Centre urges shopkeepers and small traders to join NPS-Traders pension scheme

The Centre has appealed to shopkeepers, small traders and self-employed people across the country to join the National Pension Scheme for Traders (NPS-Traders). The Ministry of Labour and Employment announced the scheme in a social media post on Monday, September 28.

Government employees have several kinds of schemes, so most people lean towards securing a government job. The question of whether there is any scheme for those who depend entirely on their own work, or who are small traders and shopkeepers, has often been raised. This scheme is meant for them.

Under the scheme, a pension of at least Rs 3,000 a month will begin after the age of 60. The government says those who generally do not get the benefit of government pension schemes will get financial security in old age through it.

Shopkeepers, retail traders and self-employed people can benefit from the scheme. They can apply online or register at the nearest Common Service Centre (CSC). Certain conditions must be met to apply.

The first condition is that the applicant must be between 18 and 40 years of age. The second is that the annual turnover of the business must be below Rs 1.5 crore. The third is that the business must be registered. The fourth is that the person must not be enrolled in another formal pension scheme such as the EPFO.

It is a voluntary, contributory pension scheme, so joining is optional. Beneficiaries will deposit a fixed amount every month and the Central government will deposit an equal amount. The monthly contribution ranges from Rs 55 to Rs 200 depending on age. Once a beneficiary turns 60, they will receive a monthly pension of at least Rs 3,000.