{"id":11970,"date":"2026-04-22T17:28:30","date_gmt":"2026-04-22T17:28:30","guid":{"rendered":"https:\/\/srv1603485.hstgr.cloud\/nps-national-pension-scheme-basics\/"},"modified":"2026-10-14T08:45:00","modified_gmt":"2026-10-14T08:45:00","slug":"nps-national-pension-scheme-basics","status":"publish","type":"post","link":"https:\/\/www.billcut.com\/blogs\/nps-national-pension-scheme-basics\/","title":{"rendered":"NPS (National Pension Scheme) Basics"},"content":{"rendered":"<p>The National Pension Scheme (NPS) is a voluntary, government-backed retirement savings plan regulated by the Pension Fund Regulatory and Development Authority (PFRDA). You contribute during your working years, the money is invested in equity, corporate bonds and government securities, and at retirement you receive part of the corpus as a lump sum and use the rest to buy an annuity that pays a regular pension.<\/p>\n<p>This guide explains how NPS works, what it can save you in tax, what it costs you in flexibility, and who it suits. Returns are market-linked and not guaranteed, so every figure below that involves growth is an illustration, not a forecast.<\/p>\n<h2 id='what-is-the-national-pension-scheme-nps'>What Is the National Pension Scheme (NPS)?<\/h2>\n<p>NPS is a long-term retirement account in your own name. You pay in regularly, the money is managed by professional pension fund managers, and the balance builds up until retirement. The scheme is overseen by the <a href=\"https:\/\/www.pfrda.org.in\" target=\"_blank\" rel=\"noopener\">Pension Fund Regulatory and Development Authority<\/a>, which is the regulator for pensions in India and the place where official scheme rules and updates are published.<\/p>\n<p>Any Indian citizen between 18 and 70 years of age can open an NPS account, which includes NRIs. That makes it one of the widest-access retirement products available to salaried employees, freelancers, shop owners and gig workers alike. There is no employer requirement. You can join on your own.<\/p>\n<h2 id='how-does-nps-work'>How Does NPS Work?<\/h2>\n<p>NPS works in two phases. In the accumulation phase you contribute regularly and the money is invested. At or after age 60, in the withdrawal phase, you take up to 60% of the accumulated corpus as a lump sum and must use the remaining 40% to buy an annuity from an approved insurer, which pays you a regular pension. Insurers that sell annuities are regulated by the <a href=\"https:\/\/irdai.gov.in\" target=\"_blank\" rel=\"noopener\">Insurance Regulatory and Development Authority of India<\/a>.<\/p>\n<p>Your contributions are invested across three asset classes:<\/p>\n<ul>\n<li><strong>Equity (E):<\/strong> shares, with higher potential growth and higher swings in value.<\/li>\n<li><strong>Corporate bonds (C):<\/strong> debt issued by companies, usually steadier than equity but with credit risk.<\/li>\n<li><strong>Government securities (G):<\/strong> debt issued by the government, generally the lowest risk of the three, with lower growth potential.<\/li>\n<\/ul>\n<p>The fund managers run these investments. You do not pick individual shares or bonds. You only decide how your contributions are split, as explained in the next section.<\/p>\n<h2 id='what-is-the-difference-between-tier-i-and-tier-ii-accounts'>What Is the Difference Between Tier I and Tier II Accounts?<\/h2>\n<p>Tier I is the main retirement account with restricted withdrawals until age 60. Tier II is a voluntary add-on account that is easier to withdraw from, but it does not carry the additional tax benefits that Tier I contributions can earn.<\/p>\n<table>\n<thead>\n<tr>\n<th>Feature<\/th>\n<th>Tier I account<\/th>\n<th>Tier II account<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Purpose<\/td>\n<td>Primary retirement savings<\/td>\n<td>Voluntary, flexible savings<\/td>\n<\/tr>\n<tr>\n<td>Withdrawals<\/td>\n<td>Restricted until age 60, with limited partial withdrawals for specific purposes<\/td>\n<td>Greater liquidity<\/td>\n<\/tr>\n<tr>\n<td>Tax benefits<\/td>\n<td>Eligible for the deductions described below<\/td>\n<td>No additional tax benefits<\/td>\n<\/tr>\n<tr>\n<td>Best suited to<\/td>\n<td>Long-term retirement corpus<\/td>\n<td>Money you may need before retirement<\/td>\n<\/tr>\n<tr>\n<td>Main trade-off<\/td>\n<td>Money is locked in for decades<\/td>\n<td>No tax advantage, so it competes with ordinary savings and mutual funds<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Most people start with Tier I. Tier II only makes sense if you want the same investment structure with more access to your money and you are comfortable without a tax deduction.