovered from gratuity.
📋Licence fee for retention of accommodation beyond retirement — also adjusted from gratuity.

Where Directorate Cannot Determine Dues

📋Directorate of Estates shall inform the Head of Office that 10% of gratuity may be withheld pending further information.
📋The withheld amount shall be paid immediately on production of "No Demand Certificate" after actual vacation of accommodation.
📅Directorate of Estates shall issue the No Demand Certificate within 14 days of application after vacation. If it fails — interest shall be payable (at GPF rate) on the excess withheld amount from the date of application until the date of refund.
💰Any remaining unpaid amounts (licence fee, damages, electricity/water/PNG) may be ordered by the Directorate to be recovered from Dearness Relief without the consent of the pensioner — no DR shall be disbursed until full recovery is made.

Rule 69 — Adjustment of Dues Other Than Accommodation

📋Head of Office shall assess non-accommodation dues 1 year before superannuation (or on date of leave preparatory to retirement, whichever is earlier). Assessment to be completed 8 months before superannuation.
📋For non-superannuation cases — assessment within 30 days after retirement.
💰All assessed dues (including those coming to notice subsequently) outstanding till retirement shall be adjusted against retirement gratuity.

📌 Connection to Rules 56 & 57

The "1 year before" trigger in Rule 69 aligns with Rule 56 (preparatory work commences 1 year before superannuation). The "8 months before" deadline in Rule 69 aligns with Rule 57 Stage 3 (Head of Office communicates qualifying service, emoluments, and average emoluments to the GS not later than 8 months before retirement). By completing the dues assessment at the same time as the Rule 57 communication to the GS, the Head of Office can include the full Government dues picture in the Format 10 forwarding letter to the Accounts Officer (Rule 60), well before the 4-month deadline for forwarding pension papers.

Rule 70 — Date of Retirement to Be Notified

📋Gazetted GS: A notification in the Official Gazette specifying the date of retirement — issued within 1 week of retirement.
📋Non-gazetted GS: An office order specifying the date of retirement — issued within 1 week.
📋A copy of the notification/office order shall be forwarded immediately to the Accounts Officer.
📋Where a notification for leave preparatory to retirement was already issued — no further notification needed on actual retirement (unless leave is curtailed or retirement is ante-dated/postponed).
⚠️Failure to issue the notification/office order shall not entitle the GS to continue beyond superannuation. Unless specific orders for extension of service are issued, the GS shall be deemed to have retired on attaining the age of superannuation.

Chapter X — Quick Reference Timeline

Action	By Whom	When
Prepare retirement list	Head of Department	By 15th of every month (for next 15 months)
Supply list to Accounts Officer	Head of Department	Before the last day of every month
Inform AO — non-superannuation retirement	Head of Office	Within 10 days of retirement order
Intimate Directorate of Estates	Head of Office	At least 1 year before superannuation; within 10 days for others
Start preparatory work	Head of Office	1 year before superannuation or LPR date, whichever earlier
Complete service verification (Stage 1 & 2); communicate to GS (Stage 3)	Head of Office	8 months before superannuation
GS submits Form 4, Form 6, Format 9, Form A, option form	Government Servant	6 months before retirement
Complete Part I of Form 7; forward to AO	Head of Office	4 months before superannuation; 2 months after forms for others
Issue PPO	Accounts Officer	2 months in advance of superannuation; 45 days for others
Forward PPO to CPAO	Accounts Officer	Within 2 months of receipt of papers
Issue Special Seal of Authority	CPAO	Within 21 days of receipt of PPO
Provisional pension (if needed)	Head of Office	Within 10 days after superannuation; 1 month for others
Notify date of retirement — Gazetted GS	Head of Office	Within 1 week (Official Gazette)
Notify date of retirement — Non-Gazetted GS	Head of Office	Within 1 week (Office Order)
Interest on delayed payment sanctioned	Secretary/Jt. Secretary (Admin. Ministry)	Paid within 2 months of sanctioning
No Demand Certificate (DoE — accommodation vacated)	Directorate of Estates	Within 14 days of application
Adverse revision of pension	Ministry/Department (with DoPPW concurrence)	Not permissible after 2 years without DoPPW concurrence

Chapter XI : Death / Missing While in Service — Rules 71 to 78

Rules (71–78)

15 Days

Provisional FP (HoO)

1 Month

PPO by Accounts Officer

6 Months

Provisional FP Period

7 Years

Missing → Death Gratuity

Rule 71 — Obtaining of Claims for Family Pension and Gratuity

On Death of a Government Servant (in Service)

📋On receipt of intimation or information about the death of a Government servant while in service, the Head of Office shall ascertain whether any death gratuity or family pension or both are payable in respect of the deceased GS.

Death Gratuity (Rule 45 eligible family)

Head of Office shall ascertain:

(i) Whether the deceased GS had made a nomination to receive the gratuity; and
(ii) If no valid nomination exists, the person(s) to whom gratuity may be payable.

The Head of Office shall then address the persons concerned in Format 11 and invite a claim for gratuity in Form 9.

Family Pension (Rule 50 eligible family)

Head of Office shall address the eligible member of the family or guardian in Format 12 — inviting a claim for family pension in Form 10 and submission of an Undertaking to the Bank in Format 9.

Government Accommodation Dues (if GS was an allottee)

(i) Waiver: Arrears of licence fee for the period before the date of death shall stand waived off.

(ii) Retention by family: If the family retains Government accommodation, licence fee for the month of death and the first 3 months thereafter shall not be recovered from the family.

(iii) Damages: Any dues relating to damages shall be recovered from the death gratuity.

(iv) Directorate of Estates: Head of Office shall address the Directorate of Estates within 7 days of receipt of information of death — for issue of "No Demand Certificate" as per Rule 77(1).

