Today's Cancelled Trains
Pension
07:17
Showing posts with label NPS. Show all posts
Showing posts with label NPS. Show all posts
Wednesday, 11 March 2020
Saturday, 28 October 2017
PoP
09:17
PFRDA:Increase Pension Coverage &Incentives Payable to POPs,NPS
PFRDA:Increase Pension Coverage &Incentives Payable to POPs,NPS
PFRDA
takes a new initiative to increase pension coverage by increasing the
incentives payable to Points of Presence (POPs), the principal distributive
points for NPS.
Pension Fund Regulatory and Development Authority (PFRDA) has
taken several initiatives in the past few years to increase pension coverage in
the country, notably introducing e-NPS, reducing minimum contribution levels,
new investment instruments, aggressive life cycle funds etc. PFRDA has now taken a further step in this direction by increasing
the incentives payable to Points of Presence (POPs), the principal distributive
points for National Pension System (NPS).
|
Principal Distribution Point
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Services offered
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Current Charge
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New Charge
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POP
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Initial Subscriber Registration*
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Rs. 125/-
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Rs. 200/-
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Initial Contribution
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0.25% of the contribution Min: Rs.
20/- & Max : Rs.25,000/-
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0.25% of the contribution Min: Rs.
20/- & Max : Rs.25,000/-
|
|
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All Subsequent Contribution
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|||
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All Non-Financial Transaction
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Rs. 20/-
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Rs. 20/-
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|
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Persistency*
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-----
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Rs. 50/- per annum (only for NPS-All
Citizen)
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|
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e-NPS* (for subsequent contributions)
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0.05% of the contribution Min Rs 5/-
& Max Rs 5000/- (Only for NPS- All Citizen and Tier-II Accounts)
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0.10% of the contribution Min Rs 10/-
& Max Rs 10000/- (Only for NPS- All Citizen and Tier-II Accounts)
|
*Changes
effected
A new incentive towards increasing persistency has been introduced
under which POPs will receive an incentive of Rs. 50/- per account per annum
for every account which continues to contribute a minimum of Rs 1000/- in a
financial year.
PFRDA believes that the renewed incentive will help in increasing
the reach of pensions in India, through the efforts of Points of presence
(POPs).
Source:PIBNEWS
Saturday, 3 June 2017
Wednesday, 22 March 2017
Pension
08:23
CAPF AND ASSAM RIFLES APPOINTED ON OR BEFORE 01.01.2004 ARE COVERED UNDER NPS
CAPF AND ASSAM RIFLES APPOINTED ON OR BEFORE 01.01.2004 ARE COVERED UNDER NPS
Pension to retired personnel
There are demands from the in service and retired Central Armed Police Forces (CAPFs) and Assam Rifles (AR) personnel for extending One Rank One Pension (OROP). CAPF & AR personnel retire only on attaining the age of 57/60 years and they are entitled for pension and other pensionary benefits as per Central Civil Services (Pension) Rules, 1972. These rules are different from the pension rules applicable to Ex-Servicemen. Further CAPF & AR personnel, who are appointed on or after 01/01/2004 are covered under New Pension System (NPS).
The Government has taken several steps for the Central Armed Police Forces (CAPFs) personnel including Next of Kin (NoK) of CAPFs personnel who lay down their lives for the country. Following benefits, inter alia, are given to Central Armed Police Forces (CAPFs) personnel including the Next of Kin (NoK) of those who lay down their lives for the country:-
(i) Ex-gratia lump-sum compensation @ Rs.35 lacs for death on active duty and @Rs. 25 lakhs for death on duty, as the case may be, is entitled to the Next of Kin of the deceased personnel.
(ii) The NoK of the deceased is entitled to get Liberalized Family Pension (i.e. last pay drawn) under Central Civil Service (Extra Ordinary Pension) Rules, 1939 and other pensionary benefits as admissible.
(iii) 5% vacancies are reserved in Group “C” & “D” for compassionate appointments for NoK of the deceased personnel.
(iv) Under the Prime Minister Scholarship Scheme, amount @ Rs.2250/- pm for girls and Rs.2000/- pm for boys is being released to the wards of serving/retired CAPFs personnel. Prime Minister Scholarship is admissible to 1000 girls and 1000 boys.
(v) There is a reservation of 15 MBBS and 02 BDS seats for the wards of CAPFs personnel in the seats of Central Government for these courses.
(vi) Central Police Canteens at various locations in the country have been functioning.
(vii) A Welfare and Rehabilitation Board has been established for the welfare and rehabilitation of CAPFs personnel and their families including differently abled personnel.
This was stated by the Minister of State for Home Affairs, Shri Kiren Rijiju in a written reply to question by Shri Kamal Nath and Shri Jyotiraditya M. Scindia in the Lok Sabha ON 21.03.2017.
Source:PIBNEWS
Wednesday, 8 March 2017
No Tax for Transfer of Funds from PF to NPS
No Tax for Transfer of Funds from PF to NPS
Clarification by Pension Fund Regulatory and Development Authority (PFRDA) on transfer of amount from Recognized Provident Fund & Superannuation Fund to National Pension Scheme (NPS)
In the budget of 2016-17, the Government had announced that the subscribers from recognised Provident Funds and Superannuation Funds would be able to transfer their corpus from these funds to National Pension System (NPS) without any tax implication.
