Finance Minister Nirmala Sitharaman Image credit source: PTI
A large population of India comes from the middle class. Who gives top priority to work and pension in life. Now the government has announced that it will start the pension option for their children as well. It is worth noting here that parents will be able to invest in this scheme on behalf of their children. Finance Minister Nirmala Sitharaman will launch the NPS Vatsalya scheme on September 18, in which school children will also participate. The Union Finance Minister will also launch an online platform for membership of NPS Vatsalya and distribute Permanent Retirement Account Number (PRAN) cards to new minor subscribers.
What is NPS Vatsalya Scheme?
NPS Vatsalya offers flexible contribution and investment options. Parents can invest Rs 1,000 per year on behalf of the child. Thus, this scheme is accessible to families across all economic backgrounds. NPS Vatsalya will enable parents to save for their child’s future by investing in a pension account and securing long-term wealth with the power of compounding.
Online platform for NPS Vatsalya
The Union Finance Minister will also launch an online platform for subscription to NPS Vatsalya, publish scheme brochures and distribute Permanent Retirement Account Number (PRAN) cards to new minor subscribers. This new initiative is designed to give children an early start in securing their financial future, marking a major step forward in India’s pension system. This scheme will be administered by the Pension Fund Regulatory and Development Authority (PFRDA).
The launch of NPS Vatsalya reflects the Government of India’s commitment to promoting long-term financial planning and security for all. This is a major step towards making India’s future generations more financially secure and independent.
