NPS Scheme: Now most of the people belonging to government and private sector want to invest in pension scheme, so that there is no problem of money after retirement. In such a situation, one of the best options for them is the NPS scheme. Talking about the NPS scheme, Supreme Bandyopadhyay on PFRDA says, “This scheme provides many facilities to the investors. Investors who are risk-averse can invest up to 75% of their money in equities. NPS gives better returns as well as saves tax up to Rs 2 lakh. Any Indian whose age is between 18 years to 70 years can invest in it.
Let’s know 5 benefits of NPS
Investment exemption as per your convenience: The biggest feature of this scheme is that there is no upper or lower limit in this. That is, there is no pressure on the investor regarding installments.
Both husband and wife can invest:
Husband and wife can invest separately in this. If both the people are running their family business then they can secure their old age by investing in it. Also, on investing in this scheme, both the people can claim for different taxes.
Benefits to both the employee and the company:
This can be a great way to show confidence in the employees. The company can invest in this scheme for its employees. With this, while on one hand the employees will be happy, on the other hand the company can claim this investment under business expenses under section 36 (1) (IVa) of Income Tax rules.
A self-employed person can claim tax exemption of 20 percent of his annual investment. At the same time, such employees who are salaried can also get tax exemption on investment by their employer.
Entrepreneurs can also invest:
There is also an advantage of investing in this scheme that if you company is closed due to some reason then you can keep investing in it personally. Because it is considered an individual investment.