The NPS Vatsalya scheme was announced in the Budget 2024-25 as a contributory pension plan for minor subscribers. NPS Vatsalya, wherein the word "vatsalya" means affection, allows parents or guardians to create a retirement corpus on behalf of individuals below 18 years of age at a contribution as low as Rs 1,000 per year with no upper limit—hence an easy and convenient way to secure the future of the child by building a disciplined pension corpus starting much earlier than the regular NPS scheme. Simply put, through NPS vatsalya, parents or guardians manage the account until the child turns 18, after which it transitions into the child's name. 

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The scheme is regulated and administered by the Pension Fund Regulatory and Development Authority (PFRDA), India's pension fund regulator.

Where to open an NPS Vatsalya account?

Parents or guardians can open an NPS Vatsalya account online or through a bank/post office, contributing monthly or annually until the child turns 18.

Upon reaching adulthood, the account converts into a standard NPS account, allowing the child to manage it independently.

Retirement fund body PFRDA allows a completely seamless and paperless onboarding process to enroll in the scheme.  

The online platform (eNPS) is the quickest way to open an NPS Vatsalya account, enabling you to open an NPS Vatsalya account and make subsequent contributions through three central record-keeping agencies (CRAs): Protean, KFinTech, and CAMS. 

Details you need to provide to set up an NPS Vatsalya account

There are 10 basic details that you need to gather before you start the online process to set up an NPS Vatsalya account for your child using one of the three CRAs, according to the NPS portal npstrust.org.in.

These are: 

  • Name of the minor
  • Date of birth (DoB) of the minor
  • Gender of the minor
  • Guardian's/parent's relationship with the minor
  • Name of the guardian or parent
  • Mobile No. of the guardian or parent
  • PAN of the guardian or parent
  • Date of birth (DoB) of the guardian or parent
  • Email address of the guardian or parent 
  • Resident status of the guardian or parent