Best card for NPS Contribution

[Waynoway]

Last update: 11-01-2025

• HDFC : Milestone benefits only ✅
• HSBC Cashback: 0% ✅
• AMEX Gold Charge: 1 MR/50 + Milestone benefits ✅
• AMEX SmartEarn/ MRCC/Platinum Travel: Milestone benefits only ✅
• AU Zenith: Milestone benefits only ✅
• AU Zenith+: 1% + Milestone benefits ✅
• SC Smart: 2% ✅
• SC Ultimate: 2% (Govt. transaction) ✅
• ICICI AmazonPay: 1%
• Yes Marquee: 1.25% (Special MCC) ✅

Note: Mostly other cards from same bank works with varied reward rate and similar rule of exclusion.

For NPS payments MCC: 9399 (Govt. Services)

Do check both payment gateways Razorpay and Billdesk (above values are according to Billdesk gateway).

Also, do share missing cards rewards that you tried, will update accordingly.

PG Charges (with GST) on NPS website/app:

• VISA, Mastercard & AMEX = 0.885% (0.75% + GST)

Note: Above are for TIER 1. TIER 2 disabled credit card payments (based on latest available options).

If in doubt, always try test transaction and confirm with support. Things may chage any time, proceed with caution.

 

[IKFLRT]

Is NPS an MCC where wealth DC would give reward points?

it comes under government transaction which most of them doesn't give rewards

Wealth DC gives rewards on NPS payment.

 

[b4bhar]

NPS contribution by employer is exempted under Section 80CCD(2) in new tax regime. Employee contribution through salary deduction or voluntary contribution is not eligible.

Yes, but that employer pays directly, right? We cannot pay or can we?

 

[roygarg]

Yes, but that employer pays directly, right? We cannot pay or can we?

No you cannot. Its deducted from salary and paid by employer.

 

[_deb_]

Yes, but that employer pays directly, right? We cannot pay or can we?

No. Already mentioned that in my previous post.

Employee contribution through salary deduction or voluntary contribution is not eligible.

 

[b4bhar]

No. Already mentioned that in my previous post.

yes, i'm trying to understand why are still people trying to invest in NPS and looking for a way which gives them rewards/ cb

 

[nh124001]

yes, i'm trying to understand why are still people trying to invest in NPS and looking for a way which gives them rewards/ cb

not for tax exemption, but for investment also NPS is a very disciplined form of mutual fund(kind of you can say) and we can invest with a credit card through which you can get milestone MR points + some chillar rewards using it's bill payment i think still it's a win win situation.

 

[_deb_]

yes, i'm trying to understand why are still people trying to invest in NPS and looking for a way which gives them rewards/ cb

Some organisations especially PSUs have NPS for the employees instead of EPF.

 

[vishalgupta2]

Some organisations especially PSUs have NPS for the employees instead of EPF.

My previous organization used to allow employees to opt for Employers contribution to NPS (salary structire wqs teqeked to reduce salary a little to conteivute to NPS). As this contributionis not reported on your Form 16, it's totally tax free.

The biggest problem with NPS is you can't withdraw the whole amount, but in this case, my thought was the amount that I will have to buy Annuity for was mostly coming from Tax so made a good deal for me.

Just for clarity, we had both NPS and PF and we could contribute to both.

 

[_deb_]

My previous organization used to allow employees to opt for Employers contribution to NPS (salary structire wqs teqeked to reduce salary a little to conteivute to NPS). As this contributionis not reported on your Form 16, it's totally tax free.

The biggest problem with NPS is you can't withdraw the whole amount, but in this case, my thought was the amount that I will have to buy Annuity for was mostly coming from Tax so made a good deal for me.

Just for clarity, we had both NPS and PF and we could contribute to both.

My employer allows the same and I have opted for it (EPF and voluntary NPS). The amount (10% of Basic salary) is instead credited to my NPS account.

As this contributionis not reported on your Form 16, it's totally tax free.

It is reported in Form 16 under the section 80CCD(2) and yes, it is tax free 😃

 

[b4bhar]

My employer allows the same and I have opted for it (EPF and voluntary NPS). The amount (10% of Basic salary) is instead credited to my NPS account.

My employer doesnt provide the employer's contribution for NPS facility. I know PF gets deducted monthly. But, what is this EPF and does it give any tax benefit in the new regime?

 

[Anupam222001]

I have paid 50k in nps tier 1 by using RBL indian oil xtra credit card as upi transaction, payment gateway was razorpay, will it fetch the reward points? If not, will it levy any transaction fee for this payment?

 

[helloworld]

My employer doesnt provide the employer's contribution for NPS facility. I know PF gets deducted monthly. But, what is this EPF and does it give any tax benefit in the new regime?

EPF = NPS = Get money after retirement
Gratuity = Get money after leaving current company (if worked n years)
PPF = Get money after 16 years
Tax Saver FD = Get money after 5 years
SSY = Get money after girls 18 years


Each has their own purpose, choose wisely.

 

[vishalgupta2]

EPF = NPS = Get money after retirement
Gratuity = Get money after leaving current company (if worked n years)
PPF = Get money after 16 years
Tax Saver FD = Get money after 5 years
SSY = Get money after girls 18 years


Each has their own purpose, choose wisely.

EPF and NPS are not same, the biggest difference is EPF you can withdraw the whole money while in NPS only 60% (maybe 70, I am not sure) can be withdrawn, rest has to be invested in Annuity.

 

[helloworld]

EPF and NPS are not same, the biggest difference is EPF you can withdraw the whole money while in NPS only 60% (maybe 70, I am not sure) can be withdrawn, rest has to be invested in Annuity.

its not about how much investment or withdraw, its about period of investment.. there are several differences, just to simplify the investment methods for long term in stable part.

 

[vishalgupta2]

its not about how much investment or withdraw, its about period of investment.. there are several differences, just to simplify the investment methods for long term in stable part.

Being not able to withdraw a large chunk of investment is a major difference not a small nuance and I think with that the 2 investments can't be compared or called similar

Also, since there are no tax benefits of NPS in new regime, I don't see any value in investing (for most people) unless it's tax free investment as employers contribution.

 

[b4bhar]

Is there any tax benefit for EPF in the new regime?

 

[vishalgupta2]

Is there any tax benefit for EPF in the new regime?

Yes, the employer part is tax free upto 2.5LPA

 

[b4bhar]

Yes, the employer part is tax free upto 2.5LPA

so, employer can pay NPS, EPF along with the usual PF which they give monthly? is this correct?

 

[whysoserious]

Most of these instruments make sense as long as they help your tax benefits. However, given the deteriorated PPF interest trend of the last years, it hardly lives up to the inflation rate; forget about beating it.

 

[helloworld]

Being not able to withdraw a large chunk of investment is a major difference not a small nuance and I think with that the 2 investments can't be compared or called similar

Also, since there are no tax benefits of NPS in new regime, I don't see any value in investing (for most people) unless it's tax free investment as employers contribution.

my answer is generalized statement for how long investments meant to keep in various schemes (not about pros or cons or similarities)..

this is the actual question..

But, what is this EPF and

again, there are some differences and rules but the answer is to simplify different tax schemes and idle duration to keep, can u withdraw (forget about how much, just can u withdraw) before retirement for NPS and EPF.