1. What are the minimum and maximum contributions under the NPS Vatsalya account?
Minimum Contribution: ₹1000 per annum.
Maximum Contribution: No upper limit.
Initial Contribution: ₹1000 required for enrollment.
2. What are the modes of contribution available under NPS Vatsalya?
Subscribers can contribute using the following modes:
Physical Mode: Visit a registered service provider (PoP) to deposit a cheque or cash along with the NPS contribution slip.
Online Mode: Use the online facilities provided by PoPs or the eNPS platform of NPS Trust.
3. What choices do I need to exercise under NPS Vatsalya?
All choices from the NPS All Citizen model are available:
Choice of CRA (Central Recordkeeping Agency): Select from the registered CRAs with PFRDA.
Choice of Pension Fund (PF): Choose from the registered PFs with PFRDA.
Choice of Allocation of Funds:
Auto Choice:
Conservative Life Cycle Fund (LC25),
Moderate Life Cycle Fund (LC50 - Default),
Aggressive Life Cycle Fund (LC75).
Active Choice:
Equity (E): Maximum 75%
Corporate Bonds (C): Up to 100%
Government Securities (G): Up to 100%
Alternate Assets (A): Maximum 5%
For more details, please refer to the official guidelines provided by the NPS Trust.
4. How are the contributions invested in NPS Vatsalya? Or What are the different asset classes available for investment?
- Asset Class E: Invests in Equity shares of the top 200 companies under NSE/BSE by market capitalization.
- Asset Class C: Invests in Corporate Bonds/Debentures that are listed and rated not below A.
- Asset Class G: Invests in Government securities and State Development Loans.
- Asset Class A: Involves Alternate Assets. For detailed guidelines, refer to the Circulars Section of the PFRDA website.
5. How do I know about the performance of my NPS investments?
The performance of your NPS investments is available in the Statement of Transactions. You can access this online through the subscriber web login or mobile app. Periodic statements are also sent by the CRA (Central Recordkeeping Agency) to your registered email ID. Additionally, you receive a physical statement for the financial year at your correspondence address.
6. What happens if I don't make the minimum contribution? Will my account be closed?
If you don't make the minimum contribution, your account will be categorized as 'frozen'. It will be activated again once you contribute the required amount. Your NPS account will not be closed unless you submit a request, either physically or online, for exit from NPS through a service provider (PoP).
7. What are the charges under the nps vatsalya account?
The initial charges for subscriber registration and contribution upload range between Rs. 200 and Rs. 400. This amount is negotiable within the specified slab.
8. What are the charges for subsequent transactions?
For any subsequent contributions, the charge is 0.5% of the contribution amount. This is subject to a minimum of Rs. 30 and a maximum of Rs. 25,000. Non-financial transactions cost Rs. 30.
9. What is the persistency charge?
Persistency charges apply to subscribers associated with a Point of Presence (POP) for over six months within a financial year. The annual charges vary based on the contribution amount:
- Rs. 50 for contributions between Rs. 1,000 and Rs. 2,999.
- Rs. 75 for contributions between Rs. 3,000 and Rs. 6,000.
- Rs. 100 for contributions above Rs. 6,000.
10. What are the eNPS charges for subsequent contributions?
The eNPS charge is 0.20% of the contribution, with a minimum of Rs. 15 and a maximum of Rs. 10,000. This is applicable only for NPS-All Citizen and Tier-II Accounts.
11. What are the charges for processing exit or withdrawal?
This charge is 0.125% of the corpus, with a minimum charge of Rs. 125 and a maximum of Rs. 500.
12. What are the charges for opening a Permanent Retirement Account (PRA)?
Protean CRA, Kfintech CRA, and CAMS each charge Rs. 18 for opening.
13. What are the annual maintenance costs for a Permanent Retirement Account (PRA)?
Protean CRA: Rs. 69, Kfintech CRA: Rs. 57.63, CAMS: Rs. 65
14. What is the charge per transaction with the CRA?
Protean CRA: Rs. 3.75, Kfintech CRA: Rs. 3.36, CAMS: Rs. 3.50
Charges for account opening and contribution processing are upfront, while others are deducted by the CRA at the fiscal year's end.
15. What are there fees related to the investment management and custodial services?
- The Investment Management Fee ranges between 0.0467% and 0.09%.
- NPS Trust charges 0.005% p.a. of assets managed for reimbursement of expenses.
- Custodial charges are 0.000000001770% p.a. for assets in custody.
16. What is the minimum transactions required?
Minimum per transaction contribution is Rs. 500, and the minimum annual contribution is Rs. 1,000.
17. How Do I Access My Nps Account?
Physical Mode: Visit your service provider, known as a Point of Presence (PoP).
Online Mode: Log in using the credentials provided in your Account Opening Kit by the Central Recordkeeping Agency (CRA). Find the list of common links for NPS accounts here.
18. What is a PoP?
Point of Presence (PoP) is a physical location where you can manage your Pension Account. It’s where you can get assistance and perform transactions.
19. How do I access my account online?
Use the login credentials provided in your Account Opening Kit. These credentials are issued by the CRA for secure online access.
20. What information is needed for online access?
You'll need the login credentials from your Account Opening Kit. Keep this information secure to maintain account confidentiality.
For further inquiries, always refer to the official documentation from PFRDA and NPS Trust or Protean Blogs for the most accurate and up-to-date information.
More FAQ on NPS Vatsalya related to Opening of NPS Vatsalya Account
More FAQ on NPS Vatsalya related to partial or full exit from NPS Vatsalya Account
- Story by Bruhadeeswaran R.
