A step-by-step guide to opening your NPS account
With the final date for declaring your investments just around the corner, the hunt for tax-saving investments begins.
There are many tax-saving avenues – ELSS (Equity-linked savings schemes), National Savings Certificate (NSC), Public Provident Fund, etc. We’d like to suggest an alternative.
It is tailor-made for not only building a sizable retirement nest egg but also reducing your taxable income by up to Rs 2 lakh each year. Let’s show you how to get started.
You can visit your nearest bank and seek their help. Or, you can open your account by visiting any of these websites: Protean, CAMS, KFintech
Just have the below documents handy: Aadhaar and signature (soft copy), Phone number linked to your Aadhar (You’ll receive an OTP), Your bank details, A cancelled cheque
If your retirement is at least 5 years away, opt for 'Active' and put the maximum possible amount - 75% - in equities. The rest can be split between corporate bonds & g-secs.
Like SIPs in the case of mutual funds, investment in NPS can also be put on auto-pilot using the ‘D-Remit’ facility.