NPS Exit Rules Relaxed: More Flexibility for Withdrawals and Annuities

• PFRDA has relaxed NPS exit rules under the All Citizen Model, offering greater flexibility for withdrawals.
• The minimum five-year lock-in period for normal exit has been removed, and the vesting period eased to 15 years or age 60.
• Lump-sum withdrawal limit for normal exits increased to 80% of corpus, with minimum annuity purchase reduced to 20%.
• New detailed withdrawal rules for small pension wealth introduce slabs and options like systematic lump sum withdrawal (SLW) and systematic annuity withdrawal (SUR).
• Premature exit rules remain largely unchanged, but slab-based options and systematic withdrawal facilities are now available for smaller amounts.