Key amendments in PFRDA (Exits and Withdrawals under the NPS) Regulations, 2015

Sl.

Earlier stipulation

Revised stipulation

I. Non-Government Sector (All Citizen Model and Corporate Sector)

Uniform Changes applicable to Common Schemes (CS) & Multiple Scheme Framework (MSF)

Lock-in period

1

All Citizen Model:

Minimum lock-in period to be eligible for premature exit → 5 years

All Citizen Model (CS & MSF):

Minimum lock-in period removed

Normal Exit

2

All Citizen Model:

Vesting period → Till 60 years of age to be eligible for normal exit

All Citizen Model (CS & MSF):

Vesting period → 15 years or till 60 years of age (whichever is earlier).

3

Corporate Sector:

Vesting period → Till age of retirement / superannuation

Corporate Sector (CS and MSF):

Vesting period → Till age of retirement / superannuation

(Remains same)

4

All Citizen Model & Corporate Sector:

Up to 60% lumpsum;

At least 40% annuity

All Citizen Model & Corporate Sector (CS & MSF):

Up to 80% lumpsum;

At least 20% annuity

5

All Citizen Model & Corporate Sector:

For corpus ≤ Rs. 5 lakh → 100% lumpsum

All Citizen Model & Corporate Sector (CS & MSF):

a) Corpus ≤ Rs. 8 lakh:

100% lumpsum or SLW or SUR

(or)

Up to 80% lumpsum & At least 20% annuity

b) Corpus > Rs. 8 lakh ≤ Rs. 12 lakh:

Up to ₹6 lakh as lumpsum and balance as SUR for min. 6 years or annuity.

(or)

Up to 80% lumpsum & At least 20% annuity

c) Corpus > Rs. 12 lakh:

Up to 80% lumpsum & At least 20% annuity

Premature Exit

6

All Citizen Model & Corporate Sector:

Up to 20% lumpsum;

At least 80% annuity

All Citizen Model & Corporate Sector (CS & MSF):

Up to 20% lumpsum;

At least 80% annuity (Remains same)

7

All Citizen Model & Corporate Sector:

For corpus ≤ Rs. 2.5 lakh → 100% lumpsum

All Citizen Model & Corporate Sector (CS & MSF):

a) Corpus ≤ Rs. 5 lakh:

100% lumpsum or SLW or SUR

(or)

Up to 20% lumpsum & At least 80% annuity

b) Corpus > Rs. 5 lakh:

Up to 20% lumpsum & At least 80% annuity

Exit due to Death

8

All Citizen Model & Corporate Sector:

100% lumpsum; Option for annuity, if desired.

All Citizen Model & Corporate Sector (CS & MSF):

100% lumpsum; Option for annuity, if desired.

(Remains same)

Additionally, option for availing SLW or SUR.

II. Individuals joining NPS after age of 60 years (All Citizen Model)

Normal Exit

9

Vesting period → 3 years to be eligible for normal exit

Vesting period removed

10

Up to 60% lumpsum;

At least 40% annuity

Up to 80% lumpsum;

At least 20% annuity

11

For corpus ≤ Rs. 5 lakh → 100% lumpsum

a) Corpus ≤ Rs. 12 lakh:

100% lumpsum or SLW or SUR.

(or)

Up to 80% lumpsum & At least 20% annuity

b) Corpus > Rs. 12 lakh:

Up to 80% lumpsum & At least 20% annuity

Premature Exit

12

Up to 20% lumpsum;

At least 80% annuity

Not applicable as the vesting period has been removed

Exit due to Death

13

100% lump sum permitted; Option for annuity, if desired.

100% lump sum permitted; Option for annuity, if desired. (Remains same)

Additionally, option for availing SLW or SUR.

III. Government Sector

Normal Exit

14

Up to 60% lumpsum;

At least 40% annuity

Up to 60% lumpsum;

At least 40% annuity; (Remains same)

15

For corpus ≤ Rs. 5 lakh → 100% lumpsum

a) Corpus ≤ Rs. 8 lakh:

100% lumpsum or SLW or SUR

(or)

Up to 60% lumpsum & At least 40% annuity

b) Corpus > Rs. 8 lakh ≤ Rs. 12 lakh:

Up to Rs. 6 lakh as lumpsum and balance as SUR for min. 6 years or annuity.

(or)

Up to 60% lumpsum & At least 40% annuity

c) Corpus > Rs. 12 lakh:

Up to 60% lumpsum & At least 40% annuity

Premature Exit

16

Up to 20% lumpsum;

At least 80% annuity

Up to 20% lumpsum;

At least 80% annuity; (Remains same)

17

For corpus ≤ Rs. 2.5 lakh → 100% lumpsum

a) Corpus ≤ Rs. 5 lakh:

100% lumpsum or SLW or SUR

(or)

Up to 20% lumpsum & At least 80% annuity

b) Corpus > Rs. 5 lakh:

Up to 20% lumpsum & At least 80% annuity

Exit due to Death

18

Up to 20% lumpsum;

At least 80% annuity

Up to 20% lumpsum;

At least 80% annuity; (Remains same)

19

For corpus ≤ Rs. 5 lakh → 100% lumpsum

a) Corpus ≤ Rs. 8 lakh:

100% lumpsum or SLW or SUR

(or)

Up to 20% lumpsum & At least 80% annuity

b) Corpus > Rs. 8 lakh ≤ Rs. 12 lakh:

Up to Rs. 6 lakh as lumpsum and balance as SUR for min. 6 years or annuity.

(or)

Up to 20% lumpsum & At least 80% annuity

c) Corpus > Rs. 12 lakh:

Up to 20% lumpsum & At least 80% annuity