What is National Pension Scheme (NPS)?
The National Pension System (NPS) was launched on 1st January, 2004 with the objective of providing retirement income to all the citizens. Main aim of NPS is to bring reforms in the field of Pension for the citizens of India by encouraging people to save for the retirement. NPS offers following important features to help subscriber save for retirement: · The subscriber will be allotted a unique Permanent Retirement Account Number (PRAN). This unique account number will remain the same for the rest of subscriber's life. This unique PRAN can be used from any location in India. PRAN will provide access to two personal accounts: · Tier I Account: This is a non-withdrawable account meant for savings for retirement. · Tier II Account: This is simply a voluntary savings facility. The subscriber is free to withdraw savings from this account whenever subscriber wishes. No tax benefit is available on this account. Process to open N