India Updates NPS and EPF Rules to Ease Withdrawals and Increase Flexibility

Recent rule changes in India's National Pension System (NPS) and Employees' Provident Fund (EPF) aim to enhance flexibility and simplify withdrawals. NPS now allows up to 80% lump sum withdrawal by reducing mandatory annuity purchase, with increased equity investment limits from 2025. EPFO has streamlined withdrawal categories and introduced a single 12-month minimum service period for partial withdrawals, permitting access to both employee and employer contributions, with up to 100% withdrawal allowed for specific needs after one year of service.