NPS Multiple Scheme Framework (MSF) 2026

Understanding the Multiple Scheme Framework (MSF)

Multiple Scheme Framework is a regulatory framework of the Pension Fund Regulatory and Development Authority (PFRDA), implemented on 1 October 2025. It allows eligible non-government subscribers to maintain and operate a variety of customised schemes on one PRAN (Permanent Retirement Account Number) through Central Recordkeeping Agencies (CRAs).

Under the Multiple Scheme Framework, eligible NPS subscribers can invest in different schemes using the same PRAN. Pension funds must obtain PFRDA approval before launching MSF schemes.

On 28 August 2026, PFRDA issued a standardised framework for classifying and presenting NPS schemes. Under it, Multiple Scheme Framework schemes are classified into five categories, A to E, based on the allowed equity exposure. A later PFRDA circular of 2 November 2026 changed the naming, so a scheme name now combines the pension fund, "NPS" and the pension fund's own scheme name.

For Tier II schemes, the name ends with "Tier II", while the applicable category appears alongside the scheme name. Intermediaries must implement the framework by 1 December 2026.

MSF Compared with Lifecycle Based and Active Choice

The table below compares Multiple Scheme Framework with the other scheme types that a subscriber may already know.

Who Can Use the Multiple Scheme Framework

The Multiple Scheme Framework (MSF) is available to NPS accounts for eligible non government subscribers, including those under the All Citizen Model and the Corporate Sector. The 2026 framework continues to cover MSF schemes launched by pension funds with PFRDA approval.

The framework of 28 August 2026 does not apply to NPS accounts under the Government sector. Government subscribers continue to follow the investment choices and scheme structure applicable to their sector.

How Many Schemes Can Be Held Under MSF

The PFRDA circular of 28 August 2026 does not state an overall limit on how many Multiple Scheme Framework schemes one subscriber can hold. It allows each pension fund to offer up to two schemes in each category under each tier.

The schemes available to a subscriber depend on the applicable category, tier and PFRDA rules. A subscriber may hold multiple MSF schemes under the same PRAN but may hold only one scheme under Lifecycle based (Auto Choice) or Active Choice at a time. Each scheme sits in its own account under the PRAN.

Minimum and Maximum Deposits Under MSF

The PFRDA circulars on the Multiple Scheme Framework do not set separate deposit limits for MSF schemes. The minimum amounts differ by tier. There is no upper limit on the amount deposited or on the number of contributions in a year. Only the Tier I account has a minimum yearly requirement, and the account is frozen until the requirement is met. How the minimum and maximum limits work in Tier I and Tier II accounts are described in the following table.

Note: The minimum contribution requirements are as per PFRDA for the All Citizen Model and the Corporate Model.

What Can Be Compared Before Choosing a Scheme

Before a subscriber selects a pension fund, compare these details:

• Scheme name and pension fund name
• Launch date
• Historical returns
• Benchmark and comparative benchmark NPS returns
• Applicable charges
• Riskometer
• Assets under management (AUM) as of the last day of the previous month

MSF Categories A to E

The five categories and their equity ranges are listed below.

Note: MSF categories and equity ranges are as per the PFRDA circular dated 28 August 2026.

A higher equity range means bigger swings in value. A Category A scheme can fall sharply in a market decline, while a Category E scheme moves less but may earn less. The age, the years left to retirement and the risk the subscriber can sustain decide which category is suitable. TheNPS calculator may help to test different scenarios.

Example: Holding Three MSF Schemes Together

Suppose a subscriber holds three MSF schemes, one each in Category A, Category C, and Category E, and the account value is split 50%, 30%, and 20% among them. Note: This is just for illustrative purposes and should not be considered as a piece of advice.

The overall equity share moves as markets move and as each scheme changes its mix, so it needs a regular review. Fewer and simpler schemes are easier to track than many.

Which Pension Funds Offer MSF Schemes

As per NPS Trust, 20 MSF schemes were offered by 10 pension funds, with about ₹1,068 crore of assets. The table lists each scheme with its equity range.

Note: Names and ranges can change as pension funds rename and reclassify their schemes under the 28 August 2026 framework. The NPS Trust page shows the latest figures.

