What is eNPS?

eNPS (electronic National Pension System) is a pension scheme launched by the Government of India in order to provide retirement benefits to citizens of the country. The eNPS is administered by the Pension Fund Regulatory and Development Authority (PFRDA) and is open to all citizens of India, including self-employed individuals, salaried employees, and unorganized sector workers.

Under the eNPS, subscribers contribute a certain amount of money towards their pension account each month, which is then invested in various asset classes, such as equity, debt, and government securities. Upon retirement, the subscriber can withdraw a portion of their accumulated savings as a lump sum and use the rest to purchase an annuity, which provides a regular income during the post-retirement phase.

The eNPS is an alternative to traditional pension schemes and offers subscribers greater flexibility and control over their retirement savings. It is also an attractive option for those who do not have access to employer-sponsored pension plans.