Did you know, your 80C tax deduction limit can actually be enhanced from Rs. 1.5 to 2 lakh if you invest the additional Rs. 50,000 in the National Pension Scheme (NPS)?
The NPS was launched on 1st of Jaunary 2004 with an objective to provide pension solutions and inculcate the habit of saving for retirement among citizens. Initially, it was available only to Government employees, however, from the 1st of May 2009, the NPS was opened up to all citizens including NRIs. Regulated by the pension fund regulator PFRDA, the NPS corpus is managed by established fund houses in the country.
The NPS provides a dual benefit of retirement planning along with tax saving while giving investors the option to choose from 3 funds depending on one’s risk profile. Since its launch, the Government has made several changes in an attempt to make this product more attractive to investors.
Watch this video to find out all you need to know about investing in the National Pension Scheme.