NPS, UPS and Atal Pension Yojana fees will change from October 1; find out how much you will have to pay now.
There’s big news for subscribers of the National Pension System (NPS), Unified Pension Scheme (UPS), Atal Pension Yojana (APY), and NPS-Lite. The Pension Fund Regulatory and Development Authority (PFRDA) has revised the fees charged by central recordkeeping agencies (CRAs). This new fee structure will be effective from October 1, 2025.
There’s good news for subscribers of the National Pension System (NPS), Unified Pension Scheme (UPS), Atal Pension Yojana (APY), and NPS-Lite. The Pension Fund Regulatory and Development Authority (PFRDA) has revised the fees charged by Central Recordkeeping Agencies (CRAs). This new fee structure will be effective from October 1, 2025, and will replace the existing fee structure issued in June 2020.
Fees for the Government Sector (NPS and UPS)
For government employees, opening a new PRAN will now cost ₹18 for an e-PRAN kit and ₹40 for a physical PRAN card. The annual maintenance charge will be ₹100 per account. However, no fees will be charged for accounts with zero balance. There will be no additional fees on transactions.
Atal Pension Yojana (APY) and NPS-Lite
Customers in this category will have to pay Rs 15 to open a PRAN and Rs 15 for annual maintenance. Transaction fees will also be zero.
Fees for the Private Sector (NPS and NPS Vatsalya)
Like the government sector, the private sector will also be charged a fee of ₹18 for the e-PRAN kit and ₹40 for the physical PRAN card for opening a PRAN. Transaction charges will not be applicable here either.
Annual Maintenance Charge (AMC)
The AMC is divided into slabs based on the customer’s investment amount.
– No charge for accounts with zero balance.
– ₹100 for corpus between ₹1 and ₹2 lakh,
– ₹150 for ₹200,001 to ₹10 lakh,
– ₹300 for ₹100,001 to ₹25 lakh,
– ₹400 for ₹250,0001 to ₹50 lakh,
– ₹500 for corpus above ₹50 lakh.
Important Guidelines
– PFRDA has clarified that this new fee structure is a ceiling. Central Recordkeeping Agencies (CRAs) cannot charge more than this. However, they can reduce fees by negotiating with companies, customers, and Points of Presence (PoPs).
– For private sector subscribers, the AMC will be slab-based and applicable only to Tier-I corpus.
– For government sector UPS customers, this charge will be applicable only during the accumulation phase. Separate charges for pension disbursements may be issued later.
– Furthermore, if CRAs introduce any new services in the future, their fees will be determined based on actual costs, which will require PFRDA approval. All CRAs must clearly display their charges on their websites and mobile apps.
– PFRDA said that this amendment has been issued under Section 14 of the PFRDA Act, 2013 and also marks the completion of the five-year price discovery cycle prescribed under the CRA regulations.
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