How to Shift NPS from Corporate to Individual Account

Want to shift your NPS account from corporate to individual? You have come to the right article.

The National Pension System (NPS) is a government-regulated, market-linked retirement savings scheme that enables individuals to build a corpus for their post-retirement years. 

Individuals who originally enrolled in NPS through their employer under the NPS Corporate Sector Model may face challenges in continuing their investments if they change jobs or exit the formal workforce. 

In such scenarios, shifting from a Corporate NPS to an Individual NPS account (All Citizens Model) ensures continuity, personal control, and long-term stability in retirement planning.

What are NPS Account Types 

The NPS has offered the following two main models to cater to diverse subscriber categories:

• Corporate NPS Account: This model allows employers to register with the NPS and offer it as a retirement benefit to their employees. Contributions can be made by both employer and employee. It provides convenience and may include organisational support in managing contributions and documentation.
• Individual NPS Account (All Citizens Model): Open to any Indian citizen aged 18–70 years, this model enables individuals to enroll and manage their NPS independently, without requiring an employer.

Main Differences Between Corporate NPS and Individual NPS 

• The Corporate model offers ease of deduction from salary. 
• The Individual model provides greater flexibility and portability, especially useful during job transitions.

When and Why to Shift from Corporate to Individual NPS 

Shifting your NPS account from a Corporate model to the Individual model may become necessary under the following circumstances:

1. Change of Job: If your new employer is not registered under the NPS Corporate model, contributions may stop.
2. Leaving Employment: If you start a business, take a sabbatical, or retire early, your Corporate NPS account might become inactive unless migrated (Technically, the account does not become “inactive” immediately but will not receive contributions until migrated or otherwise funded).
3. Need for Greater Control: Independent professionals and investors may want full control over their contributions, fund managers, and asset allocation.
4. Tax Benefits: NPS contributions provide tax benefits under both the regimes.

Benefits of Shifting to Individual NPS Account

The benefits of shifting to individual NPS account can include the following:

• PRAN Continuity: Your existing Permanent Retirement Account Number (PRAN) remains unchanged.
• No Break in Investment: Contributions can continue seamlessly without employer involvement.
• Flexible Fund Management: You can gain the freedom to switch fund managers, change investment choices (Active vs Auto), and adjust equity-debt allocation per your risk appetite.

Transitioning to an Individual NPS account ensures that your retirement plan stays on track, regardless of employment changes.

Prerequisites for Shifting Your NPS Account 

Before initiating the shift from a Corporate to Individual NPS model, you can ensure the following:

1. Your PRAN is Active

Your Permanent Retirement Account Number must be operational with no outstanding issues.

1. KYC Documents Are Ready
   Keep a self-attested copy of your PAN, Aadhaar, and a recent photograph.
2. Bank Account Details
   You will need an active savings bank account with IFSC code for contributions and withdrawals.
3. Employer Status Check
   Verify whether your current or former employer is still registered with the Corporate NPS model.
4. Mobile Number and Email
   Ensure that your mobile number and email ID registered with the CRA (Central Recordkeeping Agency) are active for OTP and communication.

How to Shift NPS Account from Corporate to Individual 

Shifting your NPS account is a simple process, but must be done with attention to detail to avoid delays. 

Here is a step-by-step approach to NPS account change:

Step 1: Log in to CRA Portal

Visit the Protean eGov Technologies portal:

• Log in using your PRAN, password, and captcha.
• If you haven’t set up online access yet, use the “Set/Reset Password” option.

Step 2: Choose the 'Shift to Individual Model' Option

Once logged in:

• Navigate to the ‘Update Personal Details’ or ‘Subscriber Services’ tab.
• Select the option ‘Change of Sector’ or ‘Shift to All Citizens Model’.
• Choose the correct target sector: “Individual Subscriber – All Citizens Model”.

Step 3: Fill in the Online Form

Provide updated details:

• Residential address
• Bank account information (with IFSC code)
• Nomination details (can be updated at this stage)

Carefully review and submit the details.

Step 4: Upload KYC Documents

Upload scanned copies (in JPEG/PDF format) of:

• PAN Card
• Aadhaar Card
• Cancelled cheque or bank passbook

Ensure clarity and that documents match the ones linked with your PRAN.

Step 5: e-Sign and Submit

You may be prompted to e-sign the form using Aadhaar-based OTP authentication.

• Ensure your mobile number is linked with Aadhaar.
• Complete OTP verification.

Alternatively, you may choose to print, sign, and courier the form to the CRA if e-signing fails.

Step 6: CRA Verification and Confirmation

Once submitted, CRA will process the request in 5–10 working days.

• You’ll receive an email and SMS confirmation once the shift is completed.
• Your PRAN remains the same.
• From this point, you can log in as an individual subscriber and continue contributions online via net banking or UPI.

Conclusion

Switching from a Corporate to an Individual NPS account can be a prudent step for ensuring uninterrupted retirement planning, especially during job transitions or employment breaks. It can allow you to retain control over your investment choices and maintain the same PRAN without disruption. With digital platforms enabling a seamless shift process, subscribers should not delay this important transition. Keeping your documents ready, understanding the process, and acting in time can ensure your NPS account continues to grow without interruption, paving the way for a secure and well-planned retirement.

FAQs 

1. What if my employer delays the process?
   The NPS account shift can be initiated by the subscriber directly via the CRA portal without employer involvement.
2. How long does the shift take?
   Typically, 5–10 working days are required for NPS account shift post successful submission and document verification.
3. What happens to my existing NPS balance?
   Your entire corpus, fund allocation, and PRAN remain intact. Only the subscriber sector changes, from Corporate to Individual.