National Pension Scheme: 7,50,400 new subscribers put TRUST in NPS!

As many as 7,50,400 new subscribers have joined the National Pension Scheme (NPS) within a span of one year. As per the latest data released by Ministry of Statistics & Programme Implementation National Statistical Office, as many as 7,50,400 new subscribers joined NPS between April 2018 and March 2019. Among the subscribers, there were 1,10,555 central government employees; 5,42,504 state government employees and 97,341 non-government subscribers. The total number of new NPS subscribers between September 2017 and March 2018 was 4,53,446.

EPF subscriptions:

Total new EPF subscribers between April 2018 and March 2019 was 1,39,44,349. In the same period, as many as 1,22,96,941 numbers of members ceased to be EPF subscribers. However, out of those who exited EPF, as many as 44,64,815 rejoined, says the official data. 

Since April, 2018, the  Ministry of Statistics & Programme Implementation has been releasing the employment-related statistics in the formal sector covering the period September 2017 onwards. The data is released using information on the number of subscribers who have subscribed under three major schemes, namely, the Employees’ Provident Fund (EPF) Scheme, the Employees’ State Insurance (ESI) Scheme and the National Pension Scheme (NPS).

*Source: Ministry of Statistics & Programme Implementation National Statistical Office

What is NPS

NPS is looked after by the Pension Fund Regulatory and Development Authority (PFRDA). Under the NPS, the individual contributes to his retirement account and also his employer co-contributes for the social security/welfare of the individual.

The ministry said in a statement, "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 investment of such wealth."