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Benefits of offering the

National Pension System


to your employees
www.fundsindia.com

Created by Government of India. Managed by PFRDA (Pension Fund Regulatory development Authority).

National Pension System

Benefits:
Additional tax benefits for an employee upto 10% of Basic + DA over and above all the other tax savings options.
Lowest cost pension plan in the world.

Totally FREE for the employer.


Portable across organizations. Investment choice with the employee Auto choice & Active choice. Only instrument that can invest in capital markets and save on taxes under 80 (c) after Direct Tax Code. Retirement savings in addition to EPF.

Benefit Illustration
Salary Head Basic Special allowance NPS contribution (Through the employer) Employers contribution to PF and Other allowances 4,64,000 8,00,000 1,00,000 2,36,000
Existing (Rs.)
After including NPS (Rs.)

2,40,000
96,000

2,40,000
72,000 24,000 4,64,000 8,00,000 1,00,000 2,12,000

CTC Tax benefit under 80(c)


Taxable Salary Tax Saving @ 30% in NPS

7,200

Unbeatable Tax Savings Employee saves on taxes up to 10% of Basic in addition to 80 (c) tax savings Employer can claim tax deductions for the NPS contribution.

Fund Manager & Fund Description


Subscriber can choose any one of the following six Pension Fund Managers: ICICI Prudential Pension Fund Management Company Limited. IDFC Pension Fund Management Company Limited. Kotak Mahindra Pension Fund Limited. Reliance Capital Pension Fund Limited. SBI Pension Funds Limited. UTI Retirement Solutions Limited.

Allotment Table
Instrument Equity (Index Funds) Corporate Bonds Government Bonds Minimum 0 0 0 Maximum 50% 100% 100%

Note: Allotment can be changed once a year

Applicable Charges:
Intermediary POP (Maximum permissible charge for each subscriber) CRA Charge Head Initial Subscriber registration and contribution upload Any subsequent transactions PRA Opening Charges Annual PRA Maintenance cost per account Charge per transaction Trustee Bank Per transaction emanating from RBI location Rs.100 25 bps (Rs.25 per Rs.10,000) Rs.50 Rs.225 Through cancellation of units Service Charge Method of Deduction To be collected upfront

Rs.5 ZERO Through NAV Deduction

Per transaction emanating from a non - RBI location


Custodian (on asset value in custody) Asset Servicing Charges

Rs.15

.0075% p.a. for electronic segment and .05%p.a. for physical segment .0009% p.a.

Pension Fund Management charge

Investment Management Fee

Fee Illustration

NPS Annual Fee Illustration - Subscriber


Per Annum NPS Contribution by Employee POP fee CRA Maintenance charges Rs.60,000 Rs.150 Rs.225 Comments Contribution of Rs.5000 per month 25 bps Annual Charge

CRA Transaction charge


Fund Management fee Total Annual Fee

Rs.60
Rs.0.54 Rs.435.54

Transaction charge 12 transactions


.0009% p.a. of Total amount

One time charges: Permanent Retirement Account Number (PRAN) registration fee: Rs.50/ Initial subscriber registration POP charges: Rs.100/-

Withdrawal information
Vesting Criteria On attaining the retirement age Benefit Max 60% of the pension wealth may be withdrawn in lump sum or in a phased manner, between retirement age to next 10 years Min 40% of the pension wealth to be kept invested in life annuity At any time before the defined age of retirement Max 20% of the pension wealth may be withdrawn At least 80% of the pension wealth to be kept invested and annuitized at retirement Death due to any cause Nominee receives 100% of the pension wealth If nominee wishes to continue he / she shall have to subscribe to NPS individually

FundsIndia Advantage Who we are

Convenient online enrollment and account maintenance process for employees Contributions fully managed online for employers Payroll deduction & one-cheque from employer for all employee contributions Statements and reports online for employee and employers anytime access on web and mobile Totally FREE for the employer

Our clients

And many more.

Thank you
For more information please visit www.fundsindia.com/npsforcorporates

contact@fundsindia.com

044-43443100

www.fundsindia.com