Khyber Pakhtunkhwa (KPK) government employees often face a tough choice as they approach retirement: LPR leni chahiye ya Leave Encashment? (Should I take LPR or Leave Encashment?).
With recent changes in the KPK Civil Servants Revised Leave Rules 1981 and the new pension regulations effective from January 2025, understanding these terms is crucial for your financial future.
1. What is LPR? (LPR ka Matlab Kya Hai?)
LPR (Leave Preparatory to Retirement) refers to the leave a government servant can take before their official retirement date.
- LPR Meaning in Urdu: رخصت قبل از ریٹائرمنٹ (Retirement se pehle ki chutti).
- Duration: A civil servant can avail of a maximum of 365 days of LPR, provided they have enough leave balance in their account.
- Status: During LPR, you are technically still “on leave” but not performing active duty. You receive your full pay (including most allowances).
2. What is Leave Encashment? (Chuttiyon ke Paisay)
If you decide not to take your LPR and continue working until your last day of service, you can “sell” your unused leave back to the government. This is called Leave Encashment.
- Rule: Under Rule 20 of the KPK Leave Rules, you can get a lump-sum payment for up to 365 days of unused leave.
- Calculation: This is calculated based on your last drawn basic pay.
- Benefit: This provides a significant cash boost exactly when you retire.
3. LPR vs. Leave Encashment: Kaunsa Option Behtar Hai?
Most employees ask: Kaunsa option zyada faidamand hai? (Which option is more beneficial?). Here is a quick comparison:
| Feature | LPR (Chutti) | Leave Encashment (Naqad Paisay) |
| Duty | No duty for 1 year before retirement. | You work until the last day. |
| Salary | Full monthly salary (Pay + Allowances). | Lump-sum payment (Only Basic Pay). |
| Pension Impact | Service continues during LPR. | Final settlement is faster. |
| Best For | Health issues or personal rest. | Maximizing cash for home/business. |
4. New Pension Calculation Rule (2025 Update)
As of January 1, 2025, the KPK government has shifted the pension basis.
Important: Your pension is now calculated on the average of the last 24 months’ basic pay, not just the last drawn pay.
This means whether you take LPR or Leave Encashment, your gross pension will be determined by your average salary over the two years leading up to retirement.
5. Frequently Asked Questions (FAQs)
LPR meaning in Urdu kya hai?
LPR ka matlab hai “Retirement se pehle ki chutti.” Yeh un mulazmeen ke liye hoti hai jo retirement se ek saal pehle kaam chor kar chutti guzarna chahte hain.
Leave Encashment kab milti hai?
Agar aap LPR nahi letay aur apni duty puri karte hain, to retirement par aapko 365 din ki basic pay ka lump-sum (ek sath) paisa milta hai.
In-service death mein kitni leave encashment milti hai?
Agar koi civil servant service ke doran inteqal kar jaye (in-service death), to unki family ko 365 days ki leave encashment di jati hai (previously this was 180 days in some cases).
Summary for Seekifyhub Readers
If you are planning your retirement in 2026, check your Leave Account immediately. If you have 365 days of leave credit, opting for Leave Encashment is usually the better financial move because it gives you a large cash amount to clear debts or invest, while your pension remains protected by the new “24-month average” rule.
KPK Leave Encashment Calculator
Based on KPK Revised Leave Rules 1981 (Updated 2026)
Download Excel Sheet Calculator
