NPS subscribers can withdraw after three years

 NPS subscribers can withdraw after three years

 Withdraw from NPS After 3 Years | National Pension Scheme

According to the NPS rules, subscribers are allowed to withdraw their funds after three years from the date of joining the system. However, they can only withdraw a maximum of three times during the entire tenure of their subscription under NPS. This means that subscribers need to carefully consider their withdrawal options and plan their finances accordingly to ensure maximum benefit from the scheme.

Partial Withdrawal under NPS

The Pension Fund Regulatory Development Authority (PFRDA) has relaxed the norms for partial withdrawal under the National Pension Scheme (NPS). In accordance with the PFRDA (Exits and Withdrawals under the National Pension System) (First Amendment) Regulations 2017, the subscriber ought to be subscribed to the National Pension System, at least for a period of three years from the date of his or her joining to such system, to be eligible to make partial withdrawals, under specific circumstances as specified in such regulations.

The NPS subscribers can withdraw after three years from the date of joining the system and a maximum of three times during the entire tenure of subscription under NPS, but the partial withdrawal is linked with contributions made by the subscriber. 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.

Earlier the subscriber under NPS was permitted to withdraw accumulations not exceeding twenty-five per cent of the contributions made by him or her after 10 years from the date of his or her joining the system, and a maximum of three times during the entire tenure of subscription under NPS.

This was stated by Shri Shiv Pratap Shukla, Minister of State for Finance in written reply to a question in Rajya Sabha today.

How many times can a subscriber withdraw from their NPS account?

A subscriber can withdraw a maximum of three times during the entire tenure of their NPS subscription.

When can NPS subscribers withdraw their funds?

NPS subscribers can withdraw after three years from the date of joining the system.

What is the maximum amount a subscriber can withdraw from their NPS account?

The subscriber can withdraw accumulations not exceeding twenty-five per cent of the contributions made by them and standing to their credit in their individual pension account, as on the date of application for withdrawal.

What were the previous withdrawal rules for NPS subscribers?

Previously, subscribers were allowed to withdraw accumulations not exceeding twenty-five per cent of the contributions made by them after 10 years from the date of joining the system, and a maximum of three times during their entire NPS subscription.