<\/p>\n<h2 id='how-do-you-choose-between-active-choice-and-auto-choice'>How Do You Choose Between Active Choice and Auto Choice?<\/h2>\n<p>Active Choice lets you decide how much of your contribution goes to equity, corporate bonds and government securities. Auto Choice lets the system decide, and it reduces your equity share automatically as you grow older and retirement comes closer.<\/p>\n<table>\n<thead>\n<tr>\n<th>Point of comparison<\/th>\n<th>Active Choice<\/th>\n<th>Auto Choice<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Who sets the mix<\/td>\n<td>You<\/td>\n<td>The scheme, based on your age<\/td>\n<\/tr>\n<tr>\n<td>Effort needed<\/td>\n<td>Review and rebalance periodically<\/td>\n<td>Little to none<\/td>\n<\/tr>\n<tr>\n<td>Risk as you age<\/td>\n<td>Stays as high or low as you set it<\/td>\n<td>Equity exposure falls as retirement nears<\/td>\n<\/tr>\n<tr>\n<td>Main risk<\/td>\n<td>A poor allocation, or forgetting to adjust it<\/td>\n<td>You may hold less equity than your goals need<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>If you do not want to monitor markets, Auto Choice removes one decision. If you have a clear view of your own risk tolerance and will review the split once a year, Active Choice gives you more control. Neither option removes market risk. The rules on equity limits and age-based allocation are set by PFRDA, so read its current scheme documents before you decide.<\/p>\n<h2 id='how-much-tax-can-you-save-with-nps'>How Much Tax Can You Save With NPS?<\/h2>\n<p>NPS contributions can reduce your taxable income in three ways under the Income Tax Act. Section 80CCD(1) allows a deduction of up to Rs 1.5 lakh a year, and this sits within the overall Section 80C limit. Section 80CCD(1B) allows an extra Rs 50,000 a year that is available only for NPS contributions. Section 80CCD(2) covers contributions your employer makes to your NPS account.<\/p>\n<table>\n<thead>\n<tr>\n<th>Section<\/th>\n<th>What it covers<\/th>\n<th>Limit<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>80CCD(1)<\/td>\n<td>Your own contribution<\/td>\n<td>Up to Rs 1.5 lakh a year, within the Section 80C limit<\/td>\n<\/tr>\n<tr>\n<td>80CCD(1B)<\/td>\n<td>Additional deduction for NPS only<\/td>\n<td>Rs 50,000 a year<\/td>\n<\/tr>\n<tr>\n<td>80CCD(2)<\/td>\n<td>Employer contribution to your NPS account<\/td>\n<td>Deductible under this section<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Together, 80CCD(1) and 80CCD(1B) give a possible deduction of Rs 2 lakh a year. Tax limits and the tax regime you choose can change from one Budget to the next, and some deductions are not available under the new tax regime. Before you rely on any deduction, read the current rules on the <a href=\"https:\/\/www.incometax.gov.in\/iec\/foportal\/\" target=\"_blank\" rel=\"noopener\">Income Tax Department portal<\/a> or ask a qualified tax adviser.<\/p>\n<h3>What Does That Deduction Mean in Rupees?<\/h3>\n<p>A deduction lowers your taxable income, not your tax bill rupee for rupee. Your saving depends on your slab. As an illustrative example, assume you pay income tax at the 30% slab rate and you invest the extra Rs 50,000 under Section 80CCD(1B).<\/p>\n<ol>\n<li>Taxable income falls by Rs 50,000.<\/li>\n<li>Tax saved at a 30% slab is Rs 50,000 x 30% = Rs 15,000, before any cess.<\/li>\n<li>If you pay tax at 5% on that slice, the saving is Rs 50,000 x 5% = Rs 2,500.<\/li>\n<\/ol>\n<p>The same Rs 50,000 contribution saves Rs 15,000 for one person and Rs 2,500 for another. The deduction also does not make the money liquid. It stays inside the scheme until the withdrawal rules allow you to take it out.<\/p>\n<h2 id='how-much-could-your-nps-corpus-grow-to'>How Much Could Your NPS Corpus Grow To?