**Executive Summary**
This circular, issued by the Pension Fund Regulatory and Development Authority (PFRDA) on December 31st, 2025, outlines the revised charge structure for Points of Presence (PoPs) under the National Pension System (NPS) for All Citizen and Corporate Models, including NPS Vatsalya and NPS Lite. The revised charges are effective from January 1st, 2026. PoPs need to inform CRAs of their charge preferences by January 15th, 2026.
**Key Points / Main Content**
* **Revised Charge Structure (Effective January 1st, 2026)**
* For the first year of subscribers onboarding:
* 0.2% p.a. of AUM (subject to a minimum of Rs. 30/-) and 0.1% p.a. for CPSE employees (subject to a minimum of Rs. 15/-), pro-rata on a quarterly basis.
* OR, Rs. 200/- per new account (on a monthly basis, collected in the month subsequent to onboarding). PoPs must elect this option and inform CRAs by January 15th, 2026. If the PoP elects this option, no AUM charges are levied during the first year.
* For the second year onwards:
* 0.2% p.a. of AUM (subject to a minimum of Rs. 30/-) and 0.1% p.a. for CPSE employees (subject to a minimum of Rs. 15/-), pro-rata on a quarterly basis, in accounts other than dormant accounts.
* **General Provisions**
* Deduction method: Cancellation of units by Central Recordkeeping Agencies (CRAs).
* GST or other applicable taxes are additional.
* "P.a." refers to a period comprising four consecutive quarters, not necessarily a financial or calendar year.
* Charges are levied at 0.05% of AUM for Common Schemes and 0.025% for CPSE employees, both calculated on the last day of the quarter.
* PoPs with their own employees as NPS subscribers may choose whether to recover PoP charges.
* Dormant accounts will not be charged; a dormant account is defined as one with no contributions for four consecutive quarters after an initial contribution.
* No minimum contribution is required at onboarding or for subsequent contributions, unless PoPs opt for the Rs. 200 charge for the first year, in which case a minimum contribution of Rs. 250 is required at the time of onboarding.
* Subscribers onboarded and contributing through e-NPS or D-Remit are exempt from PoP charges unless initially onboarded through a PoP.
* **Reporting and Transparency**
* PoPs must inform their respective CRAs about their choice regarding charges for the first year of subscriber onboarding, their choice to recover charges from their own employees, and information of existing CPSEs by January 15th, 2026.
* If PoPs inadvertently collect incorrect charges, the excess amount must be deposited into the subscriber's PRAN account immediately.
* PoPs must display their updated charge structure on their websites and through pop-up notifications in their digital onboarding process.
* **Superseded Circular**
* This circular supersedes circular no. PFRDA/Master Circular/2024/05/PoP- 03 dated 31st January 2025 regarding service charges.
**Impact Analysis**
**Points of Presence (PoPs)**
*Impact:*
* Revised charge structure for NPS subscribers may affect PoPs' revenue.
* Need to implement the revised deduction methods.
* Potential impact on revenue based on method chosen for first year charges.
*Action Required:*
* Update charge structure on their websites and communicate changes to staff.
* Inform CRAs about their choice of charges for the first year of subscriber onboarding, their choice to recover charges from their own employees, and information of existing CPSEs by January 15th, 2026.
**Central Record Keeping Agencies (CRAs)**
*Impact:*
* CRAs are responsible for implementing the revised deduction methods.
*Action Required:*
* Adjust systems to accommodate the new charge structure.
**Subscribers**
*Impact:*
* Revised charges will impact their overall NPS contributions.
*Action Required:*
* Review the new charge structure to understand its impact on their accounts.
Key Entities Referenced
Pension Fund Regulatory and Development Authority (PFRDA): The regulatory body that governs pension funds in India, issuing this circular regarding charges for Points of Presence (PoPs).
National Pension System (NPS): A pension scheme in India for all citizens, including All Citizen and Corporate Models, NPS Vatsalya, and NPS Lite, which are the subject of the revised charge structure.
Points of Presence (PoPs): Entities that serve as access points for subscribers of NPS. The circular addresses the charge structure PoPs can levy.
Pension Fund Regulatory and Development Authority Act, 2013: The law under which the circular is issued, specifically referencing Section 14 which outlines the powers of the PFRDA.
Central Record Keeping Agencies (CRAs): Entities responsible for maintaining records of NPS subscribers; PoPs need to provide certain information to CRAs by a specific date.
CIRCULAR
st
Circular No.: PFRDA/2025/24/REG-POP/05 Date: 31 December 2025
To
All Points of Presence, Central Record Keeping Agencies and other Stakeholders.
Subject: Charge structure of Points of Presence (PoP) for Common Schemes under NPS (All Citizen and
Corporate Model) including NPS Vatsalya and NPS Lite
Regulation 16 of Pension Fund Regulatory and Development Authority (Point of Presence)
Regulations, 2018 (hereinafter referred to as “POP Regulations”) states that “the charges that may be collected
by the point of presence from the subscriber shall be subject to the limit, mode and manner of collection, as
permitted by the Authority”.
