Outlook Money
The old pension scheme is only for government employees, while anybody can subscribe to the National Pension System.
OPS allows employees to get a pension without monthly contributions; NPS subscribers must contribute every month until they are 60.
The government bears the entire pension burden under OPS; in NPS, the returns are based on the members' contributions.
NPS subscribers enjoy tax deductions on contributions, whereas OPS members don't have tax benefits as the government bears the costs.
OPS subscribers get a monthly pension after retirement, whereas NPS subscribers invest 40% of the corpus in an annuity plan for pension.
NPS subscribers can withdraw up to 60% of the corpus in a lump sum at retirement; in OPS, they get a pension.
OPS doesn't have reinvestment opportunities; NPS members can reinvest at least 40% of the corpus in annuity plans.
NPS members can make three partial withdrawals before maturity, subject to conditions.
Compiled By Himani Verma