<\/h2>\n<p>Your corpus depends on how much you contribute, for how long, and what return your funds earn. No one can state your NPS return in advance. The table below is an illustration of how much difference the return assumption makes. It is not a prediction and does not describe any specific NPS fund.<\/p>\n<p>Assumptions for this illustration: a contribution of Rs 5,000 a month for 20 years (240 months), invested at a constant annual return, compounded monthly, with no change in contribution and no charges deducted. Real returns will vary year to year, and fund charges will reduce them.<\/p>\n<table>\n<thead>\n<tr>\n<th>Assumed annual return<\/th>\n<th>Total contributed<\/th>\n<th>Corpus after 20 years<\/th>\n<th>60% lump sum<\/th>\n<th>40% for annuity<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>6%<\/td>\n<td>Rs 12.00 lakh<\/td>\n<td>About Rs 23.10 lakh<\/td>\n<td>About Rs 13.86 lakh<\/td>\n<td>About Rs 9.24 lakh<\/td>\n<\/tr>\n<tr>\n<td>8%<\/td>\n<td>Rs 12.00 lakh<\/td>\n<td>About Rs 29.45 lakh<\/td>\n<td>About Rs 17.67 lakh<\/td>\n<td>About Rs 11.78 lakh<\/td>\n<\/tr>\n<tr>\n<td>10%<\/td>\n<td>Rs 12.00 lakh<\/td>\n<td>About Rs 37.97 lakh<\/td>\n<td>About Rs 22.78 lakh<\/td>\n<td>About Rs 15.19 lakh<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The arithmetic is simple. Rs 5,000 x 240 months = Rs 12,00,000 contributed. At the 8% assumption, the corpus is about Rs 29.45 lakh, of which 60% is about Rs 17.67 lakh and 40% is about Rs 11.78 lakh. The gap between the 6% and 10% rows, roughly Rs 14.87 lakh, comes entirely from the return assumption. A return could also come in below 6%. Equity-heavy allocations can fall in value in the short term.<\/p>\n<p>The annuity amount you receive depends on the plan you buy and the rates the insurer offers when you retire, so the 40% figure above does not translate into a fixed monthly pension. Ask the insurer for a quote before you commit.<\/p>\n<h2 id='can-you-withdraw-from-nps-before-retirement'>Can You Withdraw From NPS Before Retirement?<\/h2>\n<p>Yes, but only in limited cases. After three years in the scheme, partial withdrawals of up to 25% of your own contributions are allowed for specific purposes such as higher education, marriage or medical emergencies. PFRDA changes these conditions from time to time, so confirm the current limits, the number of withdrawals allowed and the permitted purposes on the <a href=\"https:\/\/www.pfrda.org.in\" target=\"_blank\" rel=\"noopener\">PFRDA website<\/a> before you plan around them.<\/p>\n<p>At or after age 60, the standard route is up to 60% as a lump sum and at least 40% towards an annuity. This is where NPS differs most from a mutual fund or a fixed deposit. You cannot withdraw everything when you want, and the annuity portion is used to buy a pension product, not paid out as cash.<\/p>\n<h2 id='how-does-nps-compare-with-ppf-epf-and-mutual-funds'>How Does NPS Compare With PPF, EPF and Mutual Funds?<\/h2>\n<p>NPS combines market-linked growth with a forced retirement lock-in and a mandatory annuity. PPF and EPF are debt-oriented government-linked schemes, and mutual funds offer more flexibility and no mandatory annuity. Each suits a different job, and many people use more than one.<\/p>\n<table>\n<thead>\n<tr>\n<th>Product<\/th>\n<th>Return type<\/th>\n<th>Access to money<\/th>\n<th>Tax angle<\/th>\n<th>Main limitation<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>NPS<\/td>\n<td>Market-linked, not guaranteed<\/td>\n<td>Restricted until 60, with limited partial withdrawals<\/td>\n<td>Deductions under Section 80CCD, subject to current rules<\/td>\n<td>40% must buy an annuity<\/td>\n<\/tr>\n<tr>\n<td>PPF<\/td>\n<td>Rate set by the government and reviewed periodically<\/td>\n<td>Long lock-in with limited early access<\/td>\n<td>Refer to current rules for deductions and interest treatment<\/td>\n<td>Lower growth potential than equity<\/td>\n<\/tr>\n<tr>\n<td>EPF<\/td>\n<td>Rate set periodically, available to salaried employees<\/td>\n<td>Limited withdrawals while employed<\/td>\n<td>Refer to current rules<\/td>\n<td>Only for those with an eligible employer<\/td>\n<\/tr>\n<tr>\n<td>Equity mutual funds<\/td>\n<td>Market-linked, not guaranteed<\/td>\n<td>Generally easy to redeem<\/td>\n<td>Capital gains tax applies as per current rules<\/td>\n<td>No built-in discipline, and values can fall sharply<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>If you want to understand how mutual fund investing works before you compare it with NPS, <a href=\"https:\/\/www.billcut.com\/blogs\/how-to-start-investing-in-mutual-funds\/\">how to start investing in mutual funds<\/a> covers the basics, and <a href=\"https:\/\/www.billcut.com\/blogs\/sip-explained-with-examples\/\">how a SIP works with examples<\/a> shows the monthly investing method that NPS contributions resemble.