Latest news with #NPSVatsalya
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Business Standard
11-08-2025
- Business
- Business Standard
130K minors enrolled under NPS Vatsalya Scheme till August 3: Govt
Minister of State for Finance Pankaj Chaudhary on Monday said that 130 thousand minor subscribers are registered so far under the NPS Vatsalya Scheme launched in September last year. NPS-Vatsalya promotes inter-generational equity and financial security by encouraging early savings for children as well as promoting a culture and habit of retirement planning across generations, Chaudhary said in a written reply in the Lok Sabha. Under the old tax regime, income tax deduction u/s 80CCD (1B) up to ₹50,000 has been extended towards NPS-Vatsalya contribution made by the parent or guardian with effect from April 1, 2025. As on August 3, 2025, a total of 130 thousand minor subscribers are registered under the NPS Vatsalya Scheme, out of which 29 minor subscribers are from the Dahod district, he said. The scheme is implemented through Points of Presence (PoPs), which include the bank branches and non-bank entities, under the regulation of the Pension Fund Regulatory and Development Authority (PFRDA). These PoPs operate across India, in all geographies, thereby ensuring extensive coverage and accessibility, he said, adding that the NPS-Vatsalya account can also be opened through an online platform extended by the NPS Trust, further enhancing reach and convenience. NPS-Vatsalya Scheme, a contributory pension scheme for minors, was launched on September 18, 2024, with the objective of creating a fully pensioned society. The scheme is designed for parents/guardians to contribute a minimum of ₹1,000 per annum with no ceiling on maximum contribution, for their minor subscriber. On attaining the age of majority, the account of the subscriber can be seamlessly converted into an NPS account. NPS Vatsalya is a pan-India scheme, open to all citizens of India, including government employees. Replying to another question, Chaudhary said, currency in circulation has increased from ₹31,33,691 crore on March 31, 2022, to ₹33,78,486 crore at the end of March 31, 2023. It has further increased to ₹35,11,428 crore at the end of March 31, 2024. As per RBI, the increase in currency in circulation is a function of demand of a growing economy, and is driven by the growth in GDP, inflation, interest rate, etc, he said. The volume of UPI transactions has increased from 92 crore in FY 2017-18 to 13,116 crore in FY 2023-24, with 172 billion UPI transactions processed in 2024. With increasing digitisation and penetration of digital transactions, the exposure of cyber threats, including phishing and malware infiltration, to the bank and customer has increased, he said. However, he said, only social engineering-related threats have been observed for UPI. The government, RBI and NPCI have been undertaking various user awareness activities, including sending short SMS, radio campaigns and publicity on the prevention of cybercrime. The government, Reserve Bank of India (RBI) and National Payments Corporation of India (NPCI) have been working towards linking UPI with the FPSs of other countries to facilitate cross-border payments. Presently, UPI is live in seven countries, i.e. UAE, Nepal, Bhutan, Singapore, Mauritius, France and Sri Lanka, he said.
Mint
11-08-2025
- Business
- Mint
Govt says 1.30 lakh minor subscribers registered under NPS Vatsalya Scheme till Aug 3
New Delhi, Aug 11 (PTI) Minister of State for Finance Pankaj Chaudhary on Monday said that 1.30 lakh minor subscribers are registered so far under the NPS Vatsalya Scheme launched in September last year. NPS-Vatsalya promotes inter-generational equity and financial security by encouraging early savings for children as well as promoting a culture and habit of retirement planning across generations, Chaudhary said in a written reply in the Lok Sabha. Under the old tax regime, income tax deduction u/s 80CCD (1B) up to ₹ 50,000 has been extended towards NPS-Vatsalya contribution made by the parent or guardian with effect from April 1, 2025. As on August 3, 2025, a total of 1.30 lakh minor subscribers are registered under the NPS Vatsalya Scheme, out of which 29 minor subscribers are from the Dahod district, he said. The scheme is implemented through Points of Presence (PoPs), which include the bank branches and non-bank entities, under the regulation of the Pension Fund Regulatory and Development Authority (PFRDA). These PoPs operate across India, in all geographies, thereby ensuring extensive coverage and accessibility, he said, adding that the NPS-Vatsalya account can also be opened through an online platform extended by the NPS Trust, further enhancing reach and convenience. NPS-Vatsalya Scheme, a contributory pension scheme for minors, was launched on September 18, 2024, with the objective of creating a fully pensioned society. The scheme is designed for parents/guardians to contribute a minimum of ₹ 1,000 per annum with no