NPS New Rule: National Pension System is a long term investment scheme. Under this scheme, the account holder gets the benefit of both lump sum amount and pension every month after retirement.
There is no provision for withdrawal before retirement in NPS, but under certain conditions the amount can be withdrawn from it. Pension Fund Regulatory and Development Authority has changed some new rules this year regarding partial withdrawal from NPS.
NPS account holders, employees of the Center, State and Central Autonomous Bodies, will have to apply for partial withdrawal from January 1, 2023, to the concerned nodal officer.
Online withdrawal is allowed for partial withdrawal. On the other hand, NPS members of private sector will continue to get online facility of partial withdrawal.
According to a circular issued by PFRDA, the time limit for withdrawal from NPS has been reduced from T4 to T2. This means that now instead of 4 days, the withdrawal process will be completed in just 2 days.
If you go to withdraw money from NPS account, then you can withdraw only three times. Also, only 25 percent of the total contribution can be withdrawn.
Withdrawal from NPS Partial withdrawal can be made for higher education of children, marriage of children, purchase and construction of flat, serious illness etc.
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