NPS Vatsalya Scheme | 20 Sep 2024

Recently, the Union Finance Minister unveiled the NPS Vatsalya scheme announced in the Union Budget as a new pension plan for minors.

Under the scheme, the Vatsalya account requires a minimum initial contribution of Rs 1,000 to open. Subscribers must make an annual contribution of Rs 1,000 each year to maintain the account.
- Upon reaching adulthood (18 years), the account is automatically converted into a standard National Pension System (NPS) account. Pension will come from the account only after they turn 60.
It is regulated and administered by the Pension Fund Regulatory and Development Authority (PFRDA) and Permanent Retirement Account Number (PRAN) cards will be issued to newly registered minor subscribers.