📌 Rule 77(1) — What the DoE Intimation Must Cover (7-Day Deadline)

Within 7 days of receipt of death/disappearance information, the Head of Office must forward to the Directorate of Estates: (a) name and designation; (b) accommodation particulars; (c) date of death/disappearance; (d) leave status; (e) whether rent-free accommodation; (f) period up to which licence fee was recovered and monthly rate; (g) details of unrecovered licence fee and proposed retention period. The Directorate of Estates must then respond within 1 month with any other outstanding dues. If no response — it is presumed that nothing is recoverable and the withheld 10% of gratuity is released. Key concession: Licence fee for the period before date of death is waived; and if the family retains the accommodation, licence fee for the month of death + first 3 months thereafter is not recovered.

On Missing of a Government Servant (While in Service)

Ascertain Entitlements

Head of Office shall ascertain whether gratuity or family pension or both is payable in respect of the missing GS in accordance with Rule 51.

Invite Claims — Format 11 & Format 12

Shall address the eligible family member in Format 11 for gratuity (Form 9) and in Format 12 for family pension (Form 10).

Police Report Requirement

The eligible family members shall be informed that claims for family pension and gratuity must be submitted after:

✅ Lodging a First Information Report / Daily Diary Entry / General Diary Entry with the concerned Police Station; AND
✅ Obtaining a police report confirming the GS could not be traced despite all efforts.

Claims must be accompanied by: Undertaking to Bank (Format 9), Indemnity Bond (Format 8), copy of police report, and the report of non-tracing.

No Waiting for Death Certificate

The Head of Office shall NOT wait for a death certificate from any authority. Action under this rule shall be initiated immediately on receipt of intimation or credible information in any form about the death of the GS.

📖 Efficiency Instructions — Rule 71

✅Head of Office shall make special efforts to obtain claims from the family as early as possible.
🏠If family is at the place of duty — forms and documents may be got completed in person.
📬If family is outside the place of duty — all blank forms and documents shall be forwarded to the family with clear instructions, to avoid unnecessary correspondence and delay.
👨‍👩‍👧A family member other than the widow or widower shall submit, along with the claim for family pension, the income/dependency documents referred to in Rule 50(12)(b).

📌 Rule 50(12)(b) — Documents for Proving Non-Earning Status

Rule 50(12)(b) specifies the documents to establish eligibility: (i) Last Income Tax Return filed; or (ii) Certificate from the Sub-Divisional Magistrate declaring the member's income; or (iii) Any other document that the Head of Office finds acceptable. A member is deemed to be "earning a livelihood" if income from sources other than family pension is not less than the minimum family pension + Dearness Relief. This document is required annually to confirm continued eligibility. Widows/widowers are exempt as their eligibility does not depend on income.

Rule 72 — Verification of Service and Emoluments for Family Pension and Gratuity

Verification of Service

📋The Head of Office shall go through the service book of the deceased or missing GS and satisfy himself whether certificates of verification of service for the entire service are recorded therein.

📌 How to Handle Unverified Service Periods

✅The Head of Office shall accept the unverified portion of service as verified on the basis of available entries in the service book.
✅He may rely on any other relevant material to which he has ready access.
⚠️While accepting unverified service, the Head of Office shall ensure that service was continuous and was not forfeited on account of dismissal, removal, resignation, or participation in a strike.

Verification of Emoluments

💰For determining emoluments, the Head of Office shall confine verification to a maximum period of 1 year preceding the date of death or disappearance of the GS.
📋If the GS was on extraordinary leave on the date of death/disappearance — the correctness of emoluments shall be verified for a maximum period of 1 year preceding the commencement of that extraordinary leave.

⏱️ Timeline — Rule 72

📅The entire process of determination of qualifying service and qualifying emoluments shall be completed within 1 month of receipt of intimation or information regarding the death or disappearance of the GS.

Rule 73 — Action to Be Taken When Service Records Are Incomplete

⚠️General Principle (Rule 73(1)): There shall not be any case where the service book has not been maintained properly. Non-maintenance despite Government orders is a lapses.

Action When Service Book Is Incomplete (Rule 73(2))

Notwithstanding sub-rule (1), if it is not possible to accept unverified service on the basis of entries in the service book —

👨‍👩‍👧

For Family Pension

If the family is eligible under Rule 50(1) or Rule 51(1) — the amount of family pension and period for which it is payable shall be determined under Rule 50(2) within 1 month from the date of receipt of intimation.

📌 Rule 50(1), 50(2), 51(1) — What Each Provides

Rule 50(1) — When FP is payable: Family pension is payable when the GS dies after 1 year of continuous service (or even before 1 year if medically fit on appointment), or after retirement while in receipt of a pension/compassionate allowance. Rule 51(1) — Missing GS: Family pension payable to the family of a missing GS under the same conditions as Rule 50(1), effective from the latest of (a) date after leave sanctioned expired, (b) date after pay/allowances were last paid, or (c) date of lodging FIR/DDR/GDE. Rule 50(2) — Rates: Normal = 30% of pay; Enhanced = 50% of pay (10 years for death in service; 7 years/age 67 for death after retirement). Even when records are incomplete, eligibility under Rule 50(1)/51(1) and rates under Rule 50(2) can be applied immediately, so the family is not kept waiting.

🎁

For Gratuity — Detailed Steps

A multi-step verification procedure applies — see flow below.

Step-by-Step Gratuity Verification (Incomplete Records)

Verify from Pay Bills, Acquittance Rolls, LPC, Pay Slips

The Head of Office shall verify unverified service periods from pay bills, acquittance rolls, last pay certificate, pay slip for April (which shows verification for the previous financial year) — and record necessary certificates in the service book.

Refer to Previous Office/Department

If service for any period is not capable of being verified locally because the GS served in another office — the present Head of Office shall refer that period to the Head of Office of that other department for verification.

Response Within 1 Month

The other Head of Office shall verify and send certificates within 1 month. If any period is incapable of being verified, this shall be simultaneously communicated to the referring Head of Office.

No Response → Deemed to Qualify

If no response is received within 1 month, such period(s) shall be deemed to qualify for pension. If it is later found that non-qualifying service was not communicated, the Secretary of the administrative Ministry/Department shall fix responsibility for such non-communication.

