The Pension Fund Regulatory and Development Authority (PFRDA) on Monday announced the upper age limit for joining the National Pension System (NPS) to 65 years from the current 60 years.
Hemant Contractor, PFRDA chairman, during a conference on Transferring Superannuation Funds to National Pension System said, “The pension regulator’s boards had already approved the change.
“The notification will come shortly. The NPS is currently open for people between 18 years and 60 years. The board has approved raising the age limit for joining to 65 years,” added Contractor.
The PFRDA chairman further said, “Scheme anyway has the option of continuing and making contributions up to the age of 70."
He further added that the aim is to open to sectors that our without pensions.
He said, “Only 15-16 per cent of employees in the country are covered by pensions.”
Contractor elaborating on the benefits of the NPS said, “Costs are important because even one per cent difference in cost over 25-30 year.”