The National Pension System (NPS) is a government-sponsored pension scheme that helps you build a retirement corpus through regular contributions. Key Features of NPS: - Tax benefits under Section 80C and Section 80CCD(1B) - Choice of investment options (Auto, Active, Conservative) - Partial withdrawal allowed for specific needs - Mandatory annuity purchase at retirement How NPS Returns are Calculated: - Monthly/yearly contributions accumulate over time - Returns based on chosen investment option - Compound interest grows your corpus - Final amount split between lump sum and annuity Factors Affecting NPS Returns: 1. Contribution amount 2. Investment duration 3. Expected rate of return 4. Investment allocation 5. Frequency of contribution