Monitoring NPS like mutual funds | Value Research You can find NPS Performance tab on our homepage which shows latest NAV, percentage returns
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Monitoring NPS like mutual funds

You can find NPS Performance tab on our homepage which shows latest NAV, percentage returns

I have some queries regarding NPS. Which funds are available for a self-employed person? Whether you have to invest minimum four times in year. Or you can invest ₹ 50,000- once a year? What are the charges for investing and opening an NPS account? Whether charges have to be paid for annual statement from POS like CAMS? Can you monitor the fund as like mutual fund scheme in your website?
- Kaushik Halai

Lets take your query one by one.

  1. The NPS offers two approaches to invest the money:
    Active choice - Individual Funds (Asset Class E, Asset Class C, and Asset Class G )
    Subscriber will have the option to actively decide as to how his/her NPS pension wealth is to be invested in the following three options:
    Asset Class E - Investments in predominantly equity market instruments.
    Asset Class C- investments in fixed income instruments other than Government securities.
    Asset Class G - investments in Government securities.
    Subscriber can mix the above mentioned asset classes in a way that investment into Asset class E does not exceed 50%.
    Auto choice - Lifecycle Fund
    In case subscribers do not wish to invest on their own, NPS offers Auto choice option where asset class mix is decided as per age. Investment will be done in pre-determined portfolio.
  2. Minimum frequency of contribution to NPS is 1. You may invest whole ₹50,000 at once.
  3. NPS Charge structure exclusive of service tax is as below:
  4. Monitoring NPS like mutual funds

  5. Charge for any non-financial transaction including issuance of printed NPS account statement is ₹20. It is deducted each time on placing request.
  6. You can find NPS Performance tab on our homepage which shows latest NAV, percentage returns, worth of ₹5000 monthly contribution and assets under each plan for all funds.
  7. The Portfolio Manager at valueresearchonline.com where most users track their investments doesn't have the facility to track NPS plan. However, this feature will be added soon.

Here is a list of deductions available for various contributions to NPS

  • Employee contribution up to 10% of Basic Salary + DA, under Sec 80CCD(1)
  • Employer contribution up to 10% of Basic Salary +DA, under Sec 80CCD(2)
  • Own investment in NPS (outside your employer) maximum ₹50,000, under Sec 80CCD(1B)

Total deduction under Section 80C, 80CCC, 80CCD(1), 80CCD(1B) cannot exceed ₹2 lakh.

You are contributing to NPS as an employee and a matching amount is invested by your employer.You can claim deduction for both under Section 80CCD(1) and Section 80CCD(2).

Section 80CCD(1) allows you a deduction of

  • your actual investment. That is, ₹60,000, or
  • 10% of your Basic Salary + DA , whichever is lower

Section 80CCD(2) allows you to claim deduction on contribution made by your employer equal to

  • employer's actual contribution. That is, ₹60,000, or
  • 10% of your Basic Salary + DA , whichever is lower

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