New Pension System
NPS is a voluntary, defined contribution pension scheme. Under the NPS, individuals can accumulate a pension corpus during their work life to meet financial needs post retirement. These contributions would grow and accumulate over the years, depending on the returns earned on the investment made. The subscribers may use the accumulated pension wealth under the scheme to purchase a life annuity from a life insurance company. Alternatively, depending on the age of the subscriber, a part of the wealth may be withdrawn as lump-sum.
Any citizen of India desiring to open an NPS account can contact any of the Points of Presence (POPs) appointed by PFRDA. The offer document containing details of the NPS and application form for opening NPS account are available on the website of PFRDA (www.pfrda.org.in ) . Details of NPS intermediaries including POPs and Pension Fund Managers are also available on PFRDA website.