ceiling on maximum contribution, for their minor subscriber. On attaining the age of majority, the account of the subscriber can be seamlessly converted into an NPS account. NPS Vatsalya is a pan-India scheme, open to all citizens of India, including government employees. Replying to another question, Chaudhary said, currency in circulation has increased from ₹ 31,33,691 crore on March 31, 2022, to ₹ 33,78,486 crore at the end of March 31, 2023. It has further increased to ₹ 35,11,428 crore at the end of March 31, 2024. As per RBI, the increase in currency in circulation is a function of demand of a growing economy, and is driven by the growth in GDP, inflation, interest rate, etc, he said. The volume of UPI transactions has increased from 92 crore in FY 2017-18 to 13,116 crore in FY 2023-24, with 172 billion UPI transactions processed in 2024. With increasing digitisation and penetration of digital transactions, the exposure of cyber threats, including phishing and malware infiltration, to the bank and customer has increased, he said. However, he said, only social engineering-related threats have been observed for UPI. The government, RBI and NPCI have been undertaking various user awareness activities, including sending short SMS, radio campaigns and publicity on the prevention of cybercrime. The government, Reserve Bank of India (RBI) and National Payments Corporation of India (NPCI) have been working towards linking UPI with the FPSs of other countries to facilitate cross-border payments. Presently, UPI is live in seven countries, i.e. UAE, Nepal, Bhutan, Singapore, Mauritius, France and Sri Lanka, he said.
Business Standard
03-07-2025
- Business
- Business Standard
ICICI Prudential Pension Funds crosses Rs. 50,000 Crore AUM milestone, reinforces leadership in Retirement Planning
PNN Mumbai (Maharashtra) [India], July 3: In a landmark achievement, ICICI Prudential Pension Funds swiftly crossed the 50,000-crore mark in Assets Under Management (AUM) as of June 2025, making it one of the youngest pension fund managers to reach this milestone in record time. This rapid ascent reflects not only the growing trust of Indian investors in the National Pension System (NPS) but also underscores ICICI Prudential Pension Funds' sharp focus on dynamic and prudent fund management, digital-first subscriber engagement, and unwavering commitment to securing India's retirement future. With a CAGR of nearly 60% over the last five years, the fund has consistently outpaced industry averages. Today, ICICI Prudential Pension Funds serves over 1.2 lakh NPS accounts through Points of Presence (POP), and 9.71 lakh subscribers as a Pension Fund Manager (PFM), spanning corporate and retail segments. "Reaching the ₹50,000 crore AUM mark is more than just a financial milestone - it's a reflection of the faith that over a million Indians have placed in us to secure their retirement. This moment reinforces our commitment to delivering long-term financial security with integrity, innovation, and service excellence," said K. Sivakumar, Chief Investment Officer, ICICI Prudential Pension Funds. The company attributes this success to key growth drivers such as its subscriber-first approach, robust product awareness campaigns, simplified digital onboarding, and strong fund performance. Campaigns like "NPS for All," "NPS Vatsalya," and the launch of a unified IPRU Smart App have deepened engagement, particularly among mid-career professionals aged 30-45, and corporate employees availing of employer contributions. Subscribers' behaviour is also evolving, with increasing traction from Tier 2 and Tier 3 cities, a younger investor base (25-35 years), and a growing preference for SIP-based investing. The digital shift is evident in the popularity of tools that allow real-time tracking, seamless contributions, and portfolio insights. One subscriber shared how a disciplined SIP of ₹15,000 per month starting in their early 30s helped build a corpus exceeding ₹10 lakh within a few years - while also enjoying tax benefits. "Our core purpose is to be the most trusted partner for Indians in securing their retirement. This milestone reaffirms that our philosophy of prudent fund management and service excellence is making a real difference," added Sivakumar. This achievement is also in line with the national vision of "Viksit Bharat 2047" and India's broader financial inclusion agenda. By enabling citizens to plan for independent and dignified post-retirement lives, ICICI Prudential Pension Funds is helping shape a self-reliant India. Looking ahead, the company has set ambitious goals - to double AUM to ₹1,00,000 crore by 2027, powered by technology-led innovation, expanded Tier 2/3 outreach, and workplace pension partnerships. Long-term, the company targets ₹3,00,000 crore AUM by 2030 and ₹5,00,000 crore by 2031. While the ₹50,000 crore milestone is a proud achievement, ICICI Prudential Pension Funds remains focused on what matters most - empowering every Indian to retire with financial freedom and dignity.