With the NPS gaining momentum vis-Ã -vis other retirement products and a number of queries being raised on the transfer of amounts from recognised Provident/Superannuation Funds to NPS, Pension Fund Regulatory and Development Authority (PFRDA) has clarified the process through a circular dated 06.03.2017.
Accordingly, in case the subscriber is interested to get his/her recognised Provident Fund/Superannuation Fund transferred to NPS, he/she needs to follow the below mentioned process:
The subscriber should have an active NPS Tier I account which can be opened either through the employer (where NPS is implemented) or through the Points-of-Presence (POPs) or online through eNPS on the NPS Trust website www.npstrust.org.in
The subscriber presently under Government/Private Sector employment should approach the recognised Provident Fund/Superannuation Fund Trust through the current employer by giving request for transfer to his/her NPS account.
The Recognised Provident Fund/Superannuation Fund Trust may initiate transfer of the Fund as per the provisions of the Trust Deed read with the provisions of the Income Tax Act, 1961.
The Recognised Provident fund/Superannuation Fund may issue the cheque/draft in the name of:
a) In case of Government employee: Nodal Office Name (PAO or CDDO Name) <> Employee Name<> PRAN (12 Digit No.)
b) In case of subscriber presently under Private Sector including All Citizen Model: POP (Name of the POP) Collection Account-NPS Trust<>Subscriber Name<>PRAN (12 Digit No.)
In case of Government or Private Sector employee, the employee should request the recognised Provident Fund/Superannuation Fund to issue a letter to his present employer mentioning that the amount is being transferred from the recognised Provident Fund/Superannuation Fund to be credited in the NPS Tier I account of the employee which would be recorded by the present employer or POP as the case may be, while uploading the amount.
It may be noted here that as per the provisions of the Income Tax Act, 1961 the amount so transferred from recognised Provident Fund/Superannuation Fund to NPS is not treated as income of the current year and hence not taxable. Further, the transferred recognised Provident Fund/Superannuation Fund will not be treated as contribution of the current year by employee/employer and accordingly the subscriber would not make Income Tax claim of contribution for this transferred amount.
Source:PIBNEWS
Friday, 3 February 2017
NPS
07:28
National Pension Scheme New Benefits for Subscribers Announced
National Pension Scheme New Benefits for Subscribers Announced
New Benefits announced for NPS Subscribers in Union Budget 2017-18
In a bid to provide further impetus to the National Pension System (NPS), the following provisions have been introduced in the Finance Bill 2017 laid down in the Parliament today.
Tax-exemption to partial withdrawal from National Pension System (NPS)
The existing provision of section 10(12A)of the Income Tax Act, 1961 provides that payment from National Pension System (NPS) to a subscriber on closurer of his account or opting out shall be exempt up to 40% of total corpus at the time of withdrawal . The amount utilized for purchase of annuity is also tax exempt. At the time of normal exit, 40% of the total corpus is mandatorily required to be purchased for annuity. The subscriber has the option to use higher amount for purchase of annuity.
In order to provide further relief to the subscriber of NPS, it has been proposed to insert a new clause (12B) in the section 10 of Income Tax Act, 1961 to provide exemption on partial withdrawal not exceeding 25% of the contribution made by an employee in accordance with the terms and conditions specified under Pension Fund Regulatory and Development Authority Act, 2013 and regulations made there under.
This benefit will be effective on partial withdrawal made by the subscriber after 1st April 2017.
Further, Contribution up to 20% of the Gross Income of the Self-employed individual (Individual other than salaried class) will be deductible from the taxable income under Section 80CCD (1) of the Income Tax Act, 1961, as against 10% earlier.
This is with a view to provide parity between a salaried employee and a self-employed.
This benefit will be available on contribution made by the self employed persons on or after 1st April 2017.
This increased limit for tax benefit will help the self-employed individuals, to save taxes on higher contribution in NPS and thereby properly plan for their old age income security.
Additional tax deduction on investment upto Rs. 50000/- under Section 80CCD (1B) will continue to remain the same for all NPS subscribers whether salaried or self-employed.
Source:PIBNEWS
Thursday, 2 February 2017
NPS
07:48
BUDGET 2017:BENEFIT FOR NPS SUBSCRIBERS
BUDGET 2017:BENEFIT FOR NPS SUBSCRIBERS
J. BENEFIT FOR NPS SUBSCRIBERS
Tax-exemption to partial withdrawal from National Pension System (NPS)
The existing provision of section 10(12A) provides that payment from National Pension System (NPS) trust to an employee on closer of his account or opting out shall be exempt up to 40% of total amount payable to him.
In order to provide further relief to an employee subscriber of NPS, it is proposed to amend the section 10 so as to provide exemption to partial withdrawal not exceeding 25% of the contribution made by an employee in accordance with the terms and conditions specified under Pension Fund Regulatory and Development Authority Act, 2013 and regulations made there under.
This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent assessment years.
Rationalisation of deduction under section 80CCD for self-employed individual
The existing provisions of section 80CCD provides that employee or other individuals shall be allowed a deduction for amount deposited in National Pension System trusts (NPS). The deduction under section 80CCD (1) cannot exceed 10% of salary in case of an employee or 10% of gross total income in case of other individuals. However, under the provisions of section 80CCD (2) of the Act, further deduction to an employee in respect of contribution made by his employer is allowed up to 10% of salary of the employee. Thus, in case of an employee, the deduction allowed under section 80CCD adds up to 20% of salary whereas in case of other individuals, the total deduction under section 80CCD is limited to 10% of gross total income.
