NPS KFintech - State Autonomous Body NPS

State Autonomous Body (SAB) can adopt NPS only if the concerned State Government/UT have adopted the NPS architecture and initiated implementation of the same. The investment pattern and scheme preference options chosen by the State Government will be applicable to respective SABs of the State.

What is State Autonomous Body (SAB)?

The National Pension Scheme (NPS) was introduced by the Central Government, and simultaneously, came into effect from January 1, 2004. The Pension Fund Regulatory and Development Authority (PFRDA) was chosen as the regulatory body after which multiple state governments started to implement the same in their regions, however with different effective dates.

An autonomous body is a government organisation that serves the public and, at the same time, is bound by the authority that has established the institution. In the case of the SAB NPS or the State Autonomous Body NPS, as the name suggests, it is an organisation that can join under the National Pension Scheme and become a part of the Central Government’s National Pension Scheme.

In the NPS registration, a government employee starts contributing towards his/her pension from the monthly salary and an equivalent amount is also contributed by his/her employer.

Eligibility and Registration Process for SAB

There are specific eligibility and registration criteria under the State Autonomous Body NPS for any organization that wants to join the Central Government’s National Pension System. The organization can follow the steps mentioned below in order to check the eligibility and register for the NPS registration SAB:

At the very onset, the SAB will have to get a confirmation letter from the state government.
In order to coordinate with the KFintech (because it is mandatory to link an individual’s NPS account with his or her PAN card detail and Aadhaar card details), the SAB needs to have a designated and physical office.
A consent letter from the SAB is also required for the documentation.
The SAB also needs to submit a duly authorised Master Creation form.
SAB NPS will also be required to identify the offices that will work as Oversight Authority.

FAQs

Nodal Office

Which people can come under NPS?

Except for the armed forces, all the Central Government employees, including the people who are working under autonomous bodies that come under the Central Government, have been included in this scheme from 1st January 2004.

Is NPS also applicable for SABs?

The NPS infrastructure has also been adopted and implemented by multiple state governments. The employees of the corporations, State PSUs and workers of the autonomous bodies have been included in this new pension scheme.

Subscriber

What is withdrawal or exit for subscribers?

When an individual employee closes his or her pension account under the National Pension Scheme, it is termed as an exit for the subscriber contribution file or the NPS account holder.

Additional Information

Is linking your PAN and Aadhaar with your NPS account mandatory?

As per the rules of the Central Government, the linking of both Aadhaar and PAN cards has become mandatory, not only for NPS account but in general as well.

As per procedure approved by PFRDA, a State Autonomous Body (SAB) can adopt NPS only if the concerned State Government/UT have adopted the NPS architecture and initiated implementation of the same. The investment pattern and scheme preference options chosen by the State Government will be applicable to the registered SABs of the respective State.

Various State Governments have adopted NPS architecture and implemented NPS for the employees of State Government as well as for the employees of Autonomous bodies, State PSUs, Corporations, Boards, Nigams etc. with effect from different dates.

Registration

Submission of letter of Consent (LoC): SAB’s are required to submit the “LoC” to the Pension Fund Regulatory and Development Authority (PFRDA), B-14/A,Chatrapati Shivaji Bhawan, Qutab Institutional Area, Katwaria Sarai, New Delhi-110016 with a copy to below mentioned entities
Central Recordkeeping Agency, KFintech, Tower – B, Plot No 31 & 32 , Selenuim Building, Financial District, Nanakramguda, Gachibowli, Hyderabad – 500 032,Telangana, India.
National Pension System Trust, 3rd Floor, Chatrapati Shivaji Bhawan, B-14/A, Qutab Institutional Area, New Delhi – 110016.
Head of the concerned Department, if any.
Nodal Officer designated by respective State Government, if any.
Submission of Master Creation Form (MCF): SAB has to submit MCF to CRA during the registration process

Registration of Nodal offices

Directorate of Treasuries & Accounts (DTA) functions as oversight mechanism has to submit Form N1 for DTA registration under respective SAB.
District Treasuries Officers (DTO) performs the day to day activities on behalf of the subscribers have to submit Form N2 for DTO registration under respective SAB.
Drawing and Disbursing Offices (DDO) is responsible for collection and forwarding of Subscriber details like registration, maintenance; contribution etc. has to submit Form N3 for DDO registration under respective SAB.

Please Note: SABs with single office has to provide all forms and will be registered as DTA cum DTO cum DDO office.

NPS Registration SAB