← Latest news 
NPS unveils Retirement Income Schemes and drawdown options for steadier pension cashflow
Economy
Published on 16 May 2026
Payouts can come monthly while your NPS equity keeps gliding
The PFRDA has introduced Retirement Income Schemes (RIS) and new drawdown options for National Pension System subscribers, aiming for more predictable cashflow and longer corpus life after retirement. RIS is a lifecycle scheme with an annual equity glide path, cutting equity exposure from 35% at 60 to 10% at 75, then holding it till 85. Retirees can opt for periodic withdrawals from the corpus while continuing mandatory annuity payouts, but PFRDA says payouts are not guaranteed and remain market-linked.
- RIS includes an equity glide path from 35% at 60 to 10% by 75
- Equity stays at 10% from 75 through age 85 under RIS
- Drawdowns can be monthly quarterly or annually from the lump sum portion
- Withdrawals can run alongside mandatory NPS annuity payouts
- No guaranteed fixed payout: benefits remain subject to market risk
- Retirees can switch pension fund once every two financial years
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times