NPS works on an unbundled architecture where multiple intermediaries (such as POP, CRA, Pension Fund Manager, Custodian, NPS Trust etc) are involved to perform different services. For each intermediary PFRDA has defined the charge structure as shown below. All the below charges are subject to change and are exclusive of GST.
POP charges are either taken upfront from the customer or recovered from the contribution amount deposited by the customer, as shown below:
| POP | Charge Head | All Citizen & Corporate (All Schemes under NPS + NPS Lite) | Govt. |
|---|---|---|---|
| One-time Onboarding Charge | Standard onboarding charge | ₹200 per PRAN (₹50 deducted quarterly via unit cancellation by CRA; payable to POP in the following month) | NA |
| Digital non-face-to-face onboarding | ₹100 per PRAN (reduced charge when onboarding is fully digital and non-face-to-face, as determined by PFRDA) | NA | |
| Annual POP Charges | AUM-based annual charges | 0.20% p.a. of AUM, adjusted through NAV and paid quarterly. Not applicable for Dormant Accounts. | NA |
| Dormant Account Definition | — | Account where, after a contribution in one quarter, no contributions are made for 4 consecutive quarters, PAN-based across all CRAs. | NA |
| Minimum Contribution | At onboarding | ₹250 minimum contribution at the time of onboarding | NA |
| Subsequent contributions | ₹10 minimum per subsequent contribution | NA | |
| e-NPS / D-Remit Rule | — |
Subscribers onboarded through e-NPS who also contribute
via e-NPS/D-Remit:
No POP charges.
Subscribers onboarded through POP who later contribute via e-NPS/D-Remit: POP charges continue to apply. |
NA |
| 4A Schemes (MSF category) | — | Charges will be governed by scheme-specific PFRDA guidelines. | NA |
* GST or other taxes, wherever applicable, will be extra.
* Dormant account identification is done quarterly by CRAs.
Please note that PFRDA has revised the Investment Management Fee (IMF) structure for Pension Funds with effect from 1 April 2026
Under Non-Government Sector, the following shall be the structure for IMF (with effect from 1 April 2026):
| Slabs of AUM (in Rs. Crores) | IMF rates for Non-Government Sector subscribers (NGS) |
| Up to 25,000 | 0.12% |
| Above 25,000 & Up to 50,000 | 0.08% |
| Above 50,000 & Up to 1,50,000 | 0.06% |
| Above 1,50,000 | 0.04% |
The IMF to be charged by the Pension Fund on the slab structure would be on the aggregate AUM of the Pension Fund under all schemes managed by Pension Funds.
These rates of IMF shall be reviewed by the Authority in a period of five (5) years from the date of implementation.
With effect from 1st April, 2021, following IMF shall be charged by the freshly appointed Pension Funds.
| AUM Slab (in Cr) | PFM Charge % for the slab |
| Up to Rs 10,000 | 0.09% |
| Rs 10,001 – Rs 50,000 | 0.06% |
| Rs 50,001 – Rs 1,50,000 | 0.05% |
| Rs 1,50,000 and above | 0.03% |
CRA recovers charges by cancelling units from customer’s NPS account on quarterly mode.
Charge Head | Charges for KFintech CRA | Charges for NSDL CRA |
PRAN Generation | Rs.39.36 | Rs.40.00 |
Annual Maintenance | Rs.57.63 | Rs.69.00 |
Financial Transaction Processing | Rs.3.36 | Rs.3.75 |
Charges for PFM, Custodian and NPS Trust are recovered on daily basis by adjusting NAV.
| Intermediary | Charge Head | Charges (Annual) |
| Custodian | Asset Servicing charges | 0.000000001770% per annum for Electronic segment & Physical segment |
| NPS Trust | Reimbursement of Expenses | 0.003% |
For processing contribution online, the payment gateway service provider levies charges depending on the payment mode opted by the customer. These charges are levied to customers on each successful transaction.
| Mode of Payment | Charges |
| RuPay Debit Card | Nil |
| UPI | Nil |
| Net Banking | Nil |
| Credit Card | 0.75% of the contribution amount + GST |
PGSP fund settlement time is T+1 day where T is the date of contribution made by subscriber
First, specify the monthly amount you envision contributing towards your desired retirement corpus. This step helps evaluate your realistic contribution capacity.
Next, input your current age. This informs the calculator about your investment horizon, crucial for estimating potential growth.
Utilize the slider to set your anticipated rate of return. Remember, this reflects your risk tolerance and investment choices. Higher returns often come with greater volatility.
Click the calculation button, and witness your estimated retirement corpus materialize! The tool factors in your contributions, investment returns, and inflation for a comprehensive view.
Beyond the Numbers:
While NPS calculators offer valuable insights, they cannot encompass individual factors like future income variations or personal circumstances. Consulting a financial advisor for personalized guidance remains crucial.
Embracing Financial Security:
The NPS, a government-backed scheme, offers tax benefits and a guaranteed minimum pension. It’s a prudent choice for individuals seeking long-term financial security and a comfortable retirement transition.
Investing in Your Future, Wisely:
By utilizing NPS calculators and seeking professional advice, you take a proactive step towards a secure and fulfilling retirement. Remember, financial planning is a journey, not a destination.
