(NPS) subscribers will see a revised Point of Presence (PoP) charge structure from 1 October 2026, with the Pension Fund Regulatory and Development Authority (PFRDA) bringing all schemes under NPS and NPS Lite within a standardised framework.
In a circular dated 28 August 2026, PFRDA prescribed a one-time onboarding charge of ₹200 for each Permanent Retirement Account Number (PRAN) opened through a PoP. Subscribers will also face an annual charge of 0.20% of assets under management (AUM), except where an account is classified as dormant.
The latest framework replaces PFRDA’s earlier March 2026 circular from 1 October.
₹200 NPS onboarding fee will be recovered in quarterly instalments
The ₹200 onboarding charge will not be taken from a subscriber’s account as a single deduction. Instead, the Central Recordkeeping Agencies (CRAs) will recover the amount by cancelling units, at the rate of ₹50 per quarter.
The amount recovered will be paid to the PoP in the month following the quarter in which the subscriber completes onboarding.
PFRDA has also provided for a lower onboarding charge of ₹100 for subscribers who complete the process entirely through a digital, non-face-to-face route. However, the ₹100 charge is not an automatic benefit for everyone who opens an NPS account online. The circular says its applicability will depend on the terms determined by PFRDA at the time of the PoP’s registration and subsequently.
The revised framework also provides for an annual PoP charge of 0.20% of AUM. This will be adjusted through the NAV and paid to the PoP on a quarterly basis.
For example, an NPS account with an AUM of ₹5 lakh would incur a charge of ₹1,000 a year at the prescribed 0.20% rate, before GST and other applicable taxes. The charge would be reflected through the rather than as a separate annual payment.
PFRDA has separately prescribed a minimum contribution of ₹250 when an NPS account is opened. Subsequent contributions can be as low as ₹10.
Using e-NPS later will not erase PoP charges
The revised rules make an important distinction between opening an NPS account through e-NPS and simply using e-NPS or D-Remit to make later contributions.
A subscriber who is onboarded through e-NPS and subsequently contributes through e-NPS or D-Remit will not be liable for PoP charges.
The position is different for someone who originally opened the NPS account through a PoP. Even if that subscriber subsequently uses e-NPS or D-Remit to make contributions, the applicable PoP charges will continue to apply.
Therefore, making a contribution through an online channel does not by itself remove PoP charges. The original onboarding route remains relevant.
PFRDA has also excluded dormant accounts from PoP charges. An account is considered dormant when, after a contribution in a quarter, there is no contribution for four consecutive quarters, as identified at the end of each quarter. The determination is made using accounts linked to a unique PAN across CRAs.
This means subscribers with inactive NPS accounts meeting the regulator’s definition of dormancy will not be subject to the annual PoP charge during the dormant period.
PFRDA’s October overhaul replaces the March 2026 fee framework
The August circular marks a broader change in how PoP charges are structured across NPS and NPS Lite. PFRDA has removed the earlier distinction between common schemes and schemes introduced under the Multiple Scheme Framework (MSF), alongside a separate framework issued on 28 August for classification and presentation of NPS schemes.
The revised PoP structure will apply from 1 October 2026, with CRAs implementing deduction of the charges from the third quarter of financial year 2026-27.
There is, however, an important exception. The revised charge structure does not cover PoP charges for schemes covered under Regulation 4A of the Exit Regulations. has said charges for such 4A schemes will continue to be governed by their respective guidelines and circulars.
PFRDA has also directed PoPs to prominently display their revised charges on their websites. Subscribers should therefore be able to check the applicable fee structure before using PoP services.