Do you know what is National Pension System (NPS) is and what are its benefits? Well, simply put, it is a social security and welfare scheme under which an individual contributes to his retirement account. The employer can also co-contribute towards it. NPS is designed on Defined contribution basis wherein the subscriber contributes to his account, there is no defined benefit that would be available at the time of exit from the system and the accumulated wealth depends on the contributions made and the income generated from investments made. 
 
NPS is an easily accessible, low cost, tax-efficient, flexible and portable retirement savings scheme.

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The greater the value of the contributions, the greater the investments made, the longer the term over which the fund accumulates and the lower the charges deducted, the larger would be the eventual benefit of the accumulated pension for the subscriber.

Who can Join NPS?
Any citizen of India, whether resident or non-resident can join the scheme, subject to fulfilling the following conditions:

-- The individuals who are aged between 18 – 60 years as on the date of submission of his/her application to the Points of Presence (POPs)/Point of Presence Service Providers POP-SP. 

-- The citizens can join NPS either as individuals or as an employee-employer group(s) (corporates) subject to submission of all required information and Know your customer (KYC) documentation.

-- After attaining 60 years of age, you will not be permitted to make further contributions to the NPS accounts.

NPS is distributed through authorised entities called Points of Presence (POP’s) and almost all the banks (both private and public sector) are enrolled to act as Point of Presence (POP) under NPS apart from several other financial institutions.

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To invest in NPS, you will be required to open a NPS account through the Point of Presence (POP) and who will assist the subscriber in opening the account including the filling up of necessary forms, providing the information about NPS and any other relevant information in this regard.