Today's Cancelled Trains
Railway Board
20:11
Partial Withdrawals From National Pension System(NPS)for Different Purpose and Procedural Guidelines
Partial Withdrawals From National Pension System(NPS)for Different Purpose and Procedural Guidelines
Showing posts with label national pension System. Show all posts
Showing posts with label national pension System. Show all posts
Wednesday, 20 May 2020
Saturday, 22 December 2018
Withdrawal from Service
08:53
NPS Withdrawal Norms
NPS Withdrawal Norms
The Pension Fund Regulatory and Development Authority (PFRDA) has changed the norms for withdrawal of National Pension System (NPS) subscribers. Keeping in view the possibility of sudden financial needs of the subscribers, the requirement of minimum period under National Pension System (NPS) for availing the facility of partial withdrawal from the mandatory Tier-I account of the subscriber has been reduced from 10 years to 3 years from the date of joining w.e.f. 10th August, 2017. The minimum gap of 5 years between two partial withdrawals has also been removed w.e.f. 10th August, 2017. A subscriber is eligible for three partial withdrawals during the period of subscription under NPS, each withdrawal not exceeding twenty-five percent of the contributions made by the subscriber and excluding contributions made by the employer. There is, however, no restriction on withdrawals from the Tier-II account of the subscriber.
The extent and purpose for which partial withdrawals from the Tier-I account under NPS are permissible are as under:
Purpose
for higher education and marriage of his or her children including a legally adopted child;
for the purchase or construction of a residential house or flat in his or her own name or in a joint name with his or her legally wedded spouse. In case, the subscriber already owns either individually or in the joint name a residential house or flat, other than ancestral property, no withdrawal under these regulations shall be permitted;
for treatment of specified illnesses: if the subscriber, his legally wedded spouse, children, including a legally adopted child or dependent parents suffer from any specified illness, which shall comprise of hospitalization and treatment in respect of the following diseases:
(a)Cancer;
b)Kidney Failure (End Stage Renal Failure);
(c)Primary Pulmonary Arterial Hypertension;
(d)Multiple Sclerosis;
(e)Major Organ Transplant
(f)Coronary Artery Bypass Graft;
(g)Aorta Graft Surgery;
(h)Heart Valve Surgery;
(i)Stroke;
(j)Myocardial Infarction;
(k)Coma;
(l)Total blindness;
(m)Paralysis;
(n)Accident of serious/ life threatening nature
(o)Any other critical illness of a life threatening nature as stipulated in the circulars, guidelines or notifications issued by the Authority from time to time.
Towards meeting the expenses by subscriber for skill development/re-skilling or for any other self-development activities.
Towards meeting the expenses by subscriber for establishment of own venture or any start-ups.
To meet medical & incidental expenses arranging out of disability or incapacitation suffered.
Limits
The subscriber should have been in the National Pension System at least for a period of three years from the date of his or her joining;
The subscriber shall be permitted to withdraw accumulations not exceeding twenty-five per cent of the contributions made by him or her and standing to his or her credit in his or her individual pension account, as on the date of application for withdrawal;
Frequency
The subscriber shall be allowed to make partial withdrawals for a maximum of three times during the entire tenure of subscription under the NPS. There is, however, no minimum time gap now stipulated between two partial withdrawals.
This was stated by Shri Ship Pratap Shukla, Minister of State for Finance in a written reply to a question in Lok Sabha .
Source:PIBNEWS
Friday, 8 September 2017
Pension
07:29
LONG PENDING ISSUES OF THE CENTRAL GOVERNMENT EMPLOYEES: NC (JCM) WRITES TO THE CABINET SECRETARY
LONG PENDING ISSUES OF THE CENTRAL GOVERNMENT EMPLOYEES: NC (JCM) WRITES TO THE CABINET SECRETARY
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
Sunday, 28 August 2016
retirement
06:20
Extension of benefits of Retirement Gratuity and Death Gratuity for Government Servants covered under NPS (National Pension System) – DoPPW Order
Extension of benefits of Retirement Gratuity and Death Gratuity for Government Servants covered under NPS (National Pension System) – DoPPW Order
No.7/5/2012-P&PW(F)/B
Ministry of Personnel, Public Grievances and Pensions
Department of Pension and Pensioners Welfare
Lok Nayak Bhavan, Khan Market,
New De1hi-110 003,
Dated the 26 August, 2016.
