» » » Reintroduction Of One-Time Pension Scheme

Reintroduction Of One-Time Pension Scheme

Oleh
Reintroduction Of Old Pension Scheme


GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF FINANCIAL SERVICES

LOK SABHA
UNSTARRED QUESTION NO. 4075
TO BE ANSWERED ON AUGUST 10, 2018/SHRAVANA 19, 1940 (SAKA)
REINTRODUCTION OF OLD PENSION SCHEME
Shri Rakesh Singh

Will the Minister of FINANCE hold upward pleased to state
the details of drawbacks of the New Pension Scheme (NPS) introduced for the Government officials;
whether the NPS is non equally beneficial monetarily equally the Old Pension Scheme (OPS) in addition to if so, the details thereof;
whether the Government employees are disgruntled amongst the NPS in addition to if so, the details thereof; and
whether the Government proposes to reintroduce the OPS replacing the NPS, if so, the details thereof in addition to the activeness taken yesteryear the Government inward this regard?

ANSWER

The Minister of State inward the Ministry of Finance
(Shri Shiv Pratap Shulda)

(a) & (b) National Pension System (NPS) has been designed giving utmost importance to the welfare of the subscribers. Government has made a witting motion to shift from the defined create goodness pension scheme to defined contribution pension scheme i.e. NPS, due to rise in addition to unsustainable pension bill. There are a let on of benefits available to the employees nether NPS. Some of the benefits are enlisted below:
  • NPS is a good designed pension organisation managed through an unbundled architecture involving intermediaries appointed yesteryear the Pension Fund Regulatory in addition to Development Authority (PFRDA) viz. pension funds, custodian, primal tape keeping in addition to accounting agency, National Pension System Trust, trustee bank, points of presence in addition to Annuity service providers. It is prudently regulated yesteryear PFRDA which is a statutory regulatory trunk established to promote onetime historic menstruation income safety in addition to to protect the involvement of subscribers of NPS.
  • The pension wealth which accumulates over a menstruation of fourth dimension till retirement grows amongst a compounding effect. The all-in-costs of the institutional architecture of NPS are amidst the lowest inward the world.
  • Contribution made to the NPS Tier-I trouble organisation human relationship is eligible for revenue enhancement deduction nether the Income Tax Act, 1961. An additional revenue enhancement rebate of Rs.50000 is equally good allowed for contributions made to NPS Tier-I nether Section 80CCD (1B) of the Income Tax Act, 1961.
  • Subscribers tin laissez passer notice withdraw upward to 25% of their ain contributions earlier attaining historic menstruation of superannuation, champaign of report to for certain conditions. Further, PFRDA vide “PFRDA (Exits in addition to Withdrawals nether the NPS) (First Amendment) Regulations, 2017” dated 10.08.2017 has liberalized norms for partial withdrawals which equally good include reduction of requirement of minimum years of beingness enrolled nether NPS from x years to three years from the engagement of joining.
  • PFRDA has increased the maximum historic menstruation boundary from sixty years to 65 years for joining NPS-All Citizen Model in addition to Corporate Sector Model, vide “PFRDA (Exits in addition to Withdrawals nether the NPS) (Second Amendment) Regulations, 2017” dated 06.10.2017.
  • PFRDA vide “PFRDA (Exits in addition to Withdrawals nether the NPS) (Third Amendment) Regulations, 2018” dated 02.2018 has facilitated slowly leave of absence & withdrawal inward example of disability in addition to incapacitation of the subscriber covered nether NPS.
  • Transparency in addition to Portability is ensured through online access of the pension trouble organisation human relationship yesteryear the NPS subscribers, across all geographical locations in addition to portability of employments.

(c) & (d) Representations get got been received which inter alia equally good include the need that the Government may revert to onetime defined create goodness pension system. However, due to rise in addition to unsustainable pension neb in addition to competing claims on the fiscal, at that spot is no proposal to supersede the NPS amongst onetime pension scheme inward honor of Central Government employees recruited on or afterward 01.01.2004.
0 Komentar untuk "Reintroduction Of One-Time Pension Scheme"

Back To Top