What is National Pension Scheme (NPS)?

The National Pension Scheme (NPS) is a government-sponsored retirement savings program that allows individuals to contribute systematically toward their pension fund, which is then invested in various asset classes. Managed by the Pension Fund Regulatory and Development Authority (PFRDA), NPS provides tax benefits and offers a mix of equity, corporate bonds, and government securities to help build long-term financial security for retirees.