NPS: Postal Department has started great facility, accounts can be opened sitting at home

The Indian Postal Department has started another big service for its customers. The department said that now customers can take advantage of opening NPS account only after sitting at home. 

The Department of Posts has informed in an official statement that NPS membership has started from April 26, 2022 through online mode, customers can take advantage by opening their account sitting at home.

Any citizen of the country above 18 years and below 70 years of age can apply for this facility after going to the online category of National Pension System (NPS) on the official website of the Department of Posts.

The department has also claimed that its NPS service charge is considered to be the lowest as compared to any bank or institution. Under this facility, customers are getting the option of services like new registration, investment or SIP.

The government had implemented NPS according to the new pension scheme and from the year 2010, the Pension Fund Regulatory and Development Authority (PFRDA) started managing the accounts opened through the Department of Posts.

Two types of accounts are created

Under NPS, customers can take advantage of opening two types of accounts. In this, Tier-1 account which is given only for employees. Both the employer and the employee can contribute to this account. The second is Tier-2 account which anyone can open and take advantage of.

If viewed annually in Tier-1 account, then investment up to Rs 1.5 lakh starts getting tax exemption under section 80C of Income Tax. At the same time, tax exemption of 50 thousand is being available annually on Tier-2 account. Overall, if you look at an NPS account, then you get the benefit of tax exemption up to Rs 2 lakh every year.