PFRDA has decided to make investing in NPS accounts even easier. With the introduction of the new facility for digital payment, you can use NPS payment more simply.
Now any investor will be able to invest money in an NPS fund through a Quick Response Code (QR Code). Let us tell you which steps you will have to follow for this.
QR Code can be used offline also
PFRDA wants to connect more and more people with NPS. Digital payment has played a big role in this scheme. Therefore, the facility of payment through a QR code for digital payment will provide further ease to the investors. According to the Pension Fund Regulatory and Development Authority (PFRDA), after the introduction of a payment facility through a QR code, now people will be able to easily deposit money in their NPS account sitting at home. In Tier-1 and 2 accounts, these QR codes can also be created offline, so that in the future you can make payments through them.
It will be easier to access investments for retirement
According to Amit Sinha, Group Head (Social Security and Welfare), Proteus eGov Technologies Limited (NSDL e-Governance Infrastructure Limited), facilitating payment through a QR code is a good step. This will make it easier to transfer money to NPS. With this initiative of PFRDA, NPS account holders will be able to easily access their retirement savings. Besides, you will also be able to increase your savings in NPS during retirement.
Benefits of investing in NPS
By contributing to NPS you can take advantage of tax savings. Tax exemption of Rs 1.5 lakh is also available under Section 80CCD(1) of Income Tax and Rs 50 thousand under Section 80CCD(2). The limit of contribution to NPS account for government employees is 14 percent. Under section 80CCE, subscribers can claim an additional deduction of up to Rs 50,000.