In order to provide parity between an individual who is an employee and an individual who is self-employed, it is proposed to amend section 80CCD so as to increase the upper limit of ten per cent of gross total income to twenty per cent in case of individual
other than employee.
This amendment will take effect from 1st April, 2018 and, will accordingly, apply in relation to assessment year 2018-19 and subsequent years.
Source:Indian Budget 2017
Monday, 2 January 2017
PFRDA
07:53
Open NPS a/c via Aadhaar, avoid form
Open NPS a/c via Aadhaar, avoid form
New Delhi: Simplifying the process, pension fund regulator PFRDA has dispensed with the requirement of submission of physical application form for opening an NPS account if done through Aadhaar verification and e-signature. Pension Fund Regulatory and Development Authority (PFRDA), in October 2013, had allowed acceptance of e-KYC as a valid process for ‘Know Your Customer’ verification in addition to the other permitted documents of identity and address. PTI
Source:Tribune News
Thursday, 8 December 2016
NPS
21:13
Observance of “All India Protest Day” on 14th December, 2016
Observance of “All India Protest Day” on 14th December, 2016
The General Secretaries,
All Affiliated Unions,
Dear Comrades!
Sub: Observance of “All India Protest Day” on 14th December, 2016
As you are aware that, in the 92nd Annual Conference of AIRF, held at Allahabad from 8-10 November, 2016, it was unanimously decided to observe “All India Protest Day” on 14th December, 2016, in a befitting manner; protesting against “retrograde recommendations of 7th CPC, redressal of anomalies of VII CPC, improvement in Minimum Wage and Fitment Formula, D.A. Formula, restoration of Pension & Family Pension, scrapping of National Pension System(NPS), restoration of various abolished allowances, outsourcing/PPP/FDI etc., non-creation of new posts against new assets and filling-up of large-number of vacancies, “Very Good” benchmark for grant of MACP and reduction in increment after 20 years of service in case of not getting “Very Good” Benchmark and Running Staff
related issues, viz. existing rates of TA be multiplied by 2.25 and revised TA rates, so arrived at, should be taken into account for the purpose of computation of rates of Running Allowance. This should be multiplied by 21 days. 30% Pay Element should be added, and the rate of Running Allowance should only be fixed after that, percentage of
Pay Element of Running Staff, for calculation of various purposes, as existed today, should continue, existing procedure adopted for fixation of pay of Running Staff, on revised pay scale, should continue, procedure adopted for fixation of pay on promotion, absorption in alternative post on medical de-categorization etc. should continue, all the
benefits admissible to Running Staff should continue till they are finally absorbed in the alternative post on medical de-categorization, recommendations of D.P. Tripathi Committee should be implemented, minimum period of Periodical Rest should be raised from 12 hours to 16 hrs. and Running Staff should not be disturbed during the period of Periodical Rest, implementation of the recommendations of the 7th CPC in respect of upgradation of pay scales of certain categories of staff, payment of allowances in favour of Track Maintainers, Controllers, Addl. Allowance in favour of Loco & Traffic Running Staff and its extension to all Loco & Traffic Running Staff, promotion of the staff from Group `C’ to Group `B’, etc. etc.
Source:AIRF
Monday, 3 October 2016
PFRDA
16:34
Central Government Employees Pension -Before 2003 and after 2004 appointment
Central Government Employees Pension -Before 2003 and after 2004 appointment
It’s No Pension Scheme
Discontent is simmering among the government employees and teachers over the Contributory Pension Scheme also called the National Pension Scheme that was launched in 2003 by the then NDA government. The united Andhra Pradesh government and later the Telangana State governments have also adopted the scheme.
The existing employees in 2003 did not react much as it did not impact them. But, as the government recruitments continued after 2004, the ranks of government employees denied the defined benefit pension and brought under this contributory pension scheme started to swell. They are realising its ill-effects on them. There are about 1.15 lakh such employees in Telangana and another 1.56 lakh in Andhra Pradesh, who are affected by the New Pension Scheme.
As per this scheme, the central government employees appointed on or after January, 1, 2004 will come under this scheme. Until then, the government employees were getting pension as an additional post-retirement benefit. But, the new scheme provides for pension based on the contributions from the employees accrued in a fund set up for the purpose.
The Pension Fund Regulatory Development Authority Act (PFRDA) was enacted by the then UPA government in 2013 with the support of the major opposition, NDA. In accordance with the Act, the pension funds will be invested in the stock market and the quantum of pension being subject to its vagaries. The lives of the retirees would therefore swing as per the bulls and bears of capital market.
The government and the promoters of PFRDA Act argued that the retired employees are to be benefitted immensely by the New Pension Scheme as the markets would yield them wealth. But, this wealth perceived is actually market capitalisation. Its estimates are just notional. In the previous scheme, the pension benefit was defined and calculated based on the last drawn pay. Apart from this defined pension, the retired employees in the old scheme would also get other benefits like gratuity and commutation.
But, in the new pension scheme, the quantum of pension is completely dependent on the price fluctuations in the market. If the market plunges due to one sentiment or the other, then the retirees would be losing heavily for no fault of theirs. Stock markets across the world are prone to either manipulation or speculation. The uncertainties deprive the government employees the luxury of planning their retired life as they become vulnerable to the peculiar behaviour of stock markets.
