Scheme

A savings cum pension scheme regulated and administered by the PFRDA.

Eligibility

All minor citizens (age till 18 years)

Operations

• Account opened in the name of minor & operated by Guardian
• Minor to be sole beneficiary

Mode of Opening

Online platform(e-NPS)

National Pension System (nsdl.com)

Document Required

• Date of Birth Proof of Minor

(Birth certificate, School leaving certificate,

Matriculation Certificate, PAN, Passport)

• KYC documents of Guardian - Proof of Identity and Address

(Aadhaar, Driving License, Passport, Voter ID card, NREGA Job Card, National Population Register)

Bank account for minor is optional

• NRE / NRO Bank Account (solo or joint) of the minor in case the guardian is NRI.

Contribution Amount

Initial Contribution

Min: Rs. 1000/- (Exclusive of Commission & GST)**

Max: No Limit

Online :(**Rs.200/-Commission + GST 36 = Rs. 236/- has to be remitted along with initial contribution)

Offline:(**350/- Commission+ GST 63 = Rs. 413/-

has to be remitted along with initial contribution)

Subsequent Contribution

Min: Rs. 1000/- p.a.

Max: No Limit

Pension Fund Selection

Guardian can choose any one of the Pension Fund registered with PFRDA.

Investment Choices

1. Default Choice-Moderate Life Cycle-LC 50(50% Equity)

1. Auto Choice-Guardian can choose Life Cycle

• Aggressive-LC 75(75% equity),
• Moderate-LC 50(50% equity),

or

• Conservative-LC 25(25% equity)

1. Active Choice- Guardian actively decides allocation of funds across Equity (upto 75%), Corporate Debt (upto 100%), Government Securities (upto 100%) and alternate asset (upto 5%).

Withdrawal of NPS Vatsalya

1. Withdrawal up to 25% of contribution after lock-in-period of 3 years allowed for education, specified illness and disability. Max three times.
2. Upon attainment of age of 18 years, Seamless shift to NPS Tier - I (All Citizen model).

Exit from NPS Vatsalya

Exit allowed on attainment of 18 years of age

• Corpus more than Rs. 2.5 lacs: 80% corpus is utilized for purchase of annuity and 20% can be withdrawn as lump sum.
• Corpus less than or equal to Rs. 2.5 lacs: entire corpus can be withdrawn as a lumpsum.

In the event of death of minor

On death, entire corpus would be returned to the guardian.

In the event of death of Guardian

Another guardian to be registered with fresh KYC

In the event of death of both parents

Legally appointed guardian can continue without making contributions until subscribers attain 18 years of age.