Unverifiable Service → Ignored

If after all efforts, any omission or deficiency remains incapable of being made good, such unverified service shown in the service book shall be ignored. The qualifying service for gratuity shall be determined on the basis of entries in the service book.

💰 Provisional Gratuity (Rule 73(3))

✅Where the entire service cannot be verified immediately and there is likely to be a delay in determining the final gratuity — the provisional gratuity shall be determined on the basis of the spell of qualifying service verified and accepted immediately preceding the date of death. Authorised within 1 month from receipt of intimation. See Rule 75(7) for disbursement details.

Rule 74 — Forwarding the Family Pension Case to the Accounts Officer

📤On receipt of the claim(s), the Head of Office shall complete Form 11 in respect of the deceased/missing GS and send it to the Accounts Officer, along with:

📋Covering letter in Format 10
📋Undertaking to the Bank in Format 9 (duly completed)
📋Duly completed and up-to-date service book of the GS
📋Any other documents relied upon for verification of service

⏱️ Timeline — Rule 74

📅To be forwarded not later than 1 month from the date of receipt of the claim by the Head of Office.

Government Dues — Details to be Furnished in Format 10

💰(a) Assessed dues: Government dues ascertained under Rule 77 and recoverable out of gratuity before payment is authorised.
💰(b) Dues not yet assessed: Amount of gratuity to be held over — partly for adjustment of unassessed dues, partly as margin for final determination of gratuity.
⚠️Cap on amount withheld: Amount held over under (b) shall be limited to 10% of the total gratuity.

📌 Why 10% Cap? — Connection to Rule 77

The 10% cap on withheld gratuity mirrors the Rule 77(1)(vi) provision where the Head of Office withholds 10% of death gratuity pending information from the Directorate of Estates about accommodation dues. The same 10% limit applies here in Rule 74 to prevent excessive withholding for potential unassessed Government dues. This means that even if the total unassessed dues might exceed 10% of gratuity, only 10% can be withheld — protecting the family from having a disproportionate portion of their gratuity held in limbo. Any dues discovered later that exceed the withheld 10% may be recovered from Dearness Relief without the family's consent (Rule 77(1)(x)).

✅ Important Provision — Rule 74(2)

✅The claim of a family member shall not be rejected on the ground that details of such member are not available in Form 4 or office records, if the Head of Office is otherwise satisfied about the eligibility of the family member for grant of family pension under these rules.

Rule 75 — Sanction, Drawal and Disbursement of Provisional Family Pension and Provisional Gratuity (by Head of Office)

Provisional Family Pension — Process

Provisional Family Pension

= Maximum Family Pension admissible under Rule 50

Sanctioned within 15 days of receipt of claim · Valid for 6 months

Sanction Letter (within 15 Days)

After receiving the claim in Form 10 and being satisfied about eligibility — the Head of Office shall draw provisional family pension within 15 days. He shall issue a sanction letter in favour of the claimant(s), endorsing a copy to the Accounts Officer, indicating the amount of provisional family pension.

Drawing & Disbursement

The Head of Office shall draw the provisional family pension in the same manner as pay and allowances of the establishment are drawn. He shall disburse it immediately (including arrears, if any) after drawing.

Duration — 6 Months

Payment of provisional family pension shall continue for 6 months from the date following the date of death — unless extended under the proviso to Rule 76(1). Head of Office shall inform the Accounts Officer as soon as the 6-month period (or extended period) is over.

📌 Proviso to Rule 76(1) — How Extension Works

The Accounts Officer shall assess the amount of family pension within 1 month of receipt of the family pension case. If the AO is unable to assess family pension within 1 month for any reason, he shall communicate this fact to the Head of Office — specifying the additional period for which the Head of Office should continue disbursing provisional family pension. The Head of Office shall then submit the case to the Head of Department for approval of the extension and issue a fresh sanction for that extended period. Without this procedure being followed, the HoO has no authority to continue provisional FP beyond 6 months.

Provisional Death Gratuity — Process (After Case Forwarded to AO)

Issue Sanction Letter — 100% Gratuity

After forwarding the family pension case to the Accounts Officer (Rule 74), the Head of Office shall draw 100% of the death gratuity as determined. He shall issue a sanction letter in favour of the claimant(s) and indicate the amount recoverable from the gratuity under Rule 74(3) (Government dues, 10% withheld).

Draw and Disburse Immediately

Draw the 100% death gratuity after deducting dues as per Rule 74(3). Disburse immediately after drawing. Head of Office shall inform the Accounts Officer as soon as the provisional gratuity has been paid.

📌 Rule 74(3) — Dues to Be Deducted from Death Gratuity

(a) Assessed dues: Government dues ascertained and assessed under Rule 77 and recoverable out of the gratuity before payment is authorised; (b) Unassessed dues: Amount to be held over — partly for adjustment of dues not yet assessed and partly as margin for adjustment in the light of final determination; (c) Cap: The maximum amount held over under (b) shall be limited to 10% of the total gratuity.

Provisional Gratuity — When Service Incomplete (Rule 75(7))

✅If the entire service cannot be verified immediately and there is likely to be a delay — the gratuity shall be provisionally determined on the basis of the verified spell of qualifying service immediately preceding the date of death.
📅If a claim in Form 9 has been received — the provisional gratuity shall be authorised within 1 month from the date of receipt of intimation/information of death.
📅The final gratuity shall be determined within 3 months from the date of authority for provisional gratuity. The balance, if any, shall then be authorised to the beneficiaries.

📌 Rule 45(1)(b) — Retirement Gratuity Formula Applied Here

The formula used is: one-quarter of emoluments for each completed six-monthly period of qualifying service, subject to 16.5x emoluments cap and overall ₹20 lakh cap (Rule 45(1)(b)). For provisional calculation, only the verified and accepted spell of QS immediately before death is counted — not the full career if parts remain unverified. The balance (once full service is verified within 3 months of the provisional authority) is then authorised separately. This avoids delaying all payment to the family while service verification is completed.