OFFICE MEMORANDUM
Subject : Extension of benefits of ‘Retirement Gratuity and Death Gratuity’ to the Central Government employees covered by new Defined Contribution Pension System (National Pension System) — regarding.
The undersigned is directed to say that the pension of the Government servants appointed on or after 1.1.2004 is regulated by the new Defined Contribution Pension System (known as National Pension System), notified by the Ministry of Finance (Department of Economic Affairs) vide their OM No.5/7/2003-ECB & PR dated 22.12.2003. Orders were issued for payment of gratuity on provisional basis in respect of employees covered under National Pension System on their retirement from Government service on invalidation or death in service, vide this Department’s OM No.38/41/2006-P&PW(A) dated 5.5.2009.
2. The issue of grant of gratuity in respect government employees covered by the National Pension System has been under consideration of the Government. It has been decided that the government employees covered by National Pension System shall eligible for benefit of ‘Retirement gratuity and Death gratuity’ on the same terms and conditions, as are applicable to employees covered by Central Civil Service (Pension) Rule,1972.
3. These orders issue with the concurrence of Ministry of Finance, Department of Expenditure, vide their I.D. Note No.1(4)/EV/2006-II dated 29.07.2016.
4. In their application to the persons belonging to the Indian Audit and Accounts Department, these orders issue after consultation with Comptroller and Auditor General of India.
5. These orders will be applicable to those Central Civil Government employees who joined Government service on or after 1.1.2004 and are covered by National Pension System and will take effect from the same date i.e. 1.1_2004.
Source:Gservants
Sunday, 26 June 2016
Thursday, 2 June 2016
Pensioners
08:34
Special Aadhaar Enrolment drive for Pensioners, from May 30 to June 10, 2016
Special Aadhaar Enrolment drive for Pensioners, from May 30 to June 10, 2016
Press Information Bureau
Government of India
Ministry of Communications & Information Technology
01-June-2016 16:27 IST
Special Aadhaar Enrolment drive for Pensioners, from May 30 to June 10, 2016
Pensioners will also get opportunity to seed data for digital life certificate
The Unique Identification Authority of India (UIDAI) has launched a special enrolment drive for pensioners who are yet to enroll for Aadhaar. The drive is being conducted to enable Pensioners avail the convenience of Jeevan Pramaan, an initiative of Department of Pensions and Pensioners’ Welfare, Government of India.
Every year, pensioners need to provide a life certificate to an authorized pension disbursing agency such as a Bank, Post office etc., for receipt of pension. To get a life certificate the pensioner is required to either personally present oneself before the Pension Disbursing Agency or have the Life Certificate issued by the department/authority where they served earlier and have it delivered to the disbursing agency. This entails considerable hardship to the senior Citizens.
Jeevan Pramaan, a digital life certificate which utilises the Aadhaar identity platform, addresses this very problem by digitizing the whole process of securing a life certificate. A pensioner just needs to biometrically authenticate at the nearest centre. After successful authentication, the digital life certificate is stored in a Life Certificate Repository, which can be accessed by the Pension Disbursing Authority.
To facilitate pensioners to avail the facility of Jeevan Pramaan, which is based on Aadhaar Identity platform, UIDAI and Department of Pensions and Pensioners’ Welfare have taken initiative to carry out special enrolment drive for Pensioners through banks which are Registrars for enrolment for Aadhaar as well as Pension Disbursing Authorities.
The banks which include names like State Bank of India, Punjab National Bank, Bank of Baroda, Allahabad Bank, Canara Bank, have also been asked to conduct special Aadhaar seeding camps where Pensioners will be requested to provide their Aadhaar details to their respective banks from which they draw pension so that they can get a digital life certificate – Jeevan Pramaan.
The enrolment drive and the Aadhaar seeding camp is being run from May 30 to June 10, 2016.
“We hold special enrolment drives to help people who are yet to enrol for Aadhaar. This particular exercise has been initiated to make sure pensioners get an Aadhaar number if they still don’t have one and seed the Aadhaar details of pensioners so that they can get a Jeevan Pramaan,” said Director General & Mission Director of UIDAI, Dr. Ajay Bhushan Pandey.
So far over 15.41 Lakh pensioners have already registered for the Aadhaar-enabled Jeevan Pramaan service.
Source:Sapost
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