2. In accordance with the PoP regulations, the applicable charges for PoPs under NPS (All Citizen and
Corporate Model) including NPS Vatsalya and NPS Lite are hereby revised as under:
Charge structure applicable from 01.01.2026 for Common Schemes
Particulars The charges for NPS Common Schemes (All Citizen and Corporate
Model) including NPS Vatsalya and NPS Lite
First Year of 0.2% p.a. of the AUM (subject to minimum of Rs. 30/-) and 0.1% p.a. for CPSE
employees (subject to minimum of Rs.15/-) pro-rata on quarterly basis.
subscribers
or
onboarding
Rs. 200/- per new account (on monthly basis, to be collected in the month subsequent
to the month of on-boarding)
Second Year 0.2% p.a. of the AUM (subject to minimum of Rs.30/-) and 0.1% p.a. for CPSE
employees (subject to minimum of Rs.15/-) pro-rata on quarterly basis, in accounts
onwards
other than Dormant accounts. This shall be applicable to all existing accounts as well.
Notes:
i. Method of deduction shall be through cancellation of units by Central Recordkeeping Agencies.
ii. GST or other taxes as applicable, shall be additional.
iii. For the purpose and interpretation of this circular, the term “ p.a.” shall mean a period comprising of
four (04) consecutive quarters and shall not be construed to or to be aligned with, a financial year or
a calendar year.
iv. Accordingly, charges shall be levied at 0.05% of AUM on the last day of quarter
for Common Schemes of NPS (All Citizen and Corporate Model), including NPS Vatsalya, and 0.025%
of AUM on the last day of quarter for CPSE employees.
v. PoPs having their own employees as NPS subscriber may exercise their choice to
recover or not to recover PoP charges as per their internal approved policy and shall share such
information with CRAs.
vi. Dormant Account will not be charged. Dormant account is defined as such account where subsequent
to a contribution in a quarter, there is no contribution for four consecutive quarters as identified at the
end of each quarter.
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5th Floor, Tower E, World Trade Center, Nauroji Nagar, New Delhi – 110 029
Phone: 011 - 26517501, 26517503. website: www.pfrda.org.in3. There shall not be any minimum contribution at the time of onboarding or at the time of making
subsequent contributions for subscribers under NPS (All Citizen and Corporate Model) and NPS-Lite. However,
for those PoPs who exercise the choice for revised charges of Rs 200/- plus applicable taxes, for the first
year of onboarding under the above schemes, require a minimum contribution of Rs 250/- from the
subscriber, at the time of onboarding under Common Schemes of NPS (All Citizen and Corporate Model).
4. Further, the following may also be noted with respect to the subject matter:
a. Subscribers onboarded through e-NPS and making subsequent contributions through e- NPS or D-Remit
shall not be liable to pay any PoP charges, as these subscribers are not linked to any PoP. While,
subscribers onboarded through a POP and making subsequent contributions through e-NPS or D-Remit,
shall be liable to pay PoP charges as prescribed above.
b. Furthermore, if a PoP opts to levy a charge of Rs. 200/- plus applicable taxes per new account during
the first year of onboarding, this amount shall be payable to the PoP in the subsequent month. For such
account no AUM-based charges shall be payable in the first year of onboarding.
c. PoPs need to provide the following information to respective CRAs through compliance officers latest
th
by 15 January, 2026 for the purpose of applicability of charges:
i. One-time choice on charges for the first year of subscriber onboarding
ii. Choice on recovery of charges from their own employees
iii. Information of existing CPSEs
5. In the event, if under unavoidable circumstances, during the initial months of issuance of this circular,
any PoP inadvertently collects charges directly from the subscribers as per earlier circular dated 31.01.2025,
such collected amounts shall be deposited by PoP in the PRAN of the concerned subscribers, immediately upon
identification of such incident.
6. All Points of Presence (PoPs) are mandated to publicly display their updated charge structure on their
respective websites and bring this attention to their staff on immediate basis. This information must also be
clearly presented to subscribers during the transaction process through pop-up notification, in their digital on-
boarding journey.
7. This circular herewith supersedes the circular on Service Charges that can be collected by POPs under
st
NPS and NPS-Lite vide circular no. PFRDA/Master Circular/2024/05/PoP- 03 dated 31 January 2025.
8. This Circular is issued in exercise of powers conferred under sub-section (1) of Section 14 read with
clause (e) of sub-section (2) of Section 14 of the Pension Fund Regulatory and Development Authority Act,
2013.
Yours Sincerely,
Ashish Kumar
Chief General Manager
Regulation Contribution Management Department
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5th Floor, Tower E, World Trade Center, Nauroji Nagar, New Delhi – 110 029
Phone: 011 - 26517501, 26517503. website: www.pfrda.org.in