The origins of PFRDA are in the Project OASIS (expert committee) Report (December, 1999), which was constituted by the first NDA government. However, the tripartite Central Board of Trustees of the Employees Provident Fund had, in a special meeting held on February 8, 2000 and was chaired by the then labour minister, unanimously held: “the (said) report is investment centric and not social security or social insurance centric and contains a number of recommendations and suggestions, which are inconsistent with the ground reality or practical considerations.”
The CBT was “unanimously of the opinion that the proposals in the report … would seriously jeopardise the safety and future savings of the workers as well as the whole concept of social security and social insurance.” Even the Bhattacharya Committee, appointed by the NDA government, did not recommend only a ‘defined contribution’ scheme, which is the case with the New Pension System. It recommended a hybrid Direct Benefit /Direct Contribution or mixed scheme.
The policy of pension reforms emerges out of the World Bank report titled, “Averting the Old Age Crisis”. This report advocated pension sector reforms. The essence of the World Bank report was not to tackle the crisis faced by the elderly in their old age as professed in the title of the report , but , to resolve the ‘crisis’ of the pension pay out burden of the governments world over.
This new scheme works out as follows. The gratuity and commutation amount are paid out of the 60 percent withdrawn from the accumulated contribution of the employees during their service. The remaining 40 percent will be invested in the annuities. The income yielding out of this would be paid as pension.
In the old pension scheme, the amount was essentially dependent on the maximum wage one reaches by the time of retirement. The other benefits like gratuity, commutation availed in the old Pension Scheme are non-taxable but 60 percent withdrawals at the time of retirement under the New Pension Scheme are subject to taxation.
The pension amount earlier was guaranteed. But, now, it is left to markets. When the UPA government defended the New Pension Scheme stating that it would yield more returns than the pension obtained otherwise, Members of Parliament asked the government to ensure a minimum guaranteed pension in the PFRDA act itself.
The then prime minister Manmohan Singh simply replied how it can be guaranteed as it was dependent on market movements. Infact Section 20(2)(g) of PFRDA Act inter-alia, provides: “there shall not be any implicit or explicit assurance of benefits except market based guarantee mechanism”.
The government employees under this new pension scheme will be deprived of the government Provident Fund account. Thus they will be losing the interest on the GPF accruals and the facility of partial withdrawals from the GPF.
All the government employees appointed on or after January, 1, 2004 were contributing 10 percent of their pay into the contributory pension scheme. The government would contribute a matching amount. This money is in the National Securities Depository Limited (NSDL). The fund managers, who operate this fund, are investing the same in the markets.
The experience so far suggests that the net asset value accrued on these contributions is not even matching the bank interest. Thus, the employees who have earlier failed to comprehensively comprehend the implications of the New Pension Scheme started feeling the pinch of it. Hence, the disgruntlement!
Even the government is not going to benefit much as it has to contribute 10 percent as a matching grant. It is not therefore relieved of the pension burden. However, the industry gets access to massive public savings. The magnitude of the public resources available for the private sector is evident from the following statistics. By the end of November, 2015, about 16 lakh central government employees were brought under this scheme.
The total amount accumulated accounts for about 44,000 crores. Similarly all the state government employees enrolled in the new scheme accounted for over 28 lakh. The total amount was to the extent of over Rs 50,000 crore. This accrual will increase each passing year.
Even the Supreme Court held that pension is a social security measure and is the fundamental right. The apex court in D.S. Nakara & Others vs. Union of India, 1982 stated that Pension is a right; not a bounty or gratuitous payment.
Pension also has a broader significance in that it is a social-welfare measure rendering socio-economic justice by providing old-age economic security to those who toiled ceaselessly in their youthful heyday. Privatising pension funds tantamounts to privatising social security and depriving the protective freedom enjoyed by the employees, who contributed to the government service for decades.
The PFRDA Act applies to those appointed after 2004. However, the pace with which pension reforms are implemented across the world leaves no guarantee that the Act will not be mandatorily extended to the employees recruited prior to 2004, who are now in the old defined benefit pension scheme.
In case, if the government does so, it is unlikely that the courts will strike it down as Supreme Court in many judgements held that when the State considered it necessary to liberalise the pension scheme in order to augment social security in old age to government servants it could not grant the benefits of liberalisation only to those who retired subsequent to the specified date and deny the same to those who had retired prior to that date.
The government can escape judicial scrutiny claiming that New Pension Scheme benefits employees. Investing public savings in the stock markets should be the option of those who save. But, the New Pension Scheme makes it mandatory. Each employee will have his or her own priorities of expenditure in life. The economic necessities differ from person to person.
How can one be deprived of choice of spending one’s surplus income? Even if the government ascribes to itself the parental role, the mandatory savings should yield minimum guaranteed and better returns. The risk-absorbing capacity of a retiree will be limited and it varies from individual to individual.
Under this New Pension Scheme, the employees will not get any family pension facility. Besides, service charges will be collected from the employees for managing their pension funds. As per the PFRDA Act, the government gives a matching grant. But, this may not stand as evident from the experience of pension reforms in other countries like in many East European countries.
The governments often implement fiscal austerity regime. They are legally mandated to control expenditure under Fiscal Responsibility and Budget Management (FRBM) Act. In such a situation, the possibility of government slashing its share of the contribution by amending the Act cannot be ruled out. Noble laureate and former chief economist of World Bank, Joseph Stiglitz warned that pension privatisation can lead to worsening of economic crisis as evident from the experience of Argentina.
