NPS Vatsalya

NPS-Vatsalya is a financial investment that parents/guardians can make on behalf of their minor children with minimum contribution of ₹1000 per year and no limit on maximum contribution, serving as a meaningful way to provide them with financial support until they start earning and investing on their own.

Eligibility

Any Citizen of India

Age up to 18 years

KYC Compliant

Why Join NPS-Vatsalya?

Protection against uncertainty and long-term financial security

Teaching financial responsibility (concept of pension planning)

Encouragement for long-term investment

Flexibility in future financial planning

Benefits of compound interest with long-term investment

Flexibity in NPS Vatsalya

Before Turning 18

Partial withdrawals before subscriber turns 18

After 3 years of joining NPS

Up to 25% of contributed amount

Available 3 times till subscriber turns 18

Partial withdrawals can be made for the purposes of education, treatment of specified illnesses, disability of more than 75%, etc., as specified by PFRDA

In unfortunate cases of death

Death of subscriber: Entire corpus returned to guardian (guardian is the nominee)
Death of guardian: Another guardian to be registered through fresh KYC
Death of both parents: Legal guardian can continue without making contributions until subscribers attains 18 years of age

Investment Choices

Active Choice

Auto Choice LC-75 (Aggressive)

Auto Choice LC-50 (Moderate)

Auto Choice LC-75 (Conservative)

Accumulation of Pension Wealth with NPS-Vatsalya

Amount and Tenure of Investment	Corpus at age 18 yrs. (₹)	Corpus at age 60 yrs. (₹)
Amount and Tenure of Investment	RoR 10%	RoR 10%	RoR 11.59%*	RoR 12.86% #
Contribution: ₹ 10,000 per year Duration: 18 yrs.	5 lk	2.75 cr	5.97 cr	11.05 cr

Disclaimer – This is for illustration purposes only
Calculations are based on historical data and estimates, and the actual returns may vary.
*The historical average return since inception under NPS with default weights (50% equity, 30% Corp Debt and 20% G-Sec) is 11.59% as on 19 th Jul 2024.
# The historical average return since inception under NPS with 75% weight to equity and 25% weight to G-Sec is 12.86% as on 19 th Jul 2024.

How to Join?

Click Open NPS Account and select your preferred Central Recordkeeping Agency (CRA).

Fill out the registration form online and upload documents.
Make initial payment of ₹1000/- or more and get NPS Account activated.
This will generate PRAN (Permanent Retirement Account Number) which is unique, i.e., an individual can have only one PRAN number.
After a day, the subscriber gets a Login ID to his account held by the CRA. Using this login ID, subscriber can view all details and history of his/her account.

It takes about 10- 15 mins to open your online NPS account.

Kindly keep the below information and documents ready

Mobile-linked Aadhaar Card or DigiLocker and PAN Card of parent / guardian
Date of Birth proof of minor (e.g., birth certificate, school leaving certificate, matriculation certificate, PAN, passport)
Scanned copy of parent / guardian signature
Ensure your UPI or Internet Banking is active (for payment purposes)

Size of scanned copies: 4kb to 2Mb. Bank account details of minor not mandatory for opening account, but will be required at the time of partial withdrawal or exit before the age of 18 (account number, IFS Code, and bank name; ensure that the bank account is in name of the individual registering for NPS). In the case that the guardian is NRI or OCI, NRE/NRO Bank details of guardian are mandatory.