⚠️Key Exam Point: Under Rule 75, the Head of Office draws and disburses — provisional family pension within 15 days and 100% provisional death gratuity simultaneously (after deducting dues). The Accounts Officer handles the final assessment under Rule 76.

Rule 76 — Authorisation of Final Family Pension and Balance of Gratuity (by Accounts Officer)

PPO — Timeline and Process

Action	Timeline
Apply requisite checks & assess family pension + gratuity	Within 1 month of receipt of family pension case from Head of Office
Issue Pension Payment Order (PPO)	Not later than 1 month from receipt of family pension case
Forward PPO to CPAO (Special Seal of Authority)	Within 1 month from receipt of family pension case
CPAO issues Special Seal of Authority	Within 10 days of receipt of PPO from Accounts Officer
Pension Disbursing Authority disburses family pension	Not later than 15 days of receipt of Special Seal of Authority from CPAO

📖 Emoluments Verification — Rule 76(1)

ℹ️The Accounts Officer shall confine the verification of correctness of emoluments to a maximum period of 1 year preceding the date of death or disappearance of the GS.

Extension of Provisional Family Pension

📋If the Accounts Officer is unable to assess family pension within 1 month — he shall communicate the fact to the Head of Office to continue disbursing provisional family pension for such period as the AO specifies.
📋The Head of Office shall submit the case to the Head of Department for approval of the extension. On approval, the Head of Office shall issue a sanction for extension of the provisional family pension period.

PPO — Commencement of Family Pension (Deceased Cases)

📅Where provisional family pension was sanctioned under Rule 75 — the Accounts Officer shall indicate in the PPO the date up to which provisional family pension shall continue (paid by Head of Office) and the date from which family pension by the Pension Disbursing Authority becomes effective.
💰Arrears of family pension for the period of provisional family pension (drawn by Head of Office) shall also be authorised by the Accounts Officer to be paid by the Head of Office.

📌 This Is Rule 76(2)(d) — Referenced in Rule 81

This is the provision that Rule 81(2) refers to when it says "subject to the provisions of Rule 76(2)(d)". The family pension commencement date for the PDA is not the day after the GS's death — it is the date following the date on which the provisional family pension (paid by the Head of Office) ceased. The PPO will specifically indicate both dates so there is no gap in payment between the two phases.

PPO — Commencement of Family Pension (Missing GS Cases)

📅Family pension shall be effective from the latest of:

📌Date following the date up to which leave was sanctioned to the GS before going missing; or
📌Date up to which pay and allowances were paid; or
📌Date on which FIR/DDR/GDE was lodged with the Police Station.

⏳Payment of family pension and arrears for the period from the above date to the commencement of payment shall be made by the Pension Disbursing Authority only after expiry of 6 months from the date of lodging of the police report.

Balance Gratuity — Death Cases & Missing Cases

Scenario	AO Action
Death in Service	Determine balance of death gratuity after adjusting dues. Intimate Head of Office to draw and disburse to person(s) to whom provisional gratuity was paid.
Missing GS	Determine gratuity payable after adjusting dues. Intimate Head of Office — disburse only after 6 months from date of lodging police report. AO issues intimation within 1 month of receipt of case.

Accommodation Dues Withheld — Adjustment

💰The amount of gratuity withheld (from Rule 74(3)(b)) shall be adjusted by the Head of Office against outstanding licence fee mentioned in Rule 77(1)(viii). The balance, if any, shall be refunded to the person(s) to whom gratuity was paid.

Over-payment Provisions — Rule 76(6) & (7)

Overpayment Type	Recovery Method
Provisional family pension exceeds final family pension	Excess adjusted from gratuity — failing which, in instalments from future family pension
Provisional gratuity exceeds final gratuity	Beneficiary shall NOT be required to refund excess. Head of Office shall minimise such overpayments. Head of Department shall fix responsibility for excess payment.

Multiple Claimants — Processing Without Linking (Rule 76(8))

✅If there are multiple eligible family members and one has not submitted Form 10 (family pension claim) — the case of other eligible members may be processed without linking it to the pending claim.
✅Similarly, if a family member has not submitted Form 9 (gratuity claim) — the case of other eligible members may be processed without linking it.

Rule 77 — Adjustment of Government Dues

Part 1 — Dues Pertaining to Government Accommodation [Rule 77(1)]

Referral to Directorate of Estates (within 7 Days)

If the deceased/missing GS was an allottee of Government accommodation — the Head of Office shall, within 7 days of receipt of information of death or disappearance, forward details to the Directorate of Estates and request a "No Demand Certificate", including:
(a) Name, designation; (b) Accommodation particulars; (c) Date of death/disappearance; (d) Leave status; (e) Whether rent-free accommodation; (f) Period up to which licence fee was recovered & rate; (g) Unrecovered amounts, retention period licence fee, amount to be recovered from gratuity; (h) Previous references from DoE.

Waiver of Pre-Death Licence Fee + 3 Months Concession

✅ Dues of licence fee for the period before the date of death shall be waived off.
✅ If family retains the accommodation — licence fee for the month of death + first 3 months thereafter shall NOT be recovered from the family.

Directorate of Estates — Response Within 1 Month

Directorate of Estates shall scrutinise records for any dues other than licence fee (damages, electricity, water, PNG etc.) outstanding against the deceased/missing GS. Amount and period(s) shall be communicated to the Head of Office within 1 month of receipt of intimation.

10% of Gratuity Withheld Pending DoE Response

Pending receipt of information from the Directorate of Estates under clause (v), the Head of Office shall withhold 10% of the death gratuity.

vii

No Response → Presume Nothing Recoverable → Release Withheld Amount

If no intimation is received from the Directorate of Estates (within the 1-month period) or the Directorate expresses inability to assess dues — it shall be presumed that nothing was recoverable. The withheld 10% shall be paid to the person(s) to whom the gratuity was paid.

Remaining Dues — Recovered from Dearness Relief (Without Consent)

Any licence fee or damages remaining unpaid after adjustment from the withheld gratuity, or any dues intimated by the Directorate after the gratuity has been paid — may be ordered to be recovered by the Head of Office through the Accounts Officer from Dearness Relief without the consent of the family pensioner. No dearness relief shall be disbursed until full recovery is made.