Source:The Hansindia
Tuesday, 10 May 2016
Public News
08:14
PFRDA is planning a nationwide training programme for all the government and non-government nodal offices primarily to increase the awareness and expand the reach of NPS into the nooks and corners of the country.
PFRDA is planning a nationwide training programme for all the government and non-government nodal offices primarily to increase the awareness and expand the reach of NPS into the nooks and corners of the country.
PFRDA organises its POP conference on National Pension System; Chairman, PFRDA stresses upon the need to expand the coverage of pension sector across the informal sector in the country which occupies almost 90% of the workforce
Pension Fund Regulatory Development Authority (PFRDA) organised its POP
Conference on National Pension System here today. The prime objective of the Conference was to provide a platform to discuss and deliberate on key issues encountered in the coverage of pension sector, the budget announcements relating to the tax benefits and the need and ways to expand the pension coverage across the country. The Conference saw an active participation of all the major Public and Private Sector Banks and the non-Bank Point Of Presence (POPs). In the inaugural address, Dr Badri S Bhandari, Whole Time Member, PFRDA welcomed the participants and brought to fore the scope of improvement vis a vis performance of the POPs in expanding the coverage of NPS in the Private and Corporate segment while acknowledging the good work done by some of the POPs. Currently, the unorganised (all citizen segment) and the Corporate sector comprises of only 5.6% of the subscribers and 9.0% of the AUM under NPS and only 7500 out of 55600 POP branches i.e. 13%, are active in sourcing NPS accounts. He emphasised the need for the activation of all the branches of POPs who are the eyes and face of the system and awareness creation and quality service to the subscribers. He informed that PFRDA is exploring the development of NPS module linked with core banking solutions of the Banks in line with the APY module.
Shri Hemant G. Contractor, Chairman, PFRDA, in the keynote address, stressed upon the need to expand the coverage of pension sector across the informal sector in the country which occupies almost 90% of the workforce. India has the highest percentage of informal workforce in the world, which is largely uncovered by any pension scheme. The demographic changes impacting the need to provide for pension includes increasing longevity, nuclear families and the ever increasing proportion of old age people, especially women whose longevity is higher. These factors have brought the issue of pension centre stage in most of the policies of nations worldwide. NPS has the advantage of market commensurate returns, flexible options, transparency and low cost. He also added that effort was required to meet the challenges facing the unorganised sector including low awareness, low income levels and the lack of long term vision to save for the future. Moreover, 10% of the senior citizen population in the world resides in India and this number would increase from current 100 million to 300 million by 2050 and hence the sense of urgency to expand the coverage to meet the challenge of exponentially increasing fiscal pension liability. PFRDA is planning a nationwide training programme for all the government and non-government nodal offices primarily to increase the awareness and expand the reach of NPS into the nooks and corners of the country.
The event was graced by presentations by eminent partner and tax expert Mr Kuldip Kumar, PricewaterhouseCoopers Pvt. Ltd. and Mr Kulin Patel, Actuary and Analyst, Willis Towers Watson. The eminent speakers brought to light various tax benefits available under NPS especially section 80CCD (1) and 80 CCD (1B).For Corporates, NPS entails no additional costs but offers attractive tax benefits. NPS stands at a very advantageous position in comparison to superannuation funds and there is a need to spread the awareness about benefits under NPS. An award function was also hosted during the conclave during which awards were distributed to the best performing Points of Presence for their performance in the National Pension System during 2015-16. HDFC Securities Limited received the award for being the best POP under All citizen model, Corporate model and Private sector. State Bank Of India won the award under the category of highest POP branches activation. ICICI Securities Ltd won under the category of best POP-branch with highest subscriber registration. Currently, NPS has more than 1.20 crore subscribers with total Asset Under Management (AUM) of more than Rs.1.20 Lakh crore.
Source:PIBNEWS
Wednesday, 27 April 2016
PFRDA
07:41
Providing option of more Life Cycle Funds to the NPS subscribers
Providing option of more Life Cycle Funds to the NPS subscribers
Read More :http://www.pfrda.org.in/WriteReadData/Links/xyzpfrda1234bf87f92-ecf3-453f-a8dd-21552f652657.pdf
Tuesday, 22 March 2016
Pensioners
18:48
Atal Pension Yojana (APY) amended to give an option to the spouse to continue to contribute for balance period on premature death of the subscriber; After the death of both the subscriber and the spouse, the nominee of the subscriber shall be entitled to receive the pension wealth, as accumulated till age of 60 years of the subscriber.
Atal Pension Yojana (APY) amended to give an option to the spouse to continue to contribute for balance period on premature death of the subscriber; After the death of both the subscriber and the spouse, the nominee of the subscriber shall be entitled to receive the pension wealth, as accumulated till age of 60 years of the subscriber.
