NPS: National Pension System (NPS-National Pension Systems) is a scheme run by the central government. In this scheme, there is a guarantee from the government. Now the new rule is ready to be implemented from April 1. Let’s know about it …
The central government launched on 1 January 2004. This scheme is necessary for all government employees joining after this date. Since 2009, the scheme has also been opened to people working in the private sector.
What will change from April 1: According to the news of the English newspaper Live Mint, the Pension Fund Regulator PFRDA (Pension Fund Regulatory and Development Authority) has approved raising the pension fund managers charge. Charges can increase from 1 April. Experts say that if this happens, it will directly affect the pension fund.
New Service – Direct Remittance (D-Remit) facility was introduced for NPS account holders to make payments last year. Through this, account holders can deposit money in their account through NEFT and RTGS. Now the intermediate payment system i.e. IMPS has also been added. The online payment of NPS contribution is free of charge in D-Remit mode.
Experts say that this is a retirement scheme. Therefore, one should invest in this only after taking long term into consideration. You can close your account when you retire. While closing it, you can withdraw some money in a lump sum. You will have to buy an annuity plan with the remaining money. Under the annuity plan, you pay a lump sum money to an insurance company and instead get a full life pension. NPS account is portable. That means it can be shifted. This means that there is no need to open a new account. It is needed to change jobs.
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