Part 2 — Dues Other Than Government Accommodation [Rule 77(2)]

💰Within 15 days of receipt of intimation regarding death or disappearance, the Head of Office shall take steps to ascertain if any dues as referred to in Rule 67 (other than accommodation dues) were recoverable from the deceased/missing GS — and recover such ascertainable dues from the gratuity becoming payable to the family.

Type of Dues	Recovery Action
Pre-death licence fee	✅ Waived off
Month of death + 3 months licence fee (retained accommodation)	✅ Not recovered from family
Damages / unpaid post-concessional period dues	Recovered from death gratuity
Unresolved accommodation dues (pending DoE response)	10% gratuity withheld; released if no response within 1 month
Remaining unpaid dues after gratuity adjustment	Recovered from Dearness Relief (without consent)
Other Government dues (Rule 67)	Ascertained within 15 days; adjusted from gratuity

Rule 78 — Payment of Family Pension and Death Gratuity When a GS Dies or Goes Missing While on Deputation

Situation	Who Takes Pension Action?
GS dies/goes missing while on deputation to another Central Government Department	Head of Office of the Borrowing Department
GS dies/goes missing while on deputation to a State Government	Head of Office or Cadre Authority which sanctioned the deputation
GS dies/goes missing while on foreign service	Head of Office or Cadre Authority which sanctioned the foreign service

📖 Principle Behind Rule 78

ℹ️The borrowing department / cadre authority handles the case because they are best placed to collect documents, verify service, and process claims — ensuring no delays due to cross-referral. The authorisation of family pension and gratuity shall be in accordance with all other provisions of Chapter XI.

Chapter XI — Quick Reference Summary

Rule	Key Actions & Timelines
🕊️ Rule 71 — Obtaining Claims	HoO ascertains entitlement; addresses family via Format 11 (gratuity) & Format 12 (FP); no waiting for death certificate; missing cases require FIR/DDR + police non-tracing report + Indemnity Bond (Format 8).
✅ Rule 72 — Verification	Accept unverified service on available entries. Emoluments verified for max 1 year preceding death/disappearance. Complete within 1 month.
📋 Rule 73 — Incomplete Records	FP determined within 1 month regardless. Gratuity: verify from pay bills → refer to other dept → 1-month response → deemed to qualify if no response → ignore incapable periods.
📤 Rule 74 — Forward to AO	Form 11 + Format 10 + Format 9 + service book → AO. Within 1 month of receipt of claim. Indicate dues; 10% withheld (max). Do not reject claim for missing Form 4 details.
💰 Rule 75 — HoO Provisional	Provisional FP sanctioned within 15 days; paid for 6 months. 100% provisional death gratuity drawn and disbursed immediately after forwarding case. If service incomplete: provisional gratuity within 1 month, final within 3 months.
🏦 Rule 76 — AO Final	Assess within 1 month; issue PPO within 1 month. CPAO issues SSA within 10 days. PDA disburses within 15 days. Missing cases: FP from latest of leave-end/pay-end/FIR date; 6-month wait on payment. Excess FP → adjusted from gratuity. Excess gratuity → NOT recovered from family.
🏠 Rule 77 — Government Dues	DoE addressed within 7 days. Pre-death licence fee waived. Month of death + 3 months not recovered. 10% withheld; released if no DoE response in 1 month. Non-accommodation dues: ascertain within 15 days. Residual dues recovered from DR without consent.
🔄 Rule 78 — Deputation Cases	Borrowing dept (Central deputation) or cadre authority (State/foreign service) handles pension action.

Chapter XII : Sanction of Family Pension and Residuary Gratuity in Respect of Deceased / Missing Pensioners or Family Pensioner — Rules 79 & 80

1 Month

PDA Commences FP (from PPO)

1 Month

HoO Sanctions (from Form 10)

1 Month

AO Authorises Payment

10 Days

CPAO Issues SSA

15 Days

PDA Disburses

Chapter XII — Sanction of Family Pension and Residuary Gratuity in Respect of Deceased / Missing Pensioners or Family Pensioner

Rule 79 — Sanction of Family Pension and Residuary Gratuity on Death / Disappearance of a Pensioner or Family Pensioner

📋On receiving intimation of the death or disappearance of a pensioner, or the death, disappearance, or ineligibility of a family pensioner — the Head of Office shall ascertain whether family pension, residuary gratuity, or both are payable, and take action as below.

Sub-rule (2)(a) — Death of Pensioner: Family Pensioner Named in PPO

👩Widow or Widower: Family pension as indicated in the PPO becomes payable from the day following the date of death. The Pension Disbursing Authority (PDA) shall commence payment within 1 month of receiving a claim in Form 12 along with the death certificate and undertaking to the Bank (Format 9).
♿Permanently disabled child / dependent parents / disabled siblings (whose names are already in the PPO): PDA shall commence disbursement within 1 month of receiving Form 12 + death certificate + Format 9, to whichever member is next eligible under Rule 50.
➕Names NOT previously in PPO (permanently disabled child / dependent parents / disabled siblings survived by spouse): The Accounts Officer shall add their names to the PPO on receiving a written communication from the Head of Office, based on a request made by the spouse of the deceased pensioner in Form 8.
🔄On the death or ineligibility of the current family pensioner (where the next eligible member's name is in the PPO): PDA shall commence payment to that next member within 1 month of receiving Form 12 + death certificate + Format 9.

Sub-rule (2)(b) — Name NOT in PPO / New Eligible Member

📝Where the PPO does not include the name of any family member for family pension; or where family pension has become payable to a member other than the one named in the PPO — including a person who became a family member of the pensioner after his retirement — the Head of Office shall sanction family pension in Format 13 within 1 month of receiving the claim in Form 10.
♿On sanctioning family pension under (i), the Head of Office shall also include the names of permanently disabled children, dependent parents, and disabled siblings as future family pensioners — if there is no other family member with a prior claim over them.