The feedback received from various quarters has indicated that the present provision under Atal Pension Yojana (APY) of handing-over lump sum amount to spouse on premature death of the subscriber is not preferred by many subscribers. It has also highlighted the fact that there is growing demand to give an option to the spouse to continue contribution after the death of subscriber to enable him / her to draw pension when the deceased subscriber would have turned 60 years of age. Therefore, after considering the feedback, the Government has decided to give an option to the spouse of the subscriber to continue contributing to APY account of the subscriber, for the remaining vesting period, till the original subscriber would have attained the age of 60 years instead of present provision of handing-over lump-sum amount to spouse on the premature death (death before 60 years of age) of the subscriber. The spouse of the subscriber shall be entitled to receive the same pension amount as that of the subscriber until the death of the spouse. After the death of both the subscriber and the spouse, the nominee of the subscriber shall be entitled to receive the pension wealth, as accumulated till age of 60 years of the subscriber.
Earlier to address the longevity risks among the workers in unorganised sector and to encourage the workers in unorganised sector to voluntarily save for their retirement, the Government had launched a new initiative called Atal Pension Yojana (APY) with effect from 1st June, 2015. Under APY, each subscriber, on completion of 60 years of age, will get the guaranteed minimum monthly pension, or higher monthly pension, if the investment returns are higher than the assumed returns for minimum guaranteed pension, over the period of contribution. After the subscriber’s death, the spouse of the subscriber shall be entitled to receive the same pension amount as that of the subscriber until the death of the spouse. After the death of both the subscriber and the spouse, the nominee of the subscriber shall be entitled to receive the pension wealth, as accumulated till age of 60 years of the subscriber. In exceptional circumstances, that is, in the event of the death of beneficiary or specified illness, as mentioned in the PFRDA (Exit and withdrawals under the National Pension System) Regulations, 2015, before the age of 60 years, the accumulated pension wealth till date would be given to the nominee or the subscriber as the case may be.
Source:PIBNEWS
Wednesday, 3 February 2016
seventh pay commission
23:16
Indian Railways union members oppose NPS; wants FinMin intervention in 7th Pay Commission case
Indian Railways union members oppose NPS; wants FinMin intervention in 7th Pay Commission case
Members of a Indian Railways union has opposed the new pension scheme and demanded that the employees should be kept out of the ambit of the scheme.
Members of a Indian Railways union has opposed the new pension scheme and demanded that the employees should be kept out of the ambit of the scheme.
All-India Railwaymen’s Federation (AIRF) General Secretary Shiv Gopal Mishra said that the union has urged Railway Minister Suresh Prabhu to raise the matter with Finance Minister Arun Jaitley to ensure the government keeps railway employees out of the ambit of new pension scheme.
Apprising Prabhu about railwaymen’s work in most precarious and arduous conditions, Mishra said, “Many employees lay down their lives while working on duty to keep the nation on move and trains on the run, therefore, like Armed Forces, concept of New Pension Scheme may also be abolished from Railways.”
He said the National Pension System introduced from January 2004 has totally eroded the social security, and the staff appointed on or after this crucial date is always worried about their future.
AIRF also raised the issues of 7th Pay Commission recommendations with Prabhu and sought redressal.
Describing the recommendations as “retrograde”, Mishra said the report is not in the interest of railway men.
He urged upon the Railway Minister to raise the matter with Ministry of Finance before accepting the report of 7th Pay Commission
Source:Potools
Saturday, 30 January 2016
Pension
19:00
National Pension System (NPS) Service Week will be observed from 1st February to 6th February, 2016
National Pension System (NPS) Service Week will be observed from 1st February to 6th February, 2016
Press Information Bureau
Government of India
Ministry of Finance
29-January-2016 11:35 IST
To mark the completion of two years of statutory status of PFRDA, National Pension System (NPS) Service Week will be observed from 1st February to 6th February, 2016 dedicated to service-orientation towards the subscribers and building awareness and improved information dissemination.
PFRDA would be completing 2 years of its statutory status on February 1, 2016 as the ACT conferring the statutory status to PFRDA was notified on 1st Feb 2014. To mark this occasion, PFRDA in collaboration with all its intermediaries in the National Pension System (NPS), namely the Central and the State Governments nodal offices, POPs, Aggregators, Central Recordkeeping Agency, NPS Trust etc. is observing NPS Service Week from February 1- 6, 2016. This week-long campaign is being dedicated to service-orientation towards the subscribers and aimed at awareness building and improved information dissemination.
On this occasion, besides sharing of information on the range of functionalities and services now available under the NPS, the subscriber community shall be apprised about the need for constant updation of data/information to enable the system to operate at its optimum service level, so that the intended benefits now available under the new functionalities, can reach all the employees/subscribers under NPS. Besides, the subscribers will also be able to make best use of this opportunity and facilities available therein.
Following are some of the activities which may be undertaken by the nodal officers in the proposed NPS Service Week:
• Creating awareness about the NPS – Salient features of the scheme, the process of joining it, special efforts to reduce subscribers’ grievances, etc.
• Printing and distribution of the subscriber brochure for Govt. Subscribers.
• Updation of subscriber details through S2 Form.
• Conversion of non IRA to IRA compliant status.
• Advising subscribers regarding benefits associated with PRAN being IRA compliant and updation of contact details.
• Printing of Transaction Statement for the subscribers and distributing the same on the specific request of the subscriber.
• Suitably rewarding/ acknowledging the best performing office/ branch/ person on completion of the NPS Service Week.
PFRDA has also advised the CRA (NSDL) in this matter for actively assisting the Nodal Offices, POPs and aggregators in this campaign and for providing necessary guidance and further information to the employee-subscribers. This exercise is likely to help around 95 lakhs subscribers and would be available through more than 2 lakhs of points of interface comprising of Government offices , banks, non- bank Points of Presence and aggregators.
