Child's Retirement Savings, Parents Can Plan Pension For Minors With NPS Vatsalya, Check Details - News18
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NPS Vatsalya is designed to help parents and guardians kickstart their child's retirement savings journey early on. (Representative image) NPS Vatsalya is a new pension scheme introduced in India's Union Budget 2024. To make the New Pension Scheme ( NPS ) more attractive under the new tax regime, Finance Minister Nirmala Sitharaman proposed to increase tax deductions for employers’ contributions to 14 per cent from 10 per cent. The minister also proposed to start ‘NPS-Vatsalya’, a plan for contribution by parents and guardians for minors. What Is NPS-Vatsalya? NPS Vatsalya is a new pension scheme introduced in India’s Union Budget 2024. It’s designed to help parents and guardians kickstart their child’s retirement savings journey early on. On attaining the age of majority, the plan can be converted seamlessly into a normal NPS account. While the scheme has been announced, specific details like eligibility criteria, contribution limits, investment options, and tax be...