JAMMU, June 11: Jammu and Kashmir Government issued Circular over Child focussed scheme NPS Vatsalya under National Pension Systmen.
The Circular copy with Cross Town News reads " NPS Vatsalya is a child-focused pension savings scheme launched by the Government of India under the National Pension System (NPS), It is regulated by the Pension Fund Regulatory and Development Authority (PFRDA) and is designed for minors below 18 years of age. Parents or legal guardians open and manage the account on behalf of the child until the child turns 18.
The salient features of NPS Vatsalya include that the account is opened in the name of a minor child and operated by the parent or legal guardian, with a flexible contribution structure subject to the prescribed minimum annual contribution. The scheme offers investment options across equity, corporate bonds, and government securities, allowing CTN long term wealth creation based on the investor's preferences.
It is fully portable across India, regardless of changes in residence or employment, and upon attaining the age of 18 years, the NPS Vatsalya account is convertible into a reqular NPS account. The revised operational guidelines issued on 07.01.2026 have introduced several facilitative measures including reduction of minimum annual contribution from 1,000 to 250, enhancement of partial withdrawals from three to four occasions, simplified onboarding process, revised investment options, online gift contribution facility, and flexible exit/continuation provisions after attainment of 18 years of age.
While the scheme offers market-linked returns, employees are advised to exercise informed choice of investment options based on risk appetite and long-term objectives. The NPS Vatsalya Scheme is a forward-looking initiative aligned with the principles of financial inclusion and inter-generational financial security. Accordingly, employees are encouraged to go through the scheme guidelines and participate proactively for the benefit of their children."
|