[National Pension Scheme for Traders and Self Employed Persons is a government scheme meant for old age protection and social security of shopkeepers, Retail traders, and Self Employed persons.]

It is a voluntary and contributory pension scheme under which the subscriber would receive a minimum assured pension of Rs 3000/- per month after attaining the age of 60 years and if the subscriber dies, the spouse of the beneficiary shall be entitled to receive 50% of the pension as family pension. Family pension is applicable only to spouse.

For Whom:-

• Vyaparis, who are self-employed and are working as shop owners,
• Retail traders,
• Rice mill owners,
• Oil mill owners,
• Workshop owners,
• Commission agents,
• Brokers of real estate,
• Owners of small hotels, restaurants and

Other Vyaparis with similar occupations

Eligibility Criteria:-

• Entry age between 18 to 40 years
• Annual turnover should not exceed Rs 1.5 crore

Should not be:-

• Covered under any National Pension Scheme contributed by the Central Government or member of EPFO/NPS/ESIC
• An income tax payer
• Enrolled under Pradhan Mantri Shram Yogi Maandhan Yojana or Pradhan Mantri Kisan Maandhan Yojana administered by the Ministry of Labour & Employment or Ministry of Agriculture & Farmers Welfare, respectively.

He/ She should possess:-

• Aadhaar card
• Savings Bank Account number with IFSC

How to Subscribe:-

Step 1:

Interested eligible person shall visit nearest CSC centre.       

Step 2:

Following are the prerequisites for the enrollment process:                     

• Aadhaar Card
• Savings/Jan Dhan Bank Account details along with IFSC Code (Bank Passbook or Cheque Leave/book or copy of bank statement as evidence of bank account )

Step 3:

Initial contribution amount in cash will be made to the Village Level Entrepreneur (VLE).

Step 4:

The VLE will key-in the Aadhaar number, Name of subscriber and Date of birth as printed on aadhaar card for authentication.

Step 5:

The VLE will complete the online registration by filling up the details like Bank Account details, Mobile Number, Email Address, GSTIN, Annual Turnover Income, Spouse (if any) and Nominee details.

Step 6:

Self-certification for eligibility conditions will be done.

Step 7:

System will auto calculate monthly contribution payable according to age of the Subscriber.

Step 8:

Subscriber will pay the 1st subscription amount in cash to the VLE.

Step 9:

Enrollment cum Auto Debit mandate form will be printed and will be further signed by the subscriber. VLE will scan the same and upload it into the system.

Step 10:

A unique Vyapari Pension Account Number (VPAN) will be generated and Vyapari Card will be printed.

Exit and Withdrawal:-

The exit provisions of scheme have been kept flexible.

• If he/ she exits the scheme within a period of less than 10 years, the beneficiary’s share of contribution only will be returned to him with savings bank interest rate.

• If subscriber exits after a period of 10 years or more but before 60 years of age, the beneficiary’s share of contribution along with accumulated interest as actually earned by fund or at the savings bank interest rate whichever is higher.

• If a beneficiary has given regular contributions and died due to any cause, his/ her spouse will be entitled to continue the scheme subsequently by payment of regular contribution or exit by receiving the beneficiary’s contribution along with accumulated interest as actually earned by fund or at the savings bank interest rate whichever is higher.

• If a beneficiary has given regular contributions and become permanently disabled due to any cause before 60 years, and unable to continue under the scheme, his/ her spouse will be entitled to continue the scheme subsequently by payment of regular contribution or exit the scheme by receiving the beneficiary’s contribution with interest as actually earned by fund or at the savings bank interest rate whichever is higher.

• After the death of subscriber as well as his/her spouse, the entire corpus will be credited back to the fund.

More Details and Grievance Redressal:-

To know more details and to address any grievances related to the scheme, subscriber can contact at customer care number 1800 267 6888 which will be available on 24*7 basis. Web portal/ app will also have the facility for registering the complaints

For full scheme details – visit here and  Visit your nearest CSC locator through this link – locator.csccloud.in

Author –

CS Kanchan Gupta, founder of Saras Juris Law and can be contacted at Info@sarasjurislaw.com or can access at www.sarasjurislaw.com).

Disclaimer: The entire contents of this document have been prepared based on relevant provisions and as per the information existing at the time of the preparation. Although care has been taken to ensure the accuracy, completeness and reliability of the information provided, I assume no responsibility, therefore. Users of this information are expected to refer to the relevant existing provisions of applicable Laws. The user of the information agrees that the information is not a professional advice and is subject to change without notice. I assume no responsibility for the consequences of use of such information.

IN NO EVENT I SHALL BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL OR INCIDENTAL DAMAGE RESULTING FROM, ARISING OUT OF OR IN CONNECTION WITH THE USE OF THE INFORMATION