Sub-rule (3) — Missing Pensioner or Family Pensioner

🔍Head of Office ascertains entitlement under Rule 51(2) / 51(3) and addresses the eligible family member or guardian in Format 12 — inviting a claim for family pension in Form 10.
📋The claim in Form 10 must be submitted after lodging a police report, and must be accompanied by:

📌Indemnity Bond in Format 8
📌Copy of FIR / Daily Diary Entry / General Diary Entry lodged with the concerned Police Station
📌Police report confirming the pensioner / family pensioner could not be traced despite all efforts
📌Undertaking to the Bank in Format 9

📅Effective date of family pension — later of:

📅Day following the date up to which pension or family pension was last paid to the missing pensioner or family pensioner; or
📅Date on which the FIR / DDR / GDE was lodged with the Police Station

⏳6-month bar on payment: The sanction in Format 13 shall stipulate that the PDA shall not disburse family pension — including arrears from the effective date — before the expiry of 6 months from the date of lodging the police report.
✅A claim shall not be rejected on the ground that details of the family member are not available in Form 4 or office records — if the Head of Office is otherwise satisfied about eligibility under Rule 50.
📄A family member other than widow or widower must submit income/dependency proof as specified in Rule 50(12)(b) along with the Form 10 claim.

📌 Rule 51(2) & (3) — Effective Date Explained

Rule 51(2) — Missing Pensioner: Family pension is payable at the same rates and with the same eligibility conditions as on death of a pensioner. Effective from the later of: date following the date up to which pension was paid; or date of lodging FIR/DDR/GDE. Rule 51(3) — Missing Family Pensioner: Family pension passes to the next eligible family member at rates applicable as on death of a family pensioner. Effective from the later of: date following the date up to which family pension was last paid; or date of lodging FIR/DDR/GDE. In both cases — payment shall not be made before 6 months from the date of lodging the police report.

Sub-rule (4) — Remarriage of Widow / Widower

👦Minor children exist at the time of remarriage: The remarried widow or widower may continue to draw family pension on behalf of the minor children if he/she remains their guardian — by submitting Form 10 with a declaration of continued guardianship. Once the guardian changes, the family pension is paid to the new guardian instead.
🎂When a minor child attains majority: family pension becomes payable directly to the child — subject to continued eligibility under Rule 50 after attaining majority.
🧑Adult child at the time of remarriage: Where the child from the deceased GS or pensioner has already attained majority and is eligible for family pension — family pension shall be payable to that child from the date of the parent's remarriage.

Sub-rule (5) — Minor / Mentally Disabled Eligible Person

👶If the person eligible for family pension is a minor, or suffering from any disorder or disability of mind, or is mentally retarded — the guardian may submit Form 10 on that person's behalf.

Sub-rule (6) — Residuary Gratuity

💰Where a residuary gratuity is payable under Rule 45(2) on the death of a retired Government servant — the Head of Office shall sanction its payment on receiving a claim in Form 13 from the eligible family member(s).

📌 Rule 45(2) — Residuary Gratuity: When It Applies

Payable when a GS eligible for pension dies within 5 years of retirement and the total amounts actually received by him on account of pension + gratuity + retirement gratuity + commuted value of pension are less than 12 times his emoluments. The shortfall amount is paid as residuary gratuity to the family in the manner provided under Rule 47.

Forms Quick Reference — Rule 79

Form / Format	Purpose	Filed With / By
Form 8	Spouse's request to add disabled children / parents / siblings to PPO	Spouse → Head of Office
Form 10	FP claim — name NOT in PPO; missing pensioner; remarried guardian; residuary gratuity not applicable	Eligible member → Head of Office
Form 12	FP claim — name IS already in PPO	Eligible member → PDA directly
Form 13	Residuary gratuity claim by eligible family member	Eligible member → Head of Office
Format 8	Indemnity Bond — required in missing pensioner cases	Submitted alongside Form 10
Format 9	Undertaking to the Bank	Submitted with Form 12 or Form 10
Format 12	HoO letter inviting eligible family member to file a claim	Issued by Head of Office
Format 13	Sanction letter for family pension — issued by HoO where name not in PPO	Issued by Head of Office → forwarded to AO

Rule 80 — Authorisation of Payment by Accounts Officer

Sub-rule (1) — Timeline for AO Authorisation

📋On receipt of the sanction under Rule 79 regarding payment of family pension or of residuary gratuity or of both — the Accounts Officer shall authorise the payment within 1 month from the date of receipt of the sanction.

⏱️ Provisos — Rule 80(1)

💰First Proviso — Interest on Delayed Gratuity: If the payment of gratuity is delayed and the delay is attributable to administrative lapses — interest shall be payable for the period of delay beyond 3 months from the date of submission of claim, and responsibility shall be fixed for such delayed payment in accordance with Rule 65.
📋Second Proviso — Missing Pensioner/Family Pensioner: In the case of a missing pensioner or family pensioner — the Accounts Officer shall indicate in the PPO the date up to which the pension or family pension had been paid to the missing pensioner/family pensioner, and specify that payment of family pension shall not be paid before the expiry of 6 months from the date of lodging the report with the concerned Police Station.

📌 Rule 65 — Interest Rate & Accountability

Interest is paid at the rate applicable to the General Provident Fund. The Secretary of the Ministry/Department (or an officer not below Joint Secretary authorised by him) shall sanction the interest payment within 2 months of sanctioning. Disciplinary action shall be taken against the GS(s) responsible for the delay — interest payment shall NOT wait for the outcome of such disciplinary proceedings. No interest is payable if the delay was caused by the GS/pensioner/family member themselves failing to comply with the prescribed procedure.

📌 Why the 6-Month Bar?

This 6-month waiting period exists because the missing person may still be alive and could return. The bar prevents premature disbursement to the family in cases where the disappearance may not be permanent. The 6-month period runs from the date of lodging the FIR/DDR/GDE with the police — not from the date of disappearance. During this 6-month period, the family pension is sanctioned and the PPO is issued, but actual disbursement by the PDA is held back. After 7 years from the date of lodging the police report, or on earlier conclusive establishment of death (whichever is earlier), the death gratuity also becomes payable.

