NPS

Top Performing NPS Plan

Plan your retirement with India's leading National Pension Scheme

HDFC Pension Fund

5Y Returns % (p.a.)

13.60%

No. of Subscriber

14.05 Lakhs

AUM

₹38,274 Crs

Benefits of Investing in NPS

Guaranteed Benefit

Guaranteed Annuity Income for the whole of life by paying premiums for a Single or Limited payment term.

Flexible Payout Options

Flexible payout options to receive your Annuity amount – Monthly, Quarterly, Half-yearly or Yearly.

Multiple Annuity Options

4 Annuity options to choose from: Life Annuity, Life Annuity with Return of % of Total Premiums Purchase Paid, Life Annuity with Early Return, Increasing Annuity.

Annuity Deferment Option

Option to defer Annuity payouts by choosing the deferment period.

How To Invest in National Pension Scheme Online

Start investing in NPS by opening a free online Demat account with Choice

STEP 1

Register with mobile no.

for quick OTP verification

STEP 2

Complete KYC Process

by verifying your details

STEP 3

E-Sign via Aadhar

to activate your account

STEP 4

Choose a pension fund

and make regular contributions

Offline Process to Invest in NPS with Choice

Choice offers you the option to invest in NPS offline:

Step 1
Connect with Our Team
Contact Choice Wealth to get started with your NPS investment.
Step 2
Documentation Assistance
Our experts will guide you in completing the necessary paperwork, including:
- PAN or Aadhaar Card
- Address Proof (Aadhaar, Passport, Utility Bill, etc.)
- Recent Passport-Sized Photograph
Step 3
Application Submission
Submit your completed NPS application form along with the required documents.
Step 4
Account Setup via HDFC
We partner with HDFC as an external service provider to facilitate the NPS account opening process. HDFC will verify your details and process the account setup.
Step 5
Make Your Initial Contribution
Start your NPS journey by making the first investment, ensuring compliance with the minimum contribution requirements.
Step 6
Receive PRAN (Permanent Retirement Account Number)
Once your account is set up, you’ll receive a unique PRAN for account management and future transactions.
Step 7
Regular Contributions
Continue contributing to your NPS account as per your financial goals.

Types of NPS Accounts

The National Pension Scheme offers investors two types of accounts to choose from

Tier 1 Account

Government employees contribute 10% of their base pay plus DA. Other employees invest a minimum of ₹500 initially and ₹6,000 annually.

Tier 2 Account

Offers no tax breaks or matching contributions. It allows flexible withdrawals at any time. Opening a Tier 2 account requires an initial payment of ₹1,000 with subsequent top-ups of ₹250 to maintain an annual balance of ₹2,000 plus.

Why Invest in the National Pension System (NPS)

The National Pension Scheme stands out as a dependable retirement solution, offering comprehensive benefits across multiple dimensions.

Regulated

NPS is regulated by the Pension Fund Regulatory and Development Authority (PFRDA), ensuring transparency, accountability, and secure management of your investments.

Voluntary Participation

Open to all Indian citizens aged 18-70 years, allowing individuals to start investing at their convenience, whether salaried, self-employed, or non-working.

Flexibility

Tailor your investment mix with the option to allocate funds across equity, corporate bonds, and government securities based on your financial goals and risk appetite.

Cost-Effective

Among the lowest fund management charges, ensures a significant portion of your contribution is directed toward building your retirement corpus.

Portability

NPS accounts are portable across jobs and locations, making it a seamless retirement savings option irrespective of your professional or geographic shifts.

Tax Advantages

Offers tax benefits of up to ₹2 lakh annually under Sections 80C and 80CCD(1B), along with tax exemptions on partial withdrawals and annuity investments.

EET Benefit

Leverage Exempt-Exempt-Taxed status. Your contributions are tax-exempt, accumulated earnings remain tax-free in the investment period, and only pension income is taxed on withdrawal, boosting your wealth creation potential.

Retirement Benefit

NPS permits a tax-free lump sum withdrawal of up to 60% of the corpus. At the same time, the remaining portion secures a guaranteed pension income through annuity plans, ensuring financial stability throughout retirement.

Cost Benefit

By offering low fund management charges, between 0.01% and 0.09%, NPS maximises your returns by reducing costs. No entry and exit loads and transparent fee structures make it among the most cost-effective retirement solutions available.

Who Can Invest In NPS

The National Pension Scheme is designed to provide retirement security to:

Indian citizens aged 18-70 years

NRI and OCI investors with valid documents

Corporate employees via employer contribution

Government employees

Self-employed professionals and business owners

Individuals seeking structured retirement planning

Minimum Investment

₹500 per month (Tier 1) & ₹1,000 per year (Tier II)

Maximum Age of Entry

70 years

NPS Scheme Calculator

Plan your retirement corpus with our smart NPS calculator

NPS Calculator

Check how much your investment may grow up to

Calculate

How Does NPS Work?

The National Pension Scheme (NPS) is a systematic, government-backed retirement savings plan designed to provide financial security through disciplined, long-term investing.

Your Investment Journey

Start your NPS account with a flexible minimum contribution of ₹500 monthly. You can choose between two strategic investment approaches:

Age-Based Allocation

Adaptive equity exposure tailored to your life stage
Under 35: Up to 75% equity (higher growth potential)
35-45: Gradually reducing equity exposure
Over 45: Conservative allocation prioritising capital preservation

Self-Directed Investment

Customise your portfolio across
Equity (maximum 75%)
Corporate bonds
Government securities
Alternative investment funds

Retirement Maturity (Age 60)

Upon reaching 60, your NPS offers a flexible withdrawal mechanism

40% Annuity Plan

Mandatory 40% corpus conversion to guaranteed income
Multiple provider options
Pension income variants
Lifetime self-pension
Purchase price return pension
Joint life pension

60% Withdrawal

Tax-free lump sum option
Reinvestment flexibility
Phased withdrawal available
Complete financial liquidity

Explore Other Investment Avenues

Stocks

Mutual Funds

AIF

F&O

Commodities

Insurance

Loan

PPF

Corporate FDs

PMS

MLD

National Pension Scheme FAQ

A government-backed voluntary retirement program that helps build a pension corpus through regular contributions and market-linked returns.

Tax benefits up to ₹2 lakh annually, professional fund management, flexible investment options, and systematic retirement planning with returns up to 12-14%.

Yes, for long-term retirement planning with tax benefits, professional management, and potential returns of 12-14% in equity schemes. Suitable for systematic wealth creation.

Returns vary based on the chosen investment option - equity schemes have delivered 12-14% historically, while government securities provide 7-9% annually.

Until retirement age (60 years), with partial withdrawal allowed after 3 years for specific needs like children's education or home purchase.

The entry age is 18-65 years and the exit age is 60 years (normal) or 70 years (extended).

NPS offers higher return potential and tax benefits, while PPF provides guaranteed returns. NPS suits aggressive investors, and PPF suits conservative ones.

The Pension Fund Regulatory and Development Authority (PFRDA) regulates and supervises NPS operations.

At maturity, 60% of withdrawal is tax-free under Section 10(12A). The remaining 40% must be used for annuity purchase, with pension taxed as income.

Partial withdrawal of up to 25% is allowed after 3 years for specific needs. Complete withdrawal is permitted only at retirement.

The entire corpus is paid to the nominated beneficiary, who can choose between lump sum withdrawal or purchase of annuity.

National Pension Scheme (NPS)

Government-Backed

Security

Up to 12-14% P.A.

Returns*

₹500