Archive · 19 Sep 2025
Proposed NPS Changes Increase Subscriber Control and Liquidity
The government is looking to update the National Pension System (NPS) to give people more flexibility with their retirement savings.
They're proposing that people only have to use 20% of their money to buy an annuity, so they can take out a bigger lump sum.
They are also increasing the age limits so people can invest longer.
Subscribers will also be able to withdraw money more often for more reasons, such as education, business, and home expenses.
People can also use their NPS accounts as collateral for loans.
These changes are designed to give people more choices about how they manage their retirement funds.
PFRDA proposes reducing mandatory annuity to 20% at exit.
Maximum NPS age extended to 85 for entry and exit.
Subscribers can now withdraw money more frequently.
Expanded list of permissible withdrawal reasons includes education, business, and home-related expenses.
NPS accounts can be pledged as collateral for loans.
- Who
- PFRDA and NPS Subscribers
- What
- Proposed changes to National Pension System
- When
- Draft open for feedback until October 17
- Where
- India
- Why
- To modernize NPS and give subscribers more control.
- Key Changes
- Reduced annuity, extended age limits, increased withdrawals
- Annuity Requirement
- Reduced to 20% at exit
- Maximum Age
- Entry and exit extended to 85 years
- Partial Withdrawals
- Increased from 3 to 6, with broader reasons
- Permitted Withdrawal Uses
- Expanded to include education, business, and home-related expenses
- Collateralization
- NPS account can be pledged for loans
Sources
NPS new rules from October 1: New equity investment limit and more non-govt subscribers must know
Finance ministry urges govt employees to opt for new pension scheme before September 30 deadline
Centre notifies Sept 30 as last date for NPS employees to switch to UPS
PFRDA revises NPS, UPS, APY charges: Date, rate list revealed
Finance Ministry urges employees to opt for UPS before Sept 30 deadline
NPS subscribers can submit physical forms if online form glitches persist till 30 September
‘PFRDA to allow PFs to freely bring in money for innovative ways of financing’
Govt Employees Now Have A Option To Switch From Unified Pension Scheme To NPS
SEBI chief urges faster infra asset monetisation, broader investor base
PFRDA proposes withdrawal of 80% of NPS corpus for private subscribers - Money News
Central Govt Staff Seeking Switch From NPS To UPS Urged To Act Before September 30 Deadline