Sub-rules (2), (3) & (4) — CPAO Chain

Authority	Action	Timeline
Accounts Officer	Forward copy of PPO + Format 9 to CPAO for issuing Special Seal of Authority	Within 1 month of receipt of family pension case from Head of Office
CPAO	Issue Special Seal of Authority and forward it to the PDA along with copy of PPO + Format 9	Within 10 days of receipt of PPO from Accounts Officer
Pension Disbursing Authority	Disburse family pension from the date on which it becomes due	Within 15 days of receipt of Special Seal of Authority from CPAO

Sub-rule (5) — GS Dies After Retirement Without Submitting Forms (Rule 57/58 Not Complied)

Claim by Spouse / Eligible Family Member

The Head of Office shall allow the spouse of the deceased GS or, in absence of spouse, any other member of the family eligible to receive family pension to submit the claim in Form 10 along with Form 4 and an undertaking to the Bank in Format 9.

Proviso: If there is no member eligible for family pension — a member of the family in whose favour a nomination was made for gratuity shall be allowed to submit Form 6 in place of Form 10, indicating bank account details in Form 6.

Head of Office Fills Form 7

The Head of Office shall fill up Form 7 for payment of pension and retirement gratuity in respect of the deceased retired GS — with an indication that the case pertains to a retired GS who did not submit Form 6 and other documents before his death. If a claim for family pension has been submitted in Form 10, the Head of Office shall also issue a sanction in Format 13 for authorisation of family pension to the eligible member.

Forwarding to Accounts Officer

The Head of Office shall send Form 4, Form 7, Form 10 or Form 6 (as the case may be), Format 9 and Format 13 (if applicable) with a forwarding letter in Format 10 to the Accounts Officer — for authorisation of pension, retirement gratuity and family pension, if applicable.

Accounts Officer Authorises — Including Arrears of Pension

The Accounts Officer shall authorise the pension, retirement gratuity and family pension (if applicable) in Part II of the PPO. He shall also authorise the Head of Office to make payment of arrears of pension for the period from the date following the date of retirement up to the date of death — to the member of the family authorised to receive family pension.

Proviso: If there is no member eligible for family pension — arrears of pension shall be paid to the member of the family who has been authorised to receive retirement gratuity.

Family Pension — PPO Forwarded to CPAO

If a family pension has been authorised — the Accounts Officer shall forward a copy of the PPO along with the undertaking to the Bank in Format 9 to CPAO for issuing a Special Seal of Authority and for disbursement of family pension in accordance with sub-rules (2) to (4).

Rule 79 vs Rule 80 — Division of Responsibilities

Feature	Rule 79 — Head of Office	Rule 80 — Accounts Officer
Trigger	Receipt of claim / intimation of death / disappearance	Receipt of sanction from Head of Office
When PPO Has Name	PDA directly commences (Form 12 + death certificate + Format 9)	Not involved directly — PDA acts on existing PPO
When PPO Doesn't Have Name	Sanctions family pension in Format 13 within 1 month	Authorises payment within 1 month of receipt of sanction
Missing Cases	Sanctions FP in Format 13 (from later of pay-cessation/FIR date); 6-month bar on payment	Indicates in PPO the date up to which FP/pension was paid; specifies 6-month bar
GS Dies After Retirement (No Forms)	Fills Form 7; issues Format 13 (if FP); forwards Form 4/7/10 or 6 + Format 9/10/13 to AO	Authorises pension + retirement gratuity + FP in Part II of PPO; authorises arrears to FP recipient
CPAO Chain	N/A	Forwards PPO + Format 9 to CPAO within 1 month
Residuary Gratuity	Sanctions on receipt of claim in Form 13	Authorises payment
Interest on Delay	N/A	Payable if delay beyond 3 months from submission of claim; responsibility fixed per Rule 65

Chapter XIII : Payment of Pensions — Rules 81 to 84

Rule 81 — Date from Which Pension Becomes Payable

📅Subject to the provisions of Rule 8, a pension other than family pension shall become payable from the date on which a Government servant ceases to be borne on the establishment.
📅Subject to the provisions of Rule 76(2)(d) and Rule 79(3)(iv) — family pension shall be payable from the date following the date on which a Government servant or a pensioner dies, or a family pensioner dies or becomes ineligible.
✅Pension including family pension shall be payable for the day on which its recipient dies.

📌 Rule 8 — What This Means Here

The President may withhold or withdraw pension (full or part, permanently or for a specified period) if the pensioner is found guilty of grave misconduct or negligence during service in departmental or judicial proceedings. Where proceedings are pending at the time of retirement, only provisional pension is payable — the final pension is determined after the conclusion of proceedings. Thus, Rule 8 is a condition precedent: pension becomes payable from the date of ceasing to be on the establishment, except where it is withheld, withdrawn, or replaced by provisional pension under Rule 8.

📌 Rule 76(2)(d) — What This Means Here

Death of a GS in service: Where provisional family pension was sanctioned by the Head of Office under Rule 75, the family pension by the Pension Disbursing Authority shall be effective from the date following the date on which the payment of provisional family pension ceased (i.e., after the 6-month provisional period ends). The Accounts Officer indicates in the PPO: (a) the date up to which provisional FP shall continue to be paid by the Head of Office; and (b) the date from which payment by the PDA becomes effective. Thus, for GS who die in service, the PDA commencement date is not necessarily the day after death — it follows after the provisional FP phase.

Rule 82 — Currency in Which Pension Is Payable

💰All pensions including gratuities admissible under these rules shall be payable in rupees in India only.

Rule 83 — Manner of Payment of Gratuity and Pension

💰Except as otherwise provided — a gratuity shall be paid in lump sum.
📅A pension fixed at monthly rates shall be payable monthly on or after the last working day of the month to which the pension relates — except for the month of March, when it shall be payable on or after the 1st working day of April.