<\/p>\n<h2 id='how-do-you-open-and-run-an-nps-account'>How Do You Open and Run an NPS Account?<\/h2>\n<p>You open an NPS account through a PFRDA-approved route, which includes participating banks, points of presence and online platforms listed by the regulator. You complete KYC with your PAN and Aadhaar or other accepted documents, choose your scheme and allocation, and make a first contribution. You then receive a Permanent Retirement Account Number (PRAN), which is the permanent identifier for your pension account. If KYC is new to you, <a href=\"https:\/\/www.billcut.com\/blogs\/kyc-in-india-why-is-it-mandatory\/\">why KYC is mandatory in India<\/a> explains what the process involves.<\/p>\n<p>Once the account is open, a fixed monthly contribution that you can keep up even in a lean month, raised each year as your income rises, does more than any clever strategy.<\/p>\n<p>Fund charges in NPS are generally low compared with many other managed products, but charges for account opening, contributions and annuity purchase vary by the intermediary you use. Read the fee schedule from your provider before you start.<\/p>\n<h2 id='who-should-and-should-not-invest-in-nps'>Who Should and Should Not Invest in NPS?<\/h2>\n<p>NPS suits people who want a disciplined, long-horizon retirement fund and who will not need the money before age 60. It is a poor fit for anyone who needs flexible access to savings or who is dealing with high-cost debt that is growing faster than any investment can.<\/p>\n<table>\n<thead>\n<tr>\n<th>NPS may suit you if<\/th>\n<th>NPS may not suit you if<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>You are in your 20s to 40s with a long runway to retirement<\/td>\n<td>You may need the money within the next few years<\/td>\n<\/tr>\n<tr>\n<td>You pay tax and can use the available deductions<\/td>\n<td>Your income is below the taxable limit, so the deduction gives you nothing<\/td>\n<\/tr>\n<tr>\n<td>You prefer a locked-in, automatic habit over self-managed investing<\/td>\n<td>You want full control and full access to your corpus at any time<\/td>\n<\/tr>\n<tr>\n<td>You are comfortable that part of your corpus becomes an annuity<\/td>\n<td>You expect to need the entire corpus as cash at retirement<\/td>\n<\/tr>\n<tr>\n<td>Your emergency fund is already in place<\/td>\n<td>You are missing credit card or loan payments<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>For workers without a regular salary or employer scheme, micro pension products can be a lighter starting point. Read <a href=\"https:\/\/www.billcut.com\/blogs\/micro-pension-tools-unorganised\/\">micro pension tools for unorganised workers<\/a> for how small contributions can work. If you are already close to retirement age, <a href=\"https:\/\/www.billcut.com\/blogs\/senior-citizen-savings-schemes-india\/\">senior citizen savings schemes in India<\/a> covers options built for older savers.<\/p>\n<h2 id='should-you-invest-in-nps-while-you-carry-credit-card-debt'>Should You Invest in NPS While You Carry Credit Card Debt?<\/h2>\n<p>Usually the debt deserves attention first. Credit card interest is typically charged at a much higher annual rate than any long-term investment can be expected to earn, and NPS money cannot be taken out easily to clear dues. A deduction of Rs 15,000 on a Rs 50,000 contribution looks attractive, but it does not offset the cost of a revolving balance left unpaid for many months.<\/p>\n<p>Here is an illustrative example. Assume you carry Rs 1,00,000 on a credit card at 3.5% interest a month, which is 42% a year before fees and taxes. One month of interest on that balance is Rs 1,00,000 x 3.5% = Rs 3,500. Over 12 months with no repayment, interest alone would be about Rs 42,000 on the original balance, before compounding. Putting Rs 50,000 into a locked pension account while that balance stays open means the card interest runs while the NPS money cannot be used to stop it.