What is National Pension Scheme in India and its Benefits? | Overview of Notional Pension Scheme NPS by Manoj

by | May 1, 2024 | Retirement Pension

What is National Pension Scheme in India and its Benefits? | Overview of Notional Pension Scheme NPS by Manoj




National Pension Scheme in India | Notional Pension Scheme | NPS Kya Hai | NPS ke benefits by Manoj

About this video:-
Aj ki is video mein mene National Pension Scheme ke baren mein btaya hai jisko short mein NPS account bolte hain . isme batay hai ki NPS ke kya kya benefits hai NPS acoount kya hota hain National pension scheme kya hai by Manoj sir . NPS kab khulwa sakte hai .

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NPS Account – National Pension Scheme Features & Benefits
NPS vs PPF – National Pension System

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In India, the National Pension Scheme (NPS) is a government-sponsored pension plan that offers people a way to save for their retirement. The scheme was introduced by the Pension Fund Regulatory and Development Authority (PFRDA) in 2004 and has since gained popularity among individuals looking for a secure and reliable retirement option.

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The NPS is a voluntary, long-term investment plan that allows individuals to contribute regularly towards their retirement fund. The scheme is open to all citizens aged between 18 and 60, including those working in the private and public sectors. The NPS offers two types of accounts: Tier-I and Tier-II. While Tier-I is a mandatory account for retirement savings, Tier-II is a voluntary account that allows flexible withdrawals at any time.

One of the key benefits of the National Pension Scheme is the tax benefits it offers to investors. Contributions made towards the NPS are eligible for tax deductions under Section 80C of the Income Tax Act, up to a maximum limit of Rs. 1.5 lakh. Additionally, contributions made by employers towards the scheme are also eligible for tax benefits for the employee.

Another advantage of the NPS is its flexible investment options. Investors can choose between different asset classes such as equity, corporate bonds, government securities, and alternative investments. This allows individuals to diversify their retirement portfolio and potentially earn higher returns.

Furthermore, the National Pension Scheme offers a range of pension fund managers to choose from, giving investors the flexibility to select the fund manager that best fits their investment goals and risk profile. The scheme also allows investors to switch between fund managers if they are not satisfied with the performance of their current manager.

Overall, the NPS is a reliable and cost-effective pension plan that offers individuals a secure way to save for their retirement. By contributing regularly towards the scheme and taking advantage of the tax benefits and flexible investment options, individuals can build a substantial retirement corpus and ensure financial security in their later years.

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In conclusion, the National Pension Scheme is a valuable retirement planning tool that offers a multitude of benefits to investors. With its tax benefits, flexible investment options, and reliable pension fund managers, the NPS stands as a strong and secure option for those looking to secure their financial future post-retirement.

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