On its part, the Pension Fund Regulatory and Development Authority is organizing the 2nd Pension Conclave in Delhi on 4th February 2016 with the theme, “Towards Universal Pension: Coverage, Adequacy and Sustainability”. All the stake holders – POPs, CRA, TB, PFs, Custodian, Nodal Officers etc are expected to participate and share their experiences. PFRDA proposes to use this occasion to acknowledge/ award the best performing banks and Post Offices in mobilization and registration of subscribers under the Atal Pension Yojana up to 31st December 2015 and institute awards for best performing POPs under the Voluntary segment of the National Pension System.
Monday, 11 January 2016
PFRDA
10:47
eNPS-Online Subscriber Registration and Contribution Facility under NPS developed
eNPS-Online Subscriber Registration and Contribution Facility under NPS developed
In light of the Prime Minister’s “Digital India” campaign on promoting e-governance for providing last mile connectivity through extensive use of ICT (Information and Communications Technology) platforms, Pension Fund Regulatory Development Authority (PFRDA) has been pursuing the development and operationalization of online transaction facilities for the prospective as well as existing subscribers of NPS. Towards this end, an online platform for registration of subscribers and receipt of contribution under National Pension System (eNPS) through NPS Trust at www.npstrust.org.in has been developed. Through this platform, a prospective subscriber can register for NPS; contribute to his/her Permanent Retirement Account. Further, the subscribers who already have an NPS account can make contributions through eNPS directly.
A prospective subscriber can visit NPS Trust website www.npstrust.org.in and select NPS Online menu to register and contribute to NPS.
While registering, a Subscriber will provide his/her name & Permanent Account Number (PAN) details which will be validated online with the Income Tax Department. Subscriber will then select the Bank (through which KYC verification to be done), fill up the personal details and upload photograph & signature. After filling up of details, the Subscriber will make contribution through net banking from the account of the selected Bank. Once payment is made, PRAN will be provided online to the Subscriber. The details submitted by the subscriber will be sent through CRA system to the selected Bank for KYC verification. After verification of KYC by the Bank, the PRAN will become active and operational. Subscriber will be required to print the form, paste photograph, affix signature and submit the physical form to CRA within a specified period while continuing contributing online.
Subscriber can make subsequent contribution online through net banking /debit card/credit card at any time and the same will be credited in the subscriber’s PRAN account on T+2 basis.
The complete information about eNPS is available in PFRDA website www.pfrda.org.in and also on NPS Trust websitewww.npstrust.org.in.
Presently, ten banks viz. Allahabad Bank, Bank of India, Bank of Maharashtra, Oriental Bank of Commerce, South Indian Bank, State Bank of Travancore, State Bank of Hyderabad, State Bank of Patiala, Tamilnadu Mercantile Bank and United Bank of India have provided the facility of online KYC verification. PFRDA has advised all other Bank POPs to join the eNPS platform and provide online verification of KYC for the customers of their Banks willing to open NPS account online.
Through this facility, it is expected that the subscriber will have multiple advantages like seamless on boarding experience where he need not visit a Point of Presence and can register from anywhere through an internet connection, contribution with minimum cost of transaction and reduction in errors resulting from various manual activities.
Currently, NPS has more than 1.13 Crore subscribers with total Asset under Management (AUM) of more than Rs. 1.08 lakh crore.
Source:PIBNEWS
Thursday, 5 November 2015
PFRDA
08:28
Clarification of Deferred withdrawal of lump sum – New Pension Scheme
Clarification of Deferred withdrawal of lump sum – New Pension Scheme
PENSION FUND REGULATORYAND DEVELOPMENT AUTHORITY
1st Floor, ICADR Building, Plot No. 6
Vasant Kunj Institutional Area,
Phase – II, New Delhi – 110070
CIRCULAR
PFRDA/2015/24/EXITS/1
October 29, 2015
To,
NPS Trust, All POP’s, Aggregators, CRA,Central, State Governments and All Subscribers
Dear Sir/Madam,
Sub: Clarification of Deferred withdrawal of lump sum
PFRDA (Exits and Withdrawals from Nation Pension System) Regulations 2015 provides option to subscriber to defer withdrawal of lump sum (60%) up to the age of 70 years.
Under the Deferred withdrawal facility, the subscribers at the time Of exit from National Pension System (NPS) can exercise an option to defer the withdrawal of eligible lump sum withdrawal and stay invested in the NPS. Subscriber has an option to withdraw the deferred lump sum amount in maximum ten annualinstallments up to the age of 70 years or withdraw the entire amount at once by giving 15 days advancenotice during such a period of deferment.
If no such notice is given, the accumulated pension wealth would be automatically monetized and credited to his bank account upon attaining the age of 70 years.
This is for the information of all concerned. The circular also is being placed on PFRDA website at http://www.pfrda.org.in, NPS Trust website www.npstrust.org.in and CRA website at http://www.npscra.nsdl.co.in.
Yours faithfully,
Subroto Das
Chief General Manager
Thursday, 29 October 2015
Pensioners
07:20
NPS Trust will start recovering fee/charge @ 0.01% of the AUM on daily accrual basis
NPS Trust will start recovering fee/charge @ 0.01% of the AUM on daily accrual basis
Thursday, 24 September 2015
Pensioners
08:00
New Pension System – Minimum Guaranteed benefit and Gratuity for NPS
New Pension System – Minimum Guaranteed benefit and Gratuity for NPS
BHARATIYA PRATIRAKSHA MAZDOOR SANGH
(An All India Federation of Defence Workers)
(An Industrial Unit of B.M.S.)
