National Pension Scheme
What is NPS?
The National Pension System (NPS) is a government-sponsored retirement savings scheme in India. It was launched in 2004 by the Pension Fund Regulatory and Development Authority (PFRDA), which regulates and oversees the scheme. The NPS is designed to provide retirement income to individuals in the organized and unorganized sectors.
Voluntary Participation: The NPS is open to all citizens of India, including employees from the public, private, and unorganized sectors.
Tiered Structure:This tier is a mandatory, non-withdrawable retirement account aimed at providing retirement income.
The NPS aims to provide individuals with a pension income during their retirement years and encourages long-term savings and investment habits. It offers a structured and regulated framework for retirement planning and has gained popularity among individuals seeking to build a retirement corpus.The NPS is designed to provide retirement income to individuals in the organized and unorganized sectors.The NPS allows portability, meaning individuals can transfer their NPS accounts from one sector or employer to another.
