New NPS charges from October 1: The Pension Fund Regulatory and Development Authority (PFRDA) has updated the charges that Point of Presence (PoP) entities are permitted to levy on subscribers under the National Pension System (NPS) and NPS Lite.These revised charges will come into effect from October 1, 2026, while Central Recordkeeping Agencies will begin implementing the deduction from the third quarter of FY 2026-27.In a circular dated August 28, 2026, PFRDA has done away with the distinction between common schemes and schemes launched under the Multiple Scheme Framework (MSF).The circular, titled ‘Standardised framework for classification and presentation of schemes under the National Pension System (NPS), also sets out the charges applicable to subscribers making contributions through e-NPS and D-Remit.
New NPS PoP onboarding charge from October 1, 2026: What changes
One-time onboarding chargeUnder the new fee structure, subscribers registering for NPS through a PoP will be charged a one-time onboarding fee of Rs 200 for each Permanent Retirement Account Number (PRAN).However, the entire Rs 200 will not be taken from the subscriber’s account at once.Instead, the charge will be collected at Rs 50 per quarter by cancelling units through the Central Recordkeeping Agencies (CRAs). The amount will be remitted to the PoP in the month following the quarter in which the subscriber completes the onboarding process.Annual charges for all schemes under NPS and NPS LiteAccording to the PFRDA circular, PoPs will receive an annual charge equivalent to 0.20% of the assets under management (AUM) for all schemes, except dormant accounts. The charge will be adjusted through the net asset value (NAV) and paid to the PoP on a quarterly basis.One-time onboarding charge for digitally registered subscribersPFRDA has also specified the onboarding fee applicable to subscribers who complete their registration entirely through a digital, non-face-to-face process. In such cases, a one-time charge of Rs 100 may be levied, depending on the terms prescribed by PFRDA when the PoP is registered and any subsequent terms determined by the regulator.GST and other applicable taxes will be levied separately, according to the PFRDA circular.Will dormant NPS accounts attract PoP charges?PFRDA has said that PoP charges will not apply to dormant accounts. It defines a dormant account as an account or accounts identified through a unique Permanent Account Number (PAN) across all CRAs where, after a contribution is made in a quarter, no further contribution is received for four consecutive quarters, as determined at the end of each quarter.Revised minimum contribution under NPSThe circular also lays down the minimum amounts that NPS subscribers must contribute.At the time of onboarding, a subscriber is required to contribute at least Rs 250. For subsequent contributions, the minimum contribution is Rs 10.Who will not have to pay PoP charges?Subscribers who opened their NPS accounts through e-NPS and subsequently make contributions through e-NPS or D-Remit will not have to pay PoP charges, according to the circular. However, those who initially onboarded through a PoP will continue to be liable for these charges even if their later contributions are made through e-NPS or D-Remit.This distinction is important because using e-NPS or D-Remit for a contribution does not, by itself, exempt a subscriber from PoP charges when the NPS account was originally opened through a PoP.PoPs must display revised chargesPFRDA has instructed all PoPs to clearly and prominently publish their revised charge structure on their respective websites.Have charges for 4A schemes under the NPS also been revised?The new fee structure does not apply to PoP charges for 4A Schemes, including schemes launched under Regulation 4A of the Exit Regulations, such as NPS Vatsalya, NPS Swasthya and NPS MSME.PFRDA said the charges applicable to these schemes will continue to be determined by their respective guidelines and circulars.New NPS PoP charges replace earlier structureThe revised charges will supersede the PFRDA circular issued on March 10, 2026. That earlier circular prescribed PoP charges for common schemes under NPS (All Citizen), including NPS Vatsalya and NPS Lite.