(Recognized by Govt of India, Min of Defence)
Central Office: 2A, NaVin Market, Kanpur – 208001
REF: BPMS/ RESOLUTION/ 10(7/1/M)
Dated: 21.09.2015
To,
The Secretary,
Govt. of India, Min of Defence,
South Block, DHQ PO,
New Delhi – 110011
Subject: Resolutions adopted in the Central Executive Committee meeting of BPMS.
Respected Sir,
With due regards, it is submitted for your kind information that the Central Executive Committee meeting of this federation has held on 08th & 09th Sep. 2015 at Dr APJ Abdul Kalam Complex, DRDO Township, Kanchanbagh, Hyderabad and 03 Resolutions have been unanimously adopted by the CEO of the federation & the same are enclosed herewith for your kind consideration and further necessary action please.
This federation is in full hope to get favourable consideration in this regard.
Thanking you in anticipation.
Sincerely yours
(M P SINGH)
General Secretary
RESOLUTION No. 1: Payment of Gratuity to NPS Beneficiaries
In spite of our strong opposition, the Government has made the New Pension Scheme applicable to all recruits after 01-01-2004. While continuing our opposition to the scheme, BPMS have given several inputs from time to time to ensure that maximum benefit be given to the employees.
As a part of this, the entire bye-laws and other issues pertaining to the formulation of the New Defined Contribution Pension System (popularly known as the NPS) was studies and it was found that as per clarification issued by the Ministry of Finance (Department of Economic Affairs) the NPS is a replacement for only Pension, and thus, other benefits provided to employees like Gratuity remains constant i.e. the employees enrolled under NPS are also eligible for Gratuity as per provision of extant law.
After vigorously pursuing the issue, the Department of Pension & Pensioners Welfare had issued O.M. No. 38/41/06/P&PW (A) DT. 05-05-2009, with the approval of Cabinet to provide for Invalid Pension, Family Pension, Disability Pension, Extra-Ordinary Family Pension, Retirement Gratuity and Death Gratuity in respect of NPS subscribers on provisional basis.
Consequent thereof, BPMS has been consistently demanding that this “Provisional” basis be converted into a PERMANENT BASIS feature of the NPS. The Government has, now vide DC. No. 1(4)/E-2006 DT. 17-08-2015 of JS (Pers) of the Ministry of Finance (Department of Expenditure) circulated a note proposing that the budget for the payment of gratuity be projected from the office of the Controller General of Accounts.
Subsequently, the issue has been earmarked to various Ministries, who in turn have further asked comments from various channels.
The federation having taken stock of the present situation feels that asking comments etc. is not required on a Policy decision and demands that the feature of payment of Gratuity to all NPS subscribers upon Retirement or Death, be made a Permanent feature, without further loss of time.
This resolution is therefore, unanimously adopted at the Central Executive Committee Meeting of the Federation on September 08th, 2015.
RESOLUTION No. 2: Minimum Guaranteed Benefits under NPS
In spite of our strong opposition, the Government has made the New Pension Scheme applicable to all recruits after 01-01-2004. While continuing our opposition to the scheme, BPMS have given several inputs from time to time to ensure that maximum benefit be given to the employees.
Even after a lapse of more than 10 years since the arbitrary implementation of the scheme, the Government has failed to formulate a policy ensuring “Guaranteed Minimum Pension” to the subscribers of the NPS.
Having examine the issue in detailed, BPMS now demands that without any further waste of time, the Government should frame a policy to ensure that irrespective of the financial/market conditions at the time of Retirement and/or Death of the NPS subscriber, he should get a minimum guaranteed pension equivalent to FIFTY PERCENT of his last drawn Basic Pay plus dearness relief for neutralization of price rise.
This Central Executive Committee Meeting of the Federation held at Hyderabad, on September 08th, 2015, hereby RESOLVES, to call upon the Government to frame a policy to ensure that the NPS subscribers receive a minimum guaranteed pension equivalent to FIFTY PERCENT of his last drawn Basic Pay plus dearness relief thereupon at par with Central Government Employees/Pensioners.
RESOLUTION No. 3: One time relaxation & removal of ceiling for Compassionate Appointment
The Government has imposed an arbitrary limit of 5% only for filling up of vacancies on compassionate grounds, subject to several conditions. As a result of this decision, many families are living in distress and the very concept of helping the families of those employees who die in harness, stands defeated due to imposition of this ceiling.
The Federation has been taking up the issue at all levels to relax the ceiling to enable the deserving candidate get employment and thereby provide help to the families of the deceased. Having examine the issue in detailed, BPMS now demands that without any further waste of time, the Government should frame a policy to ensure that as a onetime measure, all existing cases of compassionate appoints are provided suitable employment assistance immediately.
This Central Executive Committee Meeting of the Federation held at Hyderabad, on September 08th , 2015, hereby RESOLVES, to call upon the Government to frame a policy to ensure that one time measure, all existing cases of compassionate appoints are provided suitable employment assistance immediately and to further scrap the artificial ceiling of 5% with immediate effect.
(M P SINGH)
Source :govemployees