<\/p>\n<p>Card rules on billing, interest disclosure and grievance handling are set out in the Reserve Bank of India\u2019s <a href=\"https:\/\/www.rbi.org.in\/Scripts\/BS_ViewMasDirections.aspx?id=12300\" target=\"_blank\" rel=\"noopener\">Master Direction on credit card and debit card issuance and conduct<\/a>. Your own card statement shows the rate you are actually paying. The sensible order for many people is to bring expensive debt under control, then build an emergency fund, then raise retirement contributions. If you want to get your score back on track while you do that, <a href=\"https:\/\/www.billcut.com\/blogs\/how-to-improve-your-credit-score-fast\/\">how to improve your credit score fast<\/a> is a useful companion.<\/p>\n<p>If high-interest loan balances are slowing down your retirement plans, you can look at your repayment options with BillCut and see what a structured plan could look like for your situation. <a href=\"https:\/\/www.billcut.com\/?src=blogs_11970\">Explore your options with BillCut<\/a>.<\/p>\n<h2 id='what-is-the-bottom-line-on-nps'>What Is the Bottom Line on NPS?<\/h2>\n<p>NPS is a low-cost, disciplined way to build a retirement corpus, with potential tax deductions of up to Rs 2 lakh a year on the limits described above and a structure that nudges you to keep saving. Its costs are real: your money is locked in for years, returns are not guaranteed, and part of the corpus must become an annuity.<\/p>\n<p>Start with the basics. Clear expensive debt, keep an emergency fund, then set a monthly contribution you can sustain. Before you act on any tax or withdrawal rule in this guide, confirm the latest position with PFRDA and the Income Tax Department. For plain-language savings education, the Reserve Bank of India\u2019s <a href=\"https:\/\/www.rbi.org.in\/financialeducation\/Home.aspx\" target=\"_blank\" rel=\"noopener\">financial education pages<\/a> are a good starting point, and government announcements of scheme changes appear through the <a href=\"https:\/\/pib.gov.in\/indexd.aspx\" target=\"_blank\" rel=\"noopener\">Press Information Bureau<\/a>.<\/p>\n<h2 id='frequently-asked-questions'>Frequently Asked Questions<\/h2>\n<p><!--FAQ_SECTION--><\/p>\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<ol class=\"rank-math-list \">\n<li id=\"faq-question-1791449457213\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">What is NPS?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>The National Pension Scheme is a voluntary, government-backed retirement savings plan regulated by PFRDA. You contribute regularly, the money is invested in equity, corporate bonds and government securities, and returns are market-linked and not guaranteed.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457214\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Who can open an NPS account?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Any Indian citizen between 18 and 70 years of age can open an NPS account, and NRIs are included. You do not need an employer to join.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457215\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">What are the tax benefits of NPS?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Contributions can qualify for a deduction of up to Rs 1.5 lakh under Section 80CCD(1), within the Section 80C limit, plus an extra Rs 50,000 under Section 80CCD(1B). Employer contributions are covered by Section 80CCD(2). Rules differ by tax regime and change over time, so confirm the current position with the Income Tax Department.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457216\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Can I withdraw money from NPS before retirement?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Partial withdrawals of up to 25% of your own contributions are allowed after three years for specific purposes such as education, marriage or medical emergencies. Conditions can change, so confirm the current limits with PFRDA before you plan around them.