All You Need To Know About

Secure wealth for a stable retirement with market-based returns & get additional tax benefit for investments up to Rs. 50,000 u/s 80CCD (1B)

Why Invest in NPS?

Investing in the National Pension System (NPS) through us offers a strategic approach to secure your financial future. Here are compelling reasons to consider NPS:


Stable Returns:
Benefit from market-based returns, providing a secure avenue for long-term financial growth.


Tax Benefits:
As an employee you can claim tax exemption upto Rs. 50,000 under section 80CCD (1B). This benefit is over an above limit of Rs. 1,50,000 under section 80C.


Flexible Contribution:
NPS allows flexibility in contribution amounts, giving you control over your investment strategy.


Systematic Retirement Planning:
Ensure a steady income post-retirement by systematically contributing to your NPS account.

How to Start Investing in NPS?

Getting started with NPS through us is a simple and seamless process:

Open a NPS Account :
Begin by opening a NPS account with us, providing access to a user-friendly investment platform.

Choose Investment Allocation:
Opt for the investment mix that aligns with your risk tolerance and financial goals.

Set Regular Contributions:
Set up systematic contributions to your NPS account via us for disciplined wealth accumulation.

Corporate Benefits

NPS also extends corporate benefits, making it an idealchoice for employees and employers

Employer Contribution
Some employers contribute to their employees' NPS accounts, enhancing overall retirement savings.

Tax Efficiency for Corporates
Corporates enjoy tax benefits on employer contributions, fostering a more financially secure workforce.

Employee Retention
NPS can be a valuable employee benefit, contributing to higher job satisfaction and retention.

Employer Contribution
Some employers contribute to their employees' NPS accounts, enhancing overall retirement savings.

Tax Efficiency for Corporates
Corporates enjoy tax benefits on employer contributions, fostering a more financially secure workforce.

Employee Retention
NPS can be a valuable employee benefit, contributing to higher job satisfaction and retention.

Any citizen in the age group of 18-70 years (as on the date of submission of his / her application to the POP-SP) can join NPS except for the government subscribers who are mandatorily covered under NPS

No

There is no restriction in terms of frequency of contribution. Subscriber has the option to make the contribution in any mode – monthly, quarterly, half yearly or yearly. Also, Subscriber can make ad–hoc contribution as well.

Yes, NPS offers this flexibility. Subscribers are allowed to alter the contribution amount as per the suitability.

Under NPS account there are two types of accounts - Tier I & Tier II

Tier I account - It is mandatory account. The applicant shall contribute his/her savings for retirement into this conditional & restricted withdrawable account. Tax benefits can be claimed against the contributions made in Tier I account

Tier II account - This is voluntary savings facility. The applicant will be free to withdraw his/her savings from this account. This is not a retirement account and applicant can’t claim any tax benefits against contributions to this accounts

Yes. Subscriber can switch the asset allocation pattern under Active Choice twice in a financial year.

Yes. Subscriber gets this flexibility. This can be done twice in a financial year

Yes, subscriber on completion of 3 years in NPS is permitted to partially withdraw from his/her account subject to maximum of 25% of the contributions made by the subscriber for the following purposes:
  • For higher education of his/her children
  • For marriage of his/her children
  • For purchase or construction of residential house or flat
  • For treatment of specified illnesses

There is a provision of withdrawal in case of early withdrawal

No

There is no such provision under NPS

Employee can shift the corpus to new employer with same PRAN a/c if the new employer is already a registered entity under NPS. But if not, then employee can continue the PRAN a/c under All Citizen Model

In case of unfortunate event, the nominee will receive 100% of the NPS pension wealth in lump sum.

No, NPS account can be opened only in individual capacity and cannot be opened or operated jointly or for and on behalf of HUF

Subscriber is allowed to register up to three nominees in NPS. Yes, minor can be a nominee

For NPS accounts opened online from Axis Bank portal Contribution is credited in PRANs on Transaction day + 2days(T+2) basis (subject to receipt of clear funds from Payment Gateway Service Provider).

Click here to learn about the fees and charges in NPS

Click here to learn about the payment gateway charges

DISCLAIMER

Investments in securities market are subject to market risks. Read all the related documents carefully before investing.

Axis Direct is a brand under which Axis Securities Limited offers its retail broking and investment services.Trading Member| Axis Securities Limited,CINNo.U74992MH2006PLC163204 | SEBI Single Reg. No.- NSE, BSE,MSEI, MCX & NCDEX – INZ000161633 | ARN- 64610 SEBI-Research Analyst Reg. No. INH 000000297

IRDA Corporate Agent (Composite) Reg. No. CA0073 | Portfolio Manager Reg. No.- INP000000654 | SEBI Depository Participant Reg. No. IN-DP-403-2019 |Investment Advisor Reg No. INA000000615 (Non Individual, Reg. Expiry date - 02-04-2024, Compliance Officer – Mr. Jatin Sanghani, Email – compliance.officer@axisdirect.in, Tel No. – 022-68555574, SEBI office addresses- https://www.sebi.gov.in/contact-us.html)

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