How to Apply for National Pension System: Step-by-Step Guide

To open a National Pension System (NPS) account you need an Aadhaar or PAN, a bank account with a cancelled cheque, a scanned photograph and signature, and nominee details. You register through the eNPS portal linked from npstrust.org.in, choose a KYC route, pick Tier I (or Tier I plus Tier II), select a pension fund manager and investment approach, make an initial contribution, complete eSign, and receive a Permanent Retirement Account Number (PRAN) for life. NPS is the PFRDA-regulated, market-linked retirement scheme that is the parent of this walkthrough; this guide covers every field and decision in the online and offline routes, not a restatement of eligibility (in short: any Indian citizen aged 18–70, resident or NRI, with one account per person).

Two decisions to make before you start

NPS makes you choose two things at registration, and both shape your account:

• Tier I only, or Tier I plus Tier II? Tier I is the mandatory, locked retirement account with tax deductions; Tier II is an optional, no-lock-in savings add-on. Tier II cannot be opened without an active Tier I.
• Active Choice or Auto Choice? Active Choice lets you set the equity, corporate bond, government security and alternative-asset weights yourself; Auto Choice shifts the allocation automatically with age. Pick Auto Choice if you do not want to manage allocation.

Have your Aadhaar or PAN, bank details with a cancelled cheque, a scanned photograph and signature, and nominee details (up to three, with percentage split) ready before you begin.

Route A: Applying online through eNPS

This is the fastest route and needs no branch visit.

1. Open the eNPS portal linked from npstrust.org.in and select Registration → Individual Subscriber.
2. Choose your KYC route, Aadhaar-based OTP verification, PAN with bank KYC, or DigiLocker. If you use the PAN route, pick your Point of Presence (PoP) bank, which runs the bank-KYC check.
3. Select the account type: Tier I only, or Tier I and Tier II together. Remember Tier II needs Tier I.
4. Enter personal and employment details, exactly as on your KYC document.
5. Add nominee details, up to three nominees, with the percentage allocation for each adding to 100.
6. Choose your pension fund manager and investment approach: Active Choice (you set the asset weights) or Auto Choice (age-based allocation).
7. Upload your photograph and signature in the required format, then check every field on the preview screen.
8. Make the initial contribution. A minimum of Rs 500 for Tier I and Rs 1,000 for Tier II, through net banking, UPI or debit card.
9. Complete eSign with Aadhaar OTP, or print and courier the physical form to the Central Recordkeeping Agency (CRA) within the stated window if you cannot eSign.
10. Note down the PRAN generated on completion. This number stays with you for life, across employers and states.

Route B: Applying offline through a Point of Presence

Use this if you prefer in-person KYC or do not want to register online.

1. Visit any Point of Presence — Service Provider (PoP-SP) branch. Most banks and several non-bank financial companies are registered PoPs.
2. Fill in the Common Subscriber Registration Form (CSRF) and attach KYC documents, a photograph and a cancelled cheque.
3. Hand over the initial contribution of at least Rs 500 for Tier I.
4. Collect the acknowledgement and wait for the PRAN kit containing your PRAN card and login credentials.

After you apply

• Keep the account active: Tier I needs a minimum of Rs 1,000 in each financial year. Fall below it and the account is frozen, reactivate by paying the minimum plus the prescribed penalty through your PoP or the eNPS portal. The invested corpus is not forfeited.
• Tier II contributions after opening are in multiples of Rs 250, with no annual minimum while Tier I is active.
• Claim the tax benefit: Tier I contributions qualify for up to Rs 50,000 under Section 80CCD(1B), over and above the Rs 1.5 lakh Section 80C limit; employer contributions are deductible under 80CCD(2). Since 80CCD(1B) sits under the old tax regime, confirm your position with a tax adviser if you have moved to the new regime.
• Change nominee or scheme preference any time through the CRA login or your PoP.

Common application mistakes to avoid

• Trying to open Tier II alone, it always requires an active Tier I.
• Registering a second account, only one NPS account per person is allowed; a second registration is rejected against your PAN or Aadhaar.
• Nominee percentages not totalling 100, which stalls submission.
• A mismatched name between KYC document, bank account and PAN, which fails the KYC check.
• Leaving the initial contribution unpaid. The account is not activated until it is made.

Quick FAQ

Who cannot open NPS? Overseas Citizens of India, Hindu Undivided Families and other non-individual entities cannot; and no one under 18 or over 70.

Is NPS return guaranteed? No. It is market-linked, and returns depend on the funds you choose. For eligibility, Tier I vs Tier II differences and withdrawal rules, see the parent National Pension System guide.