Rule 84 — Application of Other Rules

Rules Applicable	In Regard To
Treasury Rules of the Central Government	(i) Procedure for payment of gratuity; (ii) Pension; (iii) Pension undrawn for more than a year; (iv) Pension in respect of deceased pensioner
CCS (Commutation of Pension) Rules, 1981	Commutation of pension authorised under these rules; payment of commuted value of pension; and restoration of commuted pension on expiry of the period of commutation
Payment of Arrears of Pension (Nominations) Rules, 1983	Nomination for receiving the arrears of pension after the death of pensioners

Chapter XIV : Miscellaneous — Rules 85 to 87

Rule 85 — Interpretation

⚖️Where any doubt arises as to the interpretation of these rules, it shall be referred for decision to the Government — in the Department of Pension and Pensioners' Welfare or the Department of Personnel and Training, depending upon the rule or the subject on which a decision is required and the Department which is concerned with that rule or subject.

📌 DoPPW vs DoPT — Which Department Decides What

DoPPW (Department of Pension & Pensioners' Welfare) handles all matters relating to pension policy — amount of pension, family pension rates, dearness relief, commutation, residuary gratuity, and the processing/authorisation rules. DoPT (Department of Personnel & Training) handles service-related matters — qualifying service, conduct rules, disciplinary proceedings, voluntary/premature retirement conditions, and employment after retirement. When a doubt arises, the rule itself indicates which department is "concerned" — e.g. a doubt about Rule 7 (future good conduct) goes to DoPT; a doubt about Rule 44 (pension amount) goes to DoPPW.

Rule 86 — Power to Relax

✅Where any Ministry or Department of the Government is satisfied that the operation of any of these rules causes undue hardship in any particular case, that Ministry or Department may, by order (for reasons to be recorded in writing), dispense with or relax the requirements of that rule — to such extent and subject to such exceptions and conditions as it may consider necessary for dealing with the case in a just and equitable manner.
⚠️Proviso: No such order shall be made except with the concurrence of the Department of Pension and Pensioners' Welfare or the Department of Personnel and Training — depending upon the rule or the subject on which a relaxation is required and the Department which is concerned with that rule or subject.

📌 DoPPW vs DoPT — Which Department Interprets Which Rules?

DoPPW (Department of Pension & Pensioners’ Welfare) handles interpretations relating to: pension amounts, family pension, gratuity, dearness relief, commutation, and all procedural matters under Chapters IV–XIV (Rules 31–87). DoPT (Department of Personnel & Training) handles interpretations relating to: service conditions, disciplinary matters, qualifying service, and general conditions of service under Chapters I–III. The same division applies under Rule 86 (power to relax) — the Ministry seeking relaxation must get concurrence from whichever department is concerned with that particular rule or subject.

⚠️Exam Tip — Rule 86: Relaxation is for individual cases of undue hardship only (not for general application); reasons must be recorded in writing; and concurrence of DoPPW or DoPT (as relevant) is mandatory before any order is made.

Rule 87 — Repeal and Saving

🗑️Sub-rule (1): On the commencement of these rules, every rule [including Central Civil Services (Pension) Rules, 1972], regulation or order including Office Memorandum (hereinafter referred to as the "old rule") in force immediately before such commencement shall, in so far as it provides for any of the matters contained in these rules, cease to operate.

📌 What "Cease to Operate" Means

"Cease to operate" means the 1972 Rules and related OMs/regulations are repealed from the date of commencement of the 2021 Rules (20.12.2021) — but only to the extent they cover matters now covered by the 2021 Rules. The saving clauses in sub-rule (2) ensure that: (a) actions taken under old rules are deemed valid; (b) pending cases of GS who retired before 20.12.2021 are processed under old rules; (c) new nominations/forms required but not yet made must be made under the new rules. The 1972 Rules are not repealed entirely for all purposes — they continue to govern pending cases even after 20.12.2021.

Sub-rule (2) — Saving Provisions (Notwithstanding the Cesser of Operation)

Clause	Saving Provision
(a)(i)	Every nomination for the payment of gratuity made under the old rule shall be deemed to have been made under the corresponding provisions of these rules.
(a)(ii)	Every form regarding details of family of a Government servant for the purpose of Family Pension made under the old rule shall be deemed to have been made under these rules.
(a)(iii)	Every formal application for the sanction of pension made under the old rule shall be deemed to have been made under the corresponding provisions of these rules.
(b)	Any nomination or form required but not yet made before commencement — shall be made after commencement in accordance with the provisions of these rules.
(c)	Any case pertaining to the authorisation of pension to a GS who retired before commencement and is pending — shall be disposed of in accordance with the old rule as if these rules had not been made. 📌 Practical Implication — Pre-20.12.2021 Retirees Any Government servant who retired on or before 19th December, 2021 (the day before commencement of the 2021 Rules) and whose pension/gratuity case is still pending with the Head of Office or the Accounts Officer shall be processed under the CCS (Pension) Rules, 1972 — not the 2021 Rules. This ensures that such retirees are not disadvantaged or confused by a mid-process change of rules. However, if a revision or liberalisation is ordered after commencement and is intended to benefit pre-2021 retirees, the revised rates/conditions from the new rules would apply to them prospectively through a specific Government order.
(d)	Any case pertaining to the authorisation of gratuity and family pension to the family of a deceased GS or a deceased pensioner and is pending — shall be disposed of in accordance with the old rule.
(e)	Subject to clauses (c) and (d) — anything done or any action taken under the old rule shall be deemed to have been done or taken under the corresponding provisions of these rules.

📌 Key Takeaway — Repeal & Saving (Rule 87)

ℹ️The CCS (Pension) Rules, 1972 are repealed. Pending cases of GS who retired before commencement and cases pertaining to deceased GS/pensioners continue under the old rules. All existing nominations, family forms, and pension applications are deemed valid under the new rules. New nominations/forms required but not yet made must be made under the new rules. This ensures a smooth transition without disrupting ongoing pension cases.