Planning to Transfer EPF Balance to NPS Tier-1 Account? Here is What You Should Do

Everyone wants to invest in such companies, bonds, shares or assets which give them good returns. In 2015, the Union government gave people the option to transfer the balance of the EPF to NPS tier-1 account. Under some provisions, the Pension Fund Regulatory and Development Authority allows EPF subscribers to transfer their funds to an NPS account. How to transfer EPF balance to NPS Tier-1 account Step 1: Go to NPS portal to open an NPS Tier-1 account via Points-of-Presence, banks or other institutions identified with PFRDA Step 2: Get an application submitted through the existing employer to initiate the fund transfer. The request has to be submitted to the EPFO Step 3: Then, the EPFO will start the process to transfer of balances into the EPF account Step 4: The EPFO will issue a cheque or draft on behalf of the NPS Nodal Office, if the person is a government employee, or on behalf of the PoP collection account, if the person works with a private company Step 5: The Nodal EPFO Office will release a report to the employer specifying the amount being transferred to the employee’s NPS tier 1 account According to Good Returns, over the last 10 years, the return offered by NPS has been about 10 per cent, if a person contributes 50 per cent of his NPS investment contribution and 50 per cent of government securities.