NPS by Protean (NSDL e-Gov)

The new APP gives your details of Subscribers account online. The Subscriber can access latest account details as is available on the CRA web site using user ID (PRAN) and password. The APP access your account details online and provides you with user friendly interface to browse through your account information. It also enables you to maintain your latest contact details and password.

The APP gives better user experience and provides additional functionality such as
1. View current holdings
2. Request for Transaction Statement for the year on your email ID.
3. Submit Contribution for Tier I / Tier II
4. Change Scheme Preference
5. Initiate withdrawal from Tier II account
6. View your Account details.
7. Download e-PRAN
8. Inquiry/ raise Grievance
9. View Last 5 contribution transactions carried out
10. Change contact details like Telephone, Mobile no. and email ID.
11. Change your Password / Secret Question
12. Regenerate password using secret Question/ OTP
13. Get notifications related to NPS.

NPS, an abbreviation for National Pension System, is a government-backed pension scheme launched by the Government of India to provide old age income security to all Indian citizens. It is managed by the Pension Fund Regulatory and Development Authority (PFRDA) and implemented through various pension fund managers (PFMs).

Key Features:

* Tax Benefits: NPS offers tax benefits under Section 80CCD (1) and Section 80CCD (1B) of the Income Tax Act, 1961. Contributions made to NPS are eligible for tax deductions up to a certain limit.

* Government Contribution: The government contributes 10% of the basic salary plus dearness allowance to the NPS account of its employees.

* Choice of Investment Options: NPS provides various investment options to choose from, including equity funds, corporate debt funds, government securities, and alternative investment funds.

* Flexible Contribution: Subscribers can choose to contribute a fixed amount or a percentage of their salary to their NPS account.

* Portability: NPS accounts are portable, allowing subscribers to transfer their funds to a new PFM or location without losing any benefits.

* Multiple Withdrawal Options: Subscribers can withdraw a portion of their NPS funds at specific intervals or upon retirement.

* Risk Management: NPS offers risk management options such as auto-choice and lifecycle funds, which adjust the investment allocation based on the subscriber's age and risk profile.

Eligibility:

NPS is open to all Indian citizens between the ages of 18 and 65 years. There are two types of NPS accounts: Tier I and Tier II. Tier I accounts are primarily for retirement savings, while Tier II accounts are for additional voluntary savings.

Contribution Limits:

The minimum annual contribution for Tier I accounts is Rs. 1,000, while the maximum contribution limit is 10% of the subscriber's basic salary plus dearness allowance. There is no minimum contribution limit for Tier II accounts, but the maximum contribution limit is Rs. 1.5 lakh per financial year.

Investment Options:

NPS offers a wide range of investment options to cater to different risk appetites and financial goals. These options include:

* Equity Funds: Invest primarily in equity markets and offer the potential for higher returns but also carry higher risk.

* Corporate Debt Funds: Invest in corporate bonds and offer lower returns than equity funds but also carry lower risk.

* Government Securities: Invest in government-issued bonds and offer the lowest returns but also the lowest risk.

* Alternative Investment Funds: Invest in a combination of assets such as real estate, infrastructure, and private equity.

Withdrawal Options:

Subscribers can withdraw a portion of their NPS funds at specific intervals or upon retirement. The following withdrawal options are available:

* Partial Withdrawal: Subscribers can withdraw up to 25% of their accumulated corpus after three years of account opening.

* Annuity Purchase: Subscribers can use a portion of their accumulated corpus to purchase an annuity, which provides a regular income stream during retirement.

* Lump Sum Withdrawal: Subscribers can withdraw the remaining corpus upon retirement or at the age of 60 years.