National Pension Scheme
 
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National Pension Scheme

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National pension scheme can be described as one of the contributions system of pension and it has been launched by the Indian Government and that is also from the very date of first January and it was in the year 2004. In fact, almost all the developing countries is following the security system, but India is one of those countries that is not having the security social system and it is unable to protect the economic deprivation that is taking place in India. Indian Government has taken the first step towards the pension reforms and this is one of the benefit pension programs that is completely contribution based. It provides the customers with wide horde of options in terms of investment and this is one of the effective measures through which pension liabilities can be reduced to an extent. If you go through the Indian government scheme, then it is one of the active steps taken for reducing the pension liabilities and it will be providing with assured benefits as well. NPS is one of the scheme that is targeted towards providing contribution and individuals will be able to make their decision regarding where they should be investing the money. This scheme has been structured in 2 tiers and they are as follows-

  • Account Tier-1- This will not be allowing the premature withdrawal and it will be made available from date 2009 and 1st May.
  • Account Tier-2- This will be allowing the withdrawal.

All the contributions made will be invested in Fund Mangers Pension Fund.

 
 
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