Pension regulator PFRDA increases maximum age of joining National Pension Scheme (NPS) Private Sector from 60 to 65
The Pension Fund Regulatory and Development Authority (PFRDA) has increased the maximum age of joining National Pension Scheme (NPS) Private Sector from the 60 to 65 years of age to increase the pension coverage in the country.
Now, any Indian citizen, resident or non-resident, of 60-65 years of age can join the NPS and continue up to the age of 70 years. A subscriber joining NPS after the age of 60 years will now have an option of normal exit from NPS after completion of three years. In this case, the subscriber will be required to utilise at least 40% of the corpus for purchase of annuity and the remaining amount can be withdrawn in lumpsum.
However, if the subscriber wants to exit from NPS before completion of 3 years, he or she will have to utilize at-least 80% of the corpus for purchase of annuity and the remaining can be withdrawn in lumpsum. In case of death of the subscriber during his/her stay in NPS, the entire corpus will be paid to the nominee of the subscriber.
Category: Government Schemes Current Affairs
Topics: Actuarial science • Annuities • Economy • Finance • Indian labour law • Life annuity • Money • National Pension System • Pension • Pension Fund Regulatory and Development Authority • Pensions in India