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457217\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">What happens to my NPS corpus at age 60 \u20b9<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>At or after age 60 you can take up to 60% of the corpus as a lump sum, and the remaining 40% must be used to buy an annuity from an approved insurer that pays a regular pension.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457218\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Is NPS a good investment option?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>NPS can suit long-term savers who want tax-efficient, disciplined retirement saving, but returns are market-linked and the money is locked in. Whether it is right for you depends on your goals, tax slab and need for access to cash.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457219\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">What is the difference between Tier I and Tier II in NPS?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Tier I is the main retirement account with restricted withdrawals and eligibility for the tax deductions. Tier II is a voluntary account with greater liquidity but no additional tax benefits.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457220\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Should I choose Active Choice or Auto Choice in NPS?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Active Choice lets you set the split between equity, corporate bonds and government securities yourself. Auto Choice reduces equity exposure automatically as you age, which suits people who do not want to review their allocation.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457221\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Can I invest in NPS if I have credit card debt?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>You can, but card interest is usually far higher than long-term investment returns and NPS money cannot be withdrawn freely to clear dues. Many people bring expensive debt under control and build an emergency fund before raising pension contributions.<\/p>\n\n<\/div>\n<\/li>\n<li id=\"faq-question-1791449457222\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Does NPS guarantee a fixed pension?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No. The corpus depends on market returns, and the monthly pension depends on the annuity plan you buy and the rates the insurer offers when you retire.<\/p>\n\n<\/div>\n<\/li>\n<\/ol>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>A detailed breakdown of the <b>National Pension Scheme (NPS)<\/b> \u2014 its benefits, contribution rules, tax savings, and withdrawal process to help you plan for a financially secure retirement.<\/p>\n","protected":false},"author":2,"featured_media":1004,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","rank_math_title":"National Pension Scheme: NPS Basics, Tax Benefits and Rules","rank_math_description":"National Pension Scheme explained: how NPS works, Tier I vs Tier II, tax deductions, withdrawal rules and who it suits, with a worked example you can adapt.","rank_math_focus_keyword":"national pension scheme","rank_math_primary_category":0},"categories":[54],"tags":[55],"class_list":["post-11970","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax-retirement-planning","tag-nps-national-pension-scheme-india"],"_links":{"self":[{"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/posts\/11970","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/comments?post=11970"}],"version-history":[{"count":3,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/posts\/11970\/revisions"}],"predecessor-version":[{"id":16146,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/posts\/11970\/revisions\/16146"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/media\/1004"}],"wp:attachment":[{"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/media?parent=11970"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/categories?post=11970"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.billcut.com\/blogs\/wp-json\/wp\/v2\/tags?post=11970"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}