Many flaws thoguth it has evolved in right direction. In the past it was 40:40:20 ratio of exempt:tax:annuity - some stupid rule, later demolished. Now, 60:40 ratio, exempt:annuity (lucky, the govt didn't see these schemes as earning source at the time of retirement). Even in active choice of 75:25 ratio, it is not clear whether this ratio is maintained (rebalancing) automatically even after appreciation in equity/debt. This option is available in aggressive hybrid funds. After accumulating such huge corpus over 30+ years of working, you have to shell out min 40% to insurance company at fixed rate, and the annuity plans are more complex to understand than the formula of an atom bomb. Supratim ji, the previous director of PFRDA was some hope to the subscribers in terms of flexible reforms, but nothing seems moving in that direction. Instead of locking at fixed price, why not SWP on the left out corpus at some safe withdrawal rate and let the corpus be given to next generation or to the govt? It is the only tax exempt option as of now of the contributions, in both new and old tax regime, let us hope some public friendly offier can bring the needed changes for better adoption. But, NPS is right reform at needed time, hope public understand the need of such social schemes than being funded by future generations.
Many flaws thoguth it has evolved in right direction.
In the past it was 40:40:20 ratio of exempt:tax:annuity - some stupid rule, later demolished.
Now, 60:40 ratio, exempt:annuity (lucky, the govt didn't see these schemes as earning source at the time of retirement).
Even in active choice of 75:25 ratio, it is not clear whether this ratio is maintained (rebalancing) automatically even after appreciation in equity/debt. This option is available in aggressive hybrid funds.
After accumulating such huge corpus over 30+ years of working, you have to shell out min 40% to insurance company at fixed rate, and the annuity plans are more complex to understand than the formula of an atom bomb. Supratim ji, the previous director of PFRDA was some hope to the subscribers in terms of flexible reforms, but nothing seems moving in that direction. Instead of locking at fixed price, why not SWP on the left out corpus at some safe withdrawal rate and let the corpus be given to next generation or to the govt?
It is the only tax exempt option as of now of the contributions, in both new and old tax regime, let us hope some public friendly offier can bring the needed changes for better adoption. But, NPS is right reform at needed time, hope public understand the need of such social schemes than being funded by future generations.
Hindi bolo yar kahan se aa gaye gitir pitir bolne wale. Maximum people do not understand the English....hindi bolo yar
@@arungupta4296 Sorry brother, I am not good at Hindi.