Sitharaman to launch ‘NPS Vatsalya’ scheme TODAY; Know its key features, other important details

New Delhi: Finance Minister Nirmala Sitharaman is determined to launch the New Pension Scheme (NPS) ‘Vatsalya’ on Wednesday, as per an official statement from the Ministry of Finance. The scheme, announced contained in the Union Budget 2024, permits parents to make contributions to the National Pension Scheme (NPS) on behalf of their children to help secure their future and build a retirement fund.

The launch will take place in New Delhi, with NPS Vatsalya events also being organized at nearly Seventy 5 locations across India. As a element of the event, the Finance Minister will introduce an online based platform for subscribing to NPS ‘Vatsalya’, free up a scheme brochure, and distribute PRAN cards to new minor subscribers. The initiative aims to encourage early financial planning for kids’s future security.

What's the NPS Vatsalya scheme?

The National Pension System (NPS) Vatsalya scheme will allow parents and guardians of minors to make future investments in a pension account so that you possibly can save their children’s future and make sure long-term benefits. This would possibly assist them to develop a retirement fund.

Key Features of NPS Vatsalya scheme

1. The National Pension Scheme (NPS) Vatsalya scheme is obtainable to all citizens of India including the NRIs, enabling them to make future investments for their minor children.
2. The oldsters can convert their account into an ordinary NPS account after the minor turns 18 as it'll assist in accumulating their retirement fund.
3. NPS ‘Vatsalya’ offers flexible contributions and investment options, allowing parents to make an investment of Rs 1,000 every year contained in the name of the baby, thus making it on hand to families from all economic backgrounds.
4. The NPS Vatsalya Scheme enables  parents to save plenty of cash for their child’s retirement from their infancy.
5. This scheme will likely be managed under the supervision of Pension Fund Regulatory and Development Authority (PFRDA).

National Pension Scheme (NPS) Vatsalya Launch Event

According to the Ministry of Finance, the NPS Vatsalya launch event will take place in New Delhi. Alternatively, this event will likely be organized simultaneously at nearly Seventy 5 locations all through the United States of the United States. Other locations will subscribe to the event through video conferencing. School children will even be a element of the launch programme. The Union Finance Minister, Nirmala Sitharaman will head the launch event. The Union Finance Minister will also launch online platform for subscribing to NPS Vatsalya, free up scheme brochure and distribute Permanent Retirement Account Number (PRAN) cards to the logo new minor subscribers in that location.