Have you thought about pension, how beneficial NPS - NPS LOGINby SHAHID HUSSAIN advance tips
Have you thought about pension, how beneficial NPS
We are talking about this special series on savings, investment, and tax, this time we are talking about NPS ie New Pension Scheme. NPA is a pension product and in 2004 it was started for government employees. But, later it was opened to the general public in 2009. In 2011, for corporate employees, it got investment clearance.
Any person aged 18-60 years can invest in it. NPS is different from traditional pension schemes. Investors of this pension fund are invested in money and bond market. Profit is dependent on market volatility. Long-term investment in NPS is beneficial. Regular investments in NPS have good profits.
There are two types of accounts in NPS, Tier - 1 account, and Tier - 2 accounts. Tier - 1 account for NPS is compulsory, while Tier - 2 account is optional. Tax Benefit is available in the Tier - 1 account. Tier - 2 accounts must have a Tier - 1 account. It is compulsory to invest at least Rs. 500 per month in the Tier - I account. In this way, it is necessary to invest Rs. 6000 per annum in the Tier - 1 account.
The account can be freezed to prevent investing in NPS LOGIN, and if the account is re-opened, then it is required to pay a penalty of Rs 100 per year. Tax benefits are not available in the Tier - 2 account, but it is possible to withdraw money from Tier 2 account at any time. Tier-II acts as a mutual fund and Tier-less charges are less than the mutual funds.
Corporate employees can invest in NPS privately. Companies can also invest in the name of their employees. Companies will get tax exemption on their contributions. Can be invested in NPS along with EPF. The investment age of NPS is 18 to 60 years. NRIs can also invest in NPS.
Investment in NPS is possible with the help of POP or service providers. Banks and select Financial Institutions are service providers. There is a list of service providers on NSDL site. The forms of NPS can be downloaded from the site of NSDL. Documents will be submitted along with KYC form and Permanent Retirement Account Number (PRAN) will be issued. Investment can be started after getting PRAN. E-NPS is also possible and businessmen can also invest in NPS.Reset password NPS account.
In NPS, the investor has 2 options, Active and Auto. Active investors have the right to choose the asset class themselves and the three types of asset classes are given to the active investor. The first asset class is EE class and the money in EE is put into equity. In the EE class, 50 paisa goes into equity. Investment in the active option is according to the fixed plan.
The second asset class is C, and Asset Class C is invested in corporate bonds. There is a third asset class, and the G asset class is invested in the bonds and securities of the central and state government. SBIONLINE statement in nps.The limit of investment in the C and G asset classes is not fixed.
At the same time, in the auto options, fund managers choose asset classes according to the age of the investor. Investors of 30-year-old investor are invested in equity, 30% corporate bonds and 20% of government securities. After 36 years every year, 2% of equity investment decreases. Upon reaching 55 years, equity will remain only 10 percent. In auto option retirement, investment in equity decreases.
Tax Benefit in NPS meets in 2 ways. 10% of Basic Salary and DA tax exemption on NPA investment Discounts up to 1.5 lakhs can be availed under Section 80CCD-1. Under section 80 CCD-1 (B), there is an additional rebate of Rs 50000. Corporates also get Tax Benefit under 80 Ccd on Contribution for their employees. There is a better option for the conscious investors than NPS. Compared to NPS, MIPs and equity funds are more likely to make profits in SIPs.
Created on Feb 9th 2018 01:32. Viewed 99 times.