NPS just got more flexible: Withdraw up to 80% of your savings

Business Dec 18, 2025

Big update for private sector subscribers with a National Pension System (NPS) account: you can now take out up to 80% of your total savings when you retire, instead of the old 60%.
The rest still goes into buying an annuity (that's your monthly pension).
Plus, you can now stay in NPS until age 85—so there's more time to build your nest egg.

More ways to access your money—and higher withdrawal limits

There's a new "systematic unit redemption" option, letting you withdraw in parts (like mutual funds), and you get four chances before turning 60 (up from three).
If your total balance is ₹8 lakh or less, you can now withdraw it all—previously only up to ₹5 lakh.
Heads-up: tax rules haven't caught up yet, so only 60% of withdrawals are tax-free for now.