National Pension Scheme

1. National Pension Scheme CRAFTED BY PENSIONBOX

2. National Pension Scheme The National Pension System (NPS) is a voluntary, defined contribution retirement savings scheme that enables subscribers to make the best decisions for their future by making systematic savings throughout their working lives. NPS aims to instil in citizens the habit of saving for retirement. It is an attempt to find a long-term solution to the problem of providing adequate retirement income to every Indian citizen.

3. When registering in the CRA system under NPS, an NPS Subscriber must select the Pension Fund Manager (PFM) as well as the scheme preference. The Subscriber has several options from which to choose. There are multiple PFMs in NPS, as well as investment options (automatic or active) and four asset classes, namely equity, corporate debt, government bonds, and alternative investment funds. The Subscriber first selects the PFM, and after that, the Subscriber has the option of selecting any of the Investment Options.

4. Investment Options Active Choice : Individual funds In this type of investment option, the Subscriber has the right to actively choose how his or her contribution is invested, based on personal preference. The Subscriber must provide the PFM, Asset Class, and percentage allocation for each scheme of the PFM. There are 4 Asset Classes Equity and Asset Classes - Asset Class E Corporate Debt - Asset Class C Government Bonds - Asset Class G Alternative Investment Funds - Asset Class A 1.

5. There are certain age restrictions subject to asset allocation: From the age of 51 and up, the maximum permitted equity investment will be following the equity allocation matrix .The tapering off of equity allocation will be carried out in accordance with the matrix based on the Subscriber's date of birth. For Alternative Investment Funds, the percentage contribution value cannot exceed 5%. The total allocation across the asset classes E, C, G, and A must be 100%

6. 1. Auto choice : Lifecycle Fund NPS subscribers who are unable to choose their own asset allocation can select the Auto choice option (life stage investing option). This option allocates funds based on the age of the subscriber. There are three risk-based investment options under the Auto choice option: LC 25, LC 50, and LC 75. A. LC 25 - Conservative Life Cycle Fund The LC25 imposes a 25% cap on total asset allocation in asset class E. As the subscriber ages, his or her exposure to equity investments decreases gradually. B. LC 50 - Moderate Life Cycle Fund The LC50 imposes a 50% cap on total asset allocation in asset class E. As the subscriber ages, his or her exposure to equity investment decreases gradually. C. LC 75 - Aggressive Life Cycle Fund The LC75 imposes a 75% cap on total asset allocation in asset class E. As the subscriber ages, his or her exposure to equity investment decreases gradually.

7. How can PensionBox help? PensionBox allows people to better plan their retirement, keep track of all of their private pensions, including EPF, PPF, and NPS, under one roof. Sign Up and download the app on Android and on IOS.

8. About PensionBox PensionBox is India's first digital pension platform, where every individual can track, plan and invest to retire early or just RIGHT. With India’s first and the smartest pension planning platform . Retire at 45 or 60, at the beach or somewhere in the mountains or back to your hometown. Open up a cafe or start teaching or do whatever your heart desires. PensionBox personalizes your plan according to your needs, dreams & happy future!

9. Contact Details Website : https://pensionbox.in/ Mobile no. : 8445450050 E-mail ID : blog@pensionbox.in