NPS Scheme: If you also want to live a better life after retirement, then you can also invest in NPS (National Pension Scheme) from the very beginning of your job. Under the National Pension Scheme, employees retiring from government jobs get a lot of facilities. Under NPS, you can get up to Rs 50,000 pension every month after retirement. For which you have to start saving from the day of the job. Here we will tell you in the following information how you can get a monthly pension of up to Rs 50000 after retirement. Know by reading the information given below –
Let the investor’s age be 21 years, and he invests Rs.4500 per month. So in such a situation, the investment will invest for a total of 39 years from the age of 21 to the age of 60 years. Accordingly, the investor will invest up to Rs 54000 every year. Similarly, up to Rs 21.06 lakh will be invested in NPS in 39 years.
- Monthly investment in NPS – 4500 (Rs 54000 per annum)
- Total investment in 39 years – Rs 21.06 lakh
- Approx Return on Investment – 10%
- Total amount payable on maturity – Rs 2.59 crore
- Annuity Purchase Percentage – 40%
- Estimated Annuity Rate – 6%
- Pension at the age of 60 years – Rs 51848 per month
Candidates should note that we have prepared this calculation on an estimate basis only, actual figures may vary.
Who will be able to invest
- Any Indian citizen can invest in NPS.
- The age of the investor should be minimum 18 years and maximum 65 years.
- Investors will have to go through certain necessary procedures to participate in the scheme.
The responsibility of investing the amount deposited in NPS is given to the Pension Fund Managers registered by PFRDA. They invest your investments in equities, government securities and non-government securities apart from fixed income instruments.
Benefit of Tax Rebate (NPS)
Under the National Pension Scheme, under section 80CCD(1B) of the Income Tax Act, investment up to Rs 50,000 will be exempted from tax. Additional savings can also be assisted by NPS on meeting the limit of Rs 1.5 lakh under section 80C. There is no tax on withdrawals up to 60% on maturity.