NPS Vatsalya Scheme: Launch date, features, other details

NPS Vatsalya Scheme: Launch date, features, other details

Sandeep Singh

Sep 16,2024

What is NPS Vatsalya? It is a special pension scheme focused on minors. 

When was it introduced?

The scheme was announced in the July 23 Budget, the first Union Budget under the Narendra Modi 3.0 government. 

When will the scheme be available?

Finance Minister Nirmala Sitharaman will launch the NPS Vatsalya scheme on September 18. 

How will it work? 

Under the contributory pension scheme, parents and guardians will be able to invest funds in favour of minors, thereby building a corpus on their behalf. 

When will the corpus mature?

The bearer will be able to convert the Vatsalya account into a normal NPS account upon attaining adulthood. 

Goal

The main purpose of the NPS Vatsalya scheme is to promote financial planning and savings habits among children. 

Benefits

Parents and guardians can open the NPS Vatsalya account for their children and start saving on their behalf at an early stage. 

The corpus continues to grow even after the main holder reaches the age of 18 years.

The NPS Vatsalya scheme helps parents and guardians build a significant corpus for a child's future needs. 

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