Getting started with NPS

With the annual ritual of tax-saving upon us, many of us will start hunting for investment opportunities to reduce our taxable income by Rs 1.5 lakh and save up to Rs 46,800 on taxes. Not surprisingly, there are a plethora of tax-saving avenues that will jostle for your attention. Equity-linked savings schemes (ELSS), National Savings Certificate (NSC), Public Provident Fund (PPF), to name a few. But like there's a Lakshadweep to every Maldives, or at least what the current social media 'war' tells us, there's the National Pension Scheme (NPS), a viable, if not better, alternative. The NPS is tailor-made for not only building a sizable retirement kitty but also reducing your taxable income by an additional Rs 50,000. That's right, the Rs 50,000 income deduction is over and above the Rs 1.5 lakh limit provided by others. More importantly, it is the only avenue that helps you save additional tax. So, let's show you how to kickstart your NPS journey. Getting started One option is to visit your nearest bank and seek their help. Most publ

This article was originally published on January 12, 2024.