Many of these schemes cover wide ranges, such as 0% to 100%, that do not fit a single category. This is why the new categories help a subscriber compare schemes. It may also help evaluate whether NPS is a good investment before allocating a large share to any one category.

Costs Under the Multiple Scheme Framework

The applicable charges depend on whether the subscriber invests through a Point of Presence (PoP) or directly. The table below shows the charges for non government schemes under the framework.

Note: The charges are as per the PFRDA framework of 28 August 2026. The revised PoP charge structure takes effect from 1 December 2026, after the date was moved from 1 October 2026.

The amount depends on the service route and the pension fund. Under the PoP charge circular, the one time onboarding charge is ₹200 per PRAN, or ₹100 where onboarding is fully digital, and the annual PoP charge is 0.20% of AUM.

Vesting Period and Switching Rules

Switching between NPS schemes is permitted under PFRDA's August 2026 framework, subject to the applicable conditions and restrictions, including the vesting rule for MSF schemes explained below.

1. Vesting Period for All Citizen Model Subscribers

   For Tier I accounts under the All Citizen Model, the vesting period is 15 years or until age 60, whichever is earlier, subject to scheme rules and exit regulations.

   Tier II accounts do not have the same mandatory vesting requirement. Subscribers should check the relevant scheme documents for the applicable vesting period and exit conditions.

2. Vesting Period for MSF Schemes

   Schemes launched under the 2025 MSF circular carry a minimum vesting period of 15 years for fresh contributions. During that time, free switching between two MSF schemes is not allowed, but a move to a common scheme is permitted. Free switching between MSF schemes opens after 15 years or at normal exit.

   The circular of 28 August 2026 does not state a separate vesting period for the Multiple Scheme Framework. It says a scheme change does not affect the vesting period, which continues from the original account opening date.

3. Switching Between NPS Schemes

   Under PFRDA's 28 August 2026 framework, subscribers may switch between MSF, Lifecycle based, Active Choice and NPS Sanchay schemes, subject to the applicable conditions.

   A subscriber can submit a maximum of two requests per account per financial year for a pension fund change, scheme change, or a combination of both. A single request that combines both changes counts as one request.

   Scheme changes for accounts held with corporate employers remain subject to the restrictions specified in the relevant PFRDA directions. Subscribers should confirm the permitted options and procedures with their CRA or pension fund before making any changes.

How Consolidated Reporting Works Across Schemes

Multiple schemes remain linked to the same PRAN. One PRAN can hold several accounts, and each account holds one scheme. The holdings statement on the CRA platform lists the schemes separately. This becomes essential during NPS balance check because the PRAN remains the main subscriber identifier. Multiple schemes under one PRAN should not be mistaken for multiple NPS registrations.

Does MSF Change Exit, Annuity or Withdrawal Rules?

The applicable NPS exit and withdrawal provisions continue to govern each account. The minimum annuity requirement is the same as for any other NPS account.

A normal scheme change does not reset the existing vesting period, which continues to be calculated from the original account opening date. A merge moves an investment into another scheme, called the Target Scheme. The merged investment then follows the Target Scheme's conditions, including its vesting period, charges and withdrawal provisions.

Tax on MSF Investments

The tax rules for contributions are the same for Multiple Scheme Framework as for any other NPS investment. The deduction depends on the contribution to the NPS account and the tax regime, and not on the scheme chosen.

How to Opt Into the Multiple Scheme Framework

Eligible NPS subscribers can opt for the Multiple Scheme Framework (MSF) through the applicable Central Recordkeeping Agency (CRA) or authorised NPS platform, subject to availability for their account. A subscriber without a PRAN must first open an NPS account. The screen names can differ between CRAs, but the process generally follows these steps.

1. Log in to the applicable CRA or authorised NPS platform.
2. Open the investment or scheme selection section.
3. Select MSF, where available.
4. Choose the required MSF category.
5. Compare the schemes shown, including returns, benchmark, charges, riskometer and AUM.
6. Select thepension fund and its scheme.
7. Where more than one scheme is chosen, enter the share of the contribution for each scheme.
8. Submit and complete the required authentication.