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National Pension System is a government sponsored pension scheme which also helps you plan for your retirement
The National Pension System (NPS) is a contribution pension system regulated by the Pension Fund Regulatory and Development Authority. It allows you to enjoy a retirement income via regular systematic investment.
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Tier 1: Primary NPS account that can be opened with Rs500 and needs an annual investment of Rs1000.
Tier 2: Voluntary secondary account that can only be opened if you already have a Tier 1 NPS account.
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You can open an NPS account online in 7 easy steps via the official eNPS website.
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Click on “NATIONAL PENSION SYSTEM”.
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Click on “REGISTRATION”.
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Choose the registration document type, applicant type and status, enter the required details and generate OTP.
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Post OTP validation, enter basic details, contact details, nominee information, payment details, etc.
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Upload your KYC documents, photograph and signature, and make a payment of at least Rs 500.
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After successful payment, you’ll receive your Permanent Retirement Account Number(PRAN) and receipt. Now OTP Authenticate or eSign the form to complete the application.
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Once you have your PRAN, here’s how to invest in NPS via the official eNPS website:
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Click on “NATIONAL PENSION SYSTEM”.
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Click on “CONTRIBUTION (NAV T+2)”.
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Submit the required details and verify your PRAN via OTP.
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Now select the account type: Tier 1 or Tier 2.
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Enter the amount you want to contribute.
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Choose your preferred payment gateway and complete making payment via Debit/Credit card, UPI or Internet Banking.
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You can open an NPS account in 4 easy steps by visiting any POP-SP i.e. Point of Presence-Service Providers. This includes post offices, banks, etc.
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Go to https://npscra.nsdl.co.in/pop-sp.php and find your nearest post office or authorised bank that falls under POP-SP.
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Talk to the executive there and fill out a form to open your NPS account.
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Submit the filled application form with a copy of all the required documents.
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Deposit a sum of at least Rs 500 and get started with your Tier 1 NPS account.
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Once you have a Tier 1 NPS account, here’s how you can invest in it offline:
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Visit your nearest POP-SP and ask for an NPS contribution slip.
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Fill up all the required details.
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Submit the NPS contribution slip along with your investment amount, which should be at least Rs 1,000 per year.
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Click on the link below to explore more options apart from NPS to save income tax
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