Anushka Rathod Explains EPF Vs NPS: Best Government Schemes For Retirement Planning

Finance influencer Anushka Rathod shares a smart reminder for salaried employees to start planning their retirement early, especially during the tax-saving season. In her recent reel, she highlights two key government-backed schemes that not only help secure your future financially but also offer attractive tax benefits. With rising living costs, relying solely on savings isn't enough; strategic investing is essential to build a stable post-retirement life.

Two Government Schemes You Should Consider:

Anushka points out two popular options for salaried individuals: the Employee Provident Fund (EPF) and the National Pension System (NPS).

EPF is a mandatory savings scheme where both the employer and employee contribute a portion of the salary. It provides assured returns and builds a substantial retirement corpus over time. On the other hand, NPS is a voluntary scheme that allows individuals to invest in a mix of equity, corporate bonds, and government securities, offering potentially higher returns with long-term growth.

How To Start Investing:

Getting started with these schemes is simple. EPF contributions are automatically deducted from your salary if you are part of an organisation registered under the EPFO. For NPS, you can open an account online through banks or authorized platforms, select your investment mix, and start contributing regularly. Anushka emphasises consistency over timing. Starting early and investing regularly can significantly grow your retirement fund.

Tax Benefits You Shouldn't Miss:

Both EPF and NPS come with tax-saving advantages under the current tax regime. EPF offers deductions under Section 80C, while NPS provides additional benefits under Section 80CCD(1B), allowing extra deductions of up to ₹50,000. These incentives make them highly attractive during the tax-saving season, helping you reduce taxable income while securing your future.

Plan Now For A Stress-free Retirement:

Anushka's advice is simple: don't wait. The earlier you start, the more you benefit from compounding and disciplined investing. By combining EPF's stability with NPS's growth potential, salaried employees can create a balanced retirement portfolio. Planning today ensures financial independence tomorrow, making these schemes essential tools for long-term wealth creation.

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