Hans India
12-06-2025
- Business
- Hans India
Know How to Secure Your Child's Future With NPS Vatsalya
Every parent dreams of giving their child the best possible future — quality education, financial independence, and a secure life. But with rising costs and economic uncertainties, securing that dream feels overwhelming. What if there were a simple, affordable way to start building a solid financial foundation for your child's future today? Enter NPS Vatsalya, a child-focused retirement savings scheme designed to help parents create a disciplined investment habit with long-term benefits. If you're wondering what NPS Vatsalya is and how it can make a difference in your child's life, this article is your easy-to-understand guide. Let's dive in! What is NPS Vatsalya, and Why Should You Care? NPS Vatsalya is a government-backed pension scheme for children under 18. Think of it as a long-term savings plan, but with a twist: it's not just about saving money—it's about growing it smartly, with tax benefits. Here's the simple catch: you open an NPS Vatsalya account in your child's name, start investing small amounts regularly, and the money grows over time with the power of compounding. Once your child turns 18, the account can be converted into a regular NPS account for them to manage on their own. Why Now is the Best Time to Start? Did you know the cost of higher education in India has increased in the last five years? According to a recent report by the Indian Ministry of Education, expenses related to professional courses, international degrees, and even day-to-day schooling are rising steadily. Waiting to save until your child is older could mean you have to shell out a larger sum in a short time, which can strain family finances. Starting early with NPS Vatsalya helps you spread out the investment, reduces pressure, and gives the money enough runway to grow, helping you keep pace with inflation. Even investing as little as ₹500 a month consistently can accumulate a substantial corpus over 15-18 years. How NPS Vatsalya Works: The Simple Steps 1. Opening the Account A parent or legal guardian can open the account for a child aged between 1 month to 18 years. The process is straightforward, available online or at authorised points, and requires basic KYC documents. 2. Invest Regularly You can contribute a minimum of ₹1000 per contribution with no upper limit, with no upper limit, whenever convenient — monthly, quarterly, or yearly. 3. Investment Choices The funds are invested in a mix of government bonds, equities, and corporate debt, managed by professional fund managers under a low-risk, moderate-risk, or active risk profile chosen by the parent. 3. Tax Benefits Contributions to the NPS up to ₹1.5 lakh in a financial year qualify for deductions under Section 80C of the Income Tax Act. Additionally, contributions up to ₹50,000 per year are deductible under Section 80CCD(1B), separate from the ₹1.5 lakh limit under Section 80C, but this benefit is available only under the old tax regime. This allows you to save for your child while reducing your taxable income. 4. Maturity and Withdrawal Upon reaching 18 years, your child's account transitions to a standard National Pension System (NPS) account. At maturity (typically age 60), standard NPS withdrawal rules apply: up to 60% of the corpus can be withdrawn lump-sum tax-free, while at least 40% must be used to purchase an annuity for lifelong financial support. How to Open an NPS Vatsalya Account: A Step-by-Step Guide 1. Go Online Visit Protean eGov Technologies Website Click on 'NPS Vatsalya' and fill in your child's and your details. Use Aadhaar for quick verification, or upload documents if you prefer. Pay at least ₹1,000 to start. You can use net banking, debit card, or UPI—super easy! Add money whenever you can. You can even set up auto-debit so you never miss a payment. Check your account online anytime. When your child turns 18, they take over, and the account keeps growing for their retirement. Start Early, Start Small: Even small monthly contributions matter more than a big lump sum later. Even small monthly contributions matter more than a big lump sum later. Review Annually: Check your investment returns yearly and adjust the risk profile if necessary. Check your investment returns yearly and adjust the risk profile if necessary. Encourage Your Child: When your child turns 18, educate them on financial planning and how to manage their NPS account responsibly. When your child turns 18, educate them on financial planning and how to manage their NPS account responsibly. Combine with Other Savings: NPS Vatsalya is a part of a broader financial plan — complement it with fixed deposits, mutual funds, or insurance. 