Pension Fund Regulator PFRDA plans to increase the age limit for entry in NPS from 65 years to 70 years.
The PFRDA has also proposed that if a person above the age of 60 years joins with the NPS, then he should be allowed to continue to maintain the NPS account till the age of 75 years. Let me tell you that right now the maximum maturity age for NPS subscribers is 70 years.
Suggestion to start minimum guaranteed pension product
PFRDA has also suggested to introduce a minimum guaranteed pension product in NPS. How much pension NPS account holders will get right now depends on the performance of the pension fund. If you have invested in 60% equity and 40% debt, then you can get annual returns of up to 10%.15,000 people over 60 years of age subscribe to NPS in last 3.5 years
PFRDA said that a request for proposal regarding minimum guaranteed pension product will be presented within the next 15 to 20 days. PFRDA chairman Supratim Bandhopadhyay said that 15,000 people over the age of 60 have subscribed to NPS in the last 3.5 years. For this reason, the pension regulator has proposed to increase the age limit of entry in NPS from 65 years to 70 years.
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PFRDA is also working on this scheme that if someone’s pension fund is less than 5 lakhs, then he can withdraw 100 per cent from his NPS account. Currently, this rule is applicable on pension funds of less than Rs 2 lakh. Let me tell you that this amount will be completely tax free. PFRDA has set a target of adding 1 million new subscribers this financial year. Also, the PFRDA hopes to add 1 crore new subscribers in FY22, including the Atal Pension Yojana and NPS.