Nps Vatsalya Pension Scheme for Minor Children (Kids) : Apply Online, Amount, Eligibility, Calculator, Pdf

Nps Vatsalya Pension Scheme for Minor Children (Kids) : Apply Online, Amount, Eligibility, Calculator, Pdf

Key Points of NPS Vatsalya Portal 2024

•  NPS Vaatsalya is intended to establish pension accounts for children under 18 years of age, overseen by a legal guardian. 
• This account remains under the complete control of the parent or guardian until the child attains the age of 18. 
• Minimum contribution must be Rs.1000/- and maximum is up to you.
• Withdrawals not allowed until the child reaches the age of 18.
• Upon reaching the age of 18, the ownership of the account is transferred to the child, who may then manage it or make withdrawals.
• This scheme promotes early financial planning and savings, laying a strong foundation for future financial autonomy.

NPS Vatsalya Pension Scheme for Minor Children Apply Online

The NPS Vatsalya Portal a unique initiative under National Pension System (NPS) designed to secure the financial future of minor children in India. It allows parents or legal guardians to open and manage pension accounts in the name of their children, providing a long-term savings platform that grows over time. The scheme aimed at instilling financial discipline and helping children develop a secure economic base for their future needs, such as education, healthcare, or even retirement planning. Under this scheme, any Indian citizen, including minors, enrolled in the NPS. The contributions made to account managed by the guardian until the child attains the age of 18, after which the account ownership transferred to the child. The guardian can invest the funds in different asset classes such as equities, corporate bonds, and government securities, offering a balanced and growth-oriented approach to investment.

Withdrawals from the NPS account restricted until the minor reaches 18 years of age, ensuring the funds remain intact for future use, except in the case of specific emergencies like medical crises. Once the child turns 18, they can take control of the account, continuing contributions or managing withdrawals per their needs. Overall, the NPS Vatsalya Portal is an excellent tool for parents who want to create a secure financial foundation for their children. The flexibility in investment choices allows guardians to align the account’s risk and return profile with their financial goals for the child.

Highlights  Regarding NPS Vatsalya 2024

Benefits of NPS Vatsalaya Pension Scheme

•  NPS Vatsalya initiative enables parents or guardians to establish a systematic savings strategy for their children’s future, thereby providing a financial safety net as they mature.
• The capital invested in the NPS account can be diversified across various asset categories, including equities, government securities, and corporate bonds.
• NPS account is overseen by a legal guardian until the child reaches the age of 18, ensuring that the investments are managed prudently. Upon reaching adulthood, the child assumes complete control of the account.
• Withdrawals are prohibited until the minor turns 18, safeguarding the funds for future necessities such as education, healthcare, or retirement planning. Exceptions are permitted for urgent situations, such as medical emergencies.
• guardian has the flexibility to select from a range of investment plans.
• NPS Vatsalya Portal familiarizes children with the concept of early retirement planning, guiding them toward achieving financial independence from an early age.

NPS Vatsalya Portal Features

• NPS Vatsalya scheme open to all Indian citizens, including minors. A legal guardian oversees the account until the child attains the age of 18.
• This scheme permits investments across various asset classes, such as equities, corporate bonds, and government securities, allowing for flexibility in growth.
• The account is established and administered by a parent or legal guardian.
• Withdrawals from the account prohibited until the minor turns 18, ensuring that the funds preserved for future requirements.
• Upon reaching the age of 18, ownership of the account is transferred to the child.
• NPS Vatsalya scheme offers a low-cost investment alternative, making it accessible to a broad spectrum of families.

Objective of NPS Vatsalya Portal

• To establish a systematic savings framework that guarantees enduring financial security for minor children.
• Promote early retirement and financial foresight by fostering a culture of disciplined saving from a young age.
• Provide returns linked to market performance through investments across diverse asset classes, ensuring capital growth over time.
• Offer tax incentives under Section 80C of the Income Tax Act, rendering it a financially prudent method for saving for a child’s future.
• To protect the savings by imposing restrictions on withdrawals until the child reaches the age of 18, thereby ensuring that funds are preserved for future needs.

Eligibility Criteria Required for NPS Vatsalya

• Minor citizens till age of 18 years are eligible.
• Applicants from India and NRI are also applicable.
• Account must managed by a parent or legal guardian until child completes 18 years of age.
• Once children complete 18 years of age, account ownership is transferred to them.

Required Documents Under NPS Vatsalya Pension Scheme

• Birth Certificate
• School Leaving Certificate
• PAN Card
• Aadhar Card
• KYC of Guardian
• Passport Size Photo
• Mobile Number
• Email Address
• Signature

Contribution Required Under NPS Vatsalya 2024

Applicants need to contribute a minimum of Rs.1000/- and maximum has no limit.

NPS Vatsalya Investment Choices

• Default Option: Moderate Life Cycle Fund – LC-50 (50% equity)
• Automatic Selection: The guardian has the option to select from the Lifecycle Fund – Aggressive – LC-75 (75% equity), Moderate LC-50 (50% equity), or Conservative – LC-25 (25% equity) based on their risk tolerance.
• Active Selection: The guardian takes an active role in determining the distribution of funds among Equity (up to 75%), Corporate Debt (up to 100%), Government Securities (up to 100%), and Alternative Assets (5%).

Exit and Withdrawal Rules of NPS Vatsalya Portal

• Applicants can withdraw up to 25% of amount.
• Parents and guardians can withdraw after 3 years of contribution.
• Candidates can withdraw their amount only for education, and treatment purposes.
• Amount withdrawal option is available only 3 times till 18 years of child.

Steps to Apply Online Under NPS Vatsalya Pension Scheme

• Visit official website of NPS Vatsalya via enps.nsdl.com
• In homepage, click on ”Open NPS Account”.
• A new page will appear on your screen.
• Input your date of birth, permanent account number, mobile number, and email address.
• Click on, ”Begin registration”.
• After this, you will get OTP on your mobile number.
• Once your OTP is verified you willget acknowledgment number.
• Now, click on ”Continue” and upload your documents.
• Contribute your minimum amount of Rs.1000/-and your PRAN will generated.
• You have successfully opened your ”NPS Vatsalya Pension Scheme Account”.

Nps Vatsalya Pension Scheme for Minor Children (Kids) Link = Click Here

NPS Vatsalya Portal Apply Online Link = Click Here