2. Complete KYC 3. Make Your First Contribution 4. Keep Contributing 5. Watch Your Child's Future Grow Quick Tips to Maximise Your NPS Vatsalya Investment Conclusion Securing your child's future is more than just a dream — it's a responsibility that begins today. NPS Vatsalya offers a practical, affordable, and tax-friendly way to build a financial cushion that grows with your child. With rising education costs and uncertain economic times, having a dedicated long-term savings plan is no longer optional — it's essential. Take the first step now. Open an NPS Vatsalya account, start small, stay consistent, and watch your child's dreams take flight — one smart investment at a time. FAQs 1. Is it good to invest in the NPS Vatsalya scheme? NPS Vatsalya is a great option for parents to save for their child's future with market-linked returns and compounding benefits. It encourages early financial planning but involves some market risk. 2. Can I open NPS for my child? Yes, parents or guardians can open an NPS Vatsalya account for their child under 18, who must be an Indian citizen. The account is managed by the guardian until the child turns 18. 3. Can NPS Vatsalya be withdrawn? Yes, up to 25% of contributions can be withdrawn after 3 years for specific needs like education or medical emergencies, with a maximum of three withdrawals before age 18. At 18, the child's NPS account becomes a standard NPS account. At exit (usually 60), up to 60% of the corpus can be withdrawn tax-free, at least 40% must buy an annuity, unless the corpus is below ₹2.5 lakh, which can be fully withdrawn. 4. Is NPS Vatsalya tax free? Contributions to NPS Vatsalya may offer tax deductions up to ₹50,000 under Section 80CCD(1B) from FY 2025-26, but annuity income is taxable. Confirm with a tax advisor for clarity. 5. How to open Vatsalya NPS? Visit the eNPS website or a Point of Presence (like banks or post offices), provide guardian and child details, submit KYC documents, and make a minimum ₹1,000 initial contribution to get a PRAN.
Business Standard
29-05-2025
- Business
- Business Standard
FPSB India and NPS Trust Sign MoU to Boost Financial Literacy and Retirement Planning
PNN New Delhi [India], May 29: In a landmark step towards empowering Indians with crucial financial education andretirement planning awareness, FPSB India, the Indian subsidiary of Financial Planning Standards Board Ltd., and the NPS Trust (National Pension System Trust) have signed a Memorandum of Understanding (MoU) to collaborate on nationwide financial education and retirement planning outreach programs. The collaboration will include joint campaigns, co-branded learning resources, webinars, and capacity-building efforts aimed to educate individuals, employers, and financial intermediaries on how to better plan one's retirement. The initiative aligns with the larger vision of strengthening long-term financial security and empowering individuals to make informed financial decisions throughout their life stages. This collaboration aims to emphasize the importance of planning one's second innings to ensure a fulfilling post-retirement lifestyle - one that is rich in exploration, purpose, and new experiences. Speaking about the MoU signing Krishan Mishra, CEO, FPSB India said, "At FPSB India, we believe that financial education is not just a life skill--it is a life changer. This MoU with NPS Trust is a powerful opportunity to integrate retirement planning as a central theme of personal finance education and reach diverse segments of society with credible, action-oriented guidance." This strategic partnership aims to enhance the public's understanding of retirement planning and personal finance, especially among institutions, enterprises, government bodies, and the general public. The MoU marks a crucial milestone in India's journey toward building a financially resilient and retirement-ready population. The MoU reinforces the commitment of both organizations to the Government of India's vision of financial inclusion and ViksitBharat by providing the tools, resources, and knowledge to plan and secure one's financial future. Key initiatives under this collaboration include: * Joint Awareness Campaigns on NPS, NPS Vatsalya, APY, and other PFRDA-regulated schemes via seminars, digital outreach, and workshops. * Targeted Outreach to institutions, enterprises, government bodies, and the general public to promote retirement planningawareness. * Information Exchange & Research Collaboration to develop high-quality, relevant financial education content. As the collaboration unfolds, both FPSB India and NPS Trust are committed to delivering impactful programs that not only raise awareness but also build confidence and actionable knowledge among citizens about financial planning, retirement solutions, and long-term wealth creation. (ADVERTORIAL DISCLAIMER: The above press release has been provided by PNN. ANI will not be responsible in any way for the content of the same)
