Atal Pension Yojana: The Pension Fund Regulatory and Development Authority (PFRDA) has announced significant changes to the fee structure to be applied by Central Recordkeeping Agencies (CRAs) for the National Pension System (NPS), Atal Pension Yojana (APY), NPS-Lite, and Unified Pension Scheme (UPS). The new fee structure will be effective from October 1, 2025, and will replace the old rules issued in June 2020.
Fees for Government Sector (NPS and UPS)
The following are the fees for opening and maintaining PRAN (PRAN) accounts for government sector accounts:
e-PRAN kit (default option): ₹18
Physical PRAN card: ₹40
Annual Maintenance Charge (AMC): ₹100 per account
Accounts with zero balance will not be charged any fees.
Transaction Fee: No charges
Fees for Atal Pension Yojana (APY) and NPS-Lite
PRAN Opening Fee: ₹15
Annual Maintenance Fee: ₹15
Transaction Fee: No charges
Fees for Private Sector (NPS and NPS Vatsalya)
PRAN Opening Fee:
e-PRAN Kit: ₹18
Physical PRAN Card: ₹40
Transaction Fee: No charges
Annual Maintenance Charge (AMC) – Based on Tier I Corpus:
Nil Balance: No charges
₹1 – ₹2,00,000: ₹100
₹2,00,001 – ₹10,00,000: ₹150
₹10,00,001 – ₹25,00,000: ₹300
₹25,00,001 – ₹50,00,000: ₹400
Above ₹50,00,000: ₹500
Key Guidelines
This revised fee is the maximum limit. CRAs cannot charge more than this, but can charge lower or negotiated fees.
AMC fees for private sector accounts are directly linked to the Tier I corpus.
For UPS subscribers (government sector), this fee will be applicable only during the accumulation phase; separate fees will be determined for the payout phase.
If CRAs introduce any new service, the fee will be charged at the actual price and will require PFRDA approval.
All fees must be clearly displayed on the CRAs’ official website and mobile app.
The new rules will impact investors in the form of benefits or minor cost increases. If fees are reduced, a larger portion of the investment amount will go towards investing, resulting in better net returns. However, if fees are increased, long-term returns may be marginally impacted.