Pension and Social Security MCQ — 2 Practice Questions with Answers

Q1. With reference to the Retirement Income Scheme and Drawdown Options under the National Pension System launched by PFRDA through its circular dated 15 May 2026, consider the following two statements: 1. Under the new rules, subscribers are permitted to withdraw a maximum of only 40 per cent of their accumulated NPS corpus as a lump sum, with the balance compulsorily used to purchase an annuity. 2. The Pension Fund Regulatory and Development Authority has reduced the maximum age for continuation of an NPS account from 75 years to 70 years under the revised framework. Which of the statements given above is/are correct?

Q2. Assertion (A): The Pension Fund Regulatory and Development Authority through its circular dated 15 May 2026 launched the Retirement Income Scheme and Drawdown options under the National Pension System.\nReason (R): The new framework permits subscribers to withdraw up to 80 per cent of their corpus and extends NPS account continuation up to age 85.