InvestorQ : Is there any minimum annual contribution that an individual needs to make in his/her National Pension Scheme account?
priya Shah made post

Is there any minimum annual contribution that an individual needs to make in his/her National Pension Scheme account?

Answer
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1 year ago


Yes. Every subscriber must contribute at least Rs 60,000 in his/her Tier-I account in every financial year. If this contribution is not made, the account will be frozen.

Then, in order to unfreeze or reactivate the account, one will have to pay the total of minimum contributions for the period the account has remained frozen, the minimum contribution for the year in which the account is reactivated and a penalty of Rs 100.

To reactivate NPS account = Minimum contributions for duration the account has been frozen + minimum contribution for year in which account is reactivated + Rs 100 (penalty).

In order to unfreeze an account the subscriber has to approach the Point of Presence (POP) and pay the required amounts.