The compulsory annuity allocation reduced to 20%, enabling investors to withdraw up to 80% They may opt for a lump sum payout or choose staggered withdrawals.
Subscribers holding an NPS corpus of Rs 8 lakh or less can now exit the scheme with a full lump sum payout, without any obligation to invest in annuity products. This marks a significant increase from the earlier cap of Rs 2.5 lakh.
An exit can now be initiated when any one of the following milestones is reached: 15 years in the scheme, age 60, or retirement, whichever comes first.
the age cap for remaining invested in the NPS has been raised from 75 to 85.
Excellent amendments.