BANKING AFFAIRS

Detailed explanation-1: -In a bid to make retirement income scheme more attractive for central government employees, the government has agreed to chip in a higher 14 per cent of the basic salary of an individual as its contribution to the National Pension System (NPS), a top source said.

Detailed explanation-2: -The retirement gratuity payable for qualifying service of 33 years or more is 16½ times the Basic Pay plus DA, subject to a maximum of Rs. 20 lakhs. Half of emoluments for every completed 6 monthly period of qualifying service subject to a maximum of 33 times of emoluments.

Detailed explanation-3: -The National Pension Scheme is a social security initiative by the Central Government. This pension programme is open to employees from the public, private and even the unorganised sectors except those from the armed forces.

Detailed explanation-4: -How can a Subscriber change his/her scheme preference? Scheme Preference change option is not available to Govt. subscribers for Tier I. For Tier II, the Subscriber has to submit the physical application form (Form-UOS-S3) to change Scheme Preference.

Detailed explanation-5: -Applicant should be between 18 – 60 years of age as on the date of submission of his/her application to the POP/ POP-SP. The Central Government had introduced the National Pension System (NPS) with effect from January 1, 2004 (except for armed forces).