DoPPW clarifies Date of Commutation of Pension becomes absolute under CCS (Commutation of Pension) Rules, 1981
No. 4/37/2026-P&PW(D)(3)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhawan,
Khan Market, New Delhi-110003
Date: 29th October, 2026
OFFICE MEMORANDUM
Subject: Date on which commutation of pension becomes absolute under CCS (Commutation of Pension) Rules, 1981 – reg.
The undersigned is directed to say that queries are received in this Department regarding the date on which the commutation of pension becomes absolute under the CCS (Commutation of Pension) Rules, 1981.
2. In this regard, it is stated that by virtue of sub-rule (2) of Rule 84 of the CCS (Pension) Rules, 2021, the provisions of CCS (Commutation of Pension) Rules, 1981 are applicable with respect to the commutation of pension authorised under the CCS (Pension) Rules, 2021.
3. It is stated that commutation becoming absolute refers to the date on which the commutation of a portion of a pension becomes effective and final for the purpose of calculating and paying the commuted value of pension under the CCS (Commutation of Pension) Rules, 1981.
4. The date on which the commutation becomes absolute depends on the facts and circumstance of each case. In accordance with Rule 6(1) of the CCS (Commutation of Pension) Rules, 1981, commutation becomes absolute:
(a) On the date on which the application in Form 1 is received by the Head of Office in a post-retirement application under Rule 13(1);
(b) On the day following the date of retirement in an eligible pre-retirement superannuation case under Rule 13(3); and
(c) On the date on which the medical authority signs the medical report in Part III of Form 4 in a case governed by Rule 18 involving medical examination.
5. The date on which the commutation becomes absolute determines the quantum of the commuted value of pension. The lump sum payable to an applicant is calculated in accordance with the Table of the values prescribed from time to time and applicable to the applicant on that date.
6. This issues with the approval of the competent authority.
(Keshav Madhav Sharma)
Under Secretary to the Government of India
To,
All Ministries/Departments/Organisations
(As per standard list)
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