When can I partially withdraw from NPS?

When can I partially withdraw from NPS?

Under new PFRDA rules, after completing 3 years, partial withdrawals are allowed, subject to certain conditions:

  1. You can withdraw only 3 times during the tenure of your subscription.
  2. You should maintain a minimum gap of 5 years between ant 2 withdrawals. This gap can be reduced only during medical emergencies.
  3. You can withdraw only 25% of your total contributions towards this scheme.
  4. Partial withdrawal is allowed only in certain exceptional cases, like education of his/her children, marriage expenses, house construction or medical emergencies.


    • Related Articles

    • What is the lock-in period for NPS?

      You have to stay invested in NPS till retirement. However, in case of premature exit, you can completely withdraw from NPS without any penalty if your total accumulated corpus is less than or equal to ₹1 lakh. However, you can exit from NPS only ...

    • What is the tax treatment of NPS?

      As per new rules, 60% of the corpus withdrawn at the time of maturity is completely tax-free. The rest 40% has to be annuity. Annuity income in the subsequent years will be taxable, based on the income tax slab of the investor. However, the total ...

    • How does NPS work?

      Under the NPS, an individual's savings is contributed to a pension fund. These pension funds are managed by PFRDA regulated Fund Managers who invest the pension money into a diverse portfolio of varied products in line with the regulatory norms. ...

    • Who can invest in NPS?

      Any Indian citizen including Indian NRIs between the ages of 18 years and 60 years can invest in NPS. There is also a provision to open an NPS tier-1 account from the age of 60-65 years, subject to special rules and conditions.

    • Can I withdraw from the scheme before maturity?

      Yes, a partial withdrawal of up to 50% is allowed after the account holder turns 18 year for the requirement of either marriage or higher education. In case of marriage of the account holder after 18 years, the operation of the account may not be ...