NPS partial withdrawal rules 2024: 7 instances when you can apply for partial withdrawal from NPS corpus
National Pension System (NPS) can opt for partial withdrawal from their investments in the scheme.
What is NPS?
National Pension System (NPS) is a pension cum investment scheme launched by Government of India to provide old age security to investors. NPS is a market-linked defined contribution scheme that helps you save for your retirement. The scheme is simple, voluntary, portable and flexible
In accordance with the most current National Pension System laws, members will be able to withdraw up to 25% of the money they individually contribute to their accounts beginning on February 1, 2024, once three years have elapsed after the account was created. The employer's contribution, if any, and any returns earned on the contributions should not be included in the partial withdrawal.
What is partial withdrawal in NPS?
An NPS member can withdraw partial withdrawals from their retirement funds to meet certain requirements without compromising their monthly stipend upon retirement. The maximum amount that subscribers may withdraw is 25% of their individual payments, less returns and any employer contributions, in accordance with Pension Fund Regulatory and Development Authority (PFRDA) laws.
When can NPS member apply for partial withdrawal
To make a partial withdrawal from NPS, the subscriber must:
Have 3+ years of account tenure
Subscribers can withdraw only up to 25% of their own contributions according to NPS partial withdrawal rules
Subscribers can make a maximum of 3 partial withdrawals in their NPS account lifetime
