NPS Vatsalya Scheme by FM Sitaraman

Orange Lightning

NPS Vatsalya, launching September 18, 2024, allows parents to invest for minor children with flexible investment options and future benefits, here are some things to know.

1

NPS Vatsalya Scheme Overview

Announced in the Union Budget 2024, will be launched by Finance Minister Nirmala Sitharaman on September 18, 2024.

2

Eligibility for NPS Vatsalya Investment

The NPS Vatsalya account is opened in the minor's name, and the guardian is eligible to manage the account until the child reaches adulthood.

3

Investment Choices in NPS Vatsalya

Parents or guardians can choose from multiple investment options managed by pension funds registered with PFRDA.

4

Contribution Amount

This allows investors the flexibility to contribute based on their financial situation and long-term goals for their child’s financial security.

5

Partial Withdrawal Rule

Subscribers can make partial withdrawals from their NPS Vatsalya account after three years of account opening.

6

Transition of NPS Vatsalya  at 18

Upon turning 18, subscribers have the option to exit the NPS Vatsalya scheme.