NPS

 NPS

1.    1.    When did the Central Civil Services (Implementation of National Pension System) Rules, 2021 come into effect?

a)    1st January 2004

b)    31st March 2021

c)    1st April 2021

d)    15th August 2021

 

Answer: b) 31st March 2021

2.    Which of the following categories of employees is NOT covered under the NPS Rules, 2021?

a)    Civilian Government servants in Defence Services

b)    Members of the All India Services

c)    Employees appointed after 1st January 2004

d)    Union Territory employees

 

Answer: b) Members of the All India Services

3.    What does the term "Accumulated Pension Corpus" refer to?

a)    Monthly pension payout

b)    Total pension contributions plus interest

c)    Annuity amount received after retirement

d)    The amount transferred to a nominee

 Answer: b) Total pension contributions plus interest

 4.    Which agency is responsible for recordkeeping under the National Pension System?

a)    Reserve Bank of India

b)    Comptroller and Auditor-General of India

c)    Central Recordkeeping Agency

d)    Pension Fund Regulatory and Development Authority

 Answer:  c) Central Recordkeeping Agency

5.    The Annuity Service Provider is regulated by which authority?

a)    Pension Fund Regulatory and Development Authority (PFRDA)

b)    Reserve Bank of India (RBI)

c)    Insurance Regulatory and Development Authority (IRDA)

d)    Securities and Exchange Board of India (SEBI)

Answer: c) Insurance Regulatory and Development Authority (IRDA)

6.    What is the role of the "Trustee Bank" in the NPS?

a)    Collecting and disbursing pension funds

b)    Regulating pension funds

c)    Monitoring pension investments

d)    Providing pension annuities

Answer: a) Collecting and disbursing pension funds

7.    What is the Permanent Retirement Account Number (PRAN) used for?

a)    Identifying an NPS subscriber

b)    Calculating pension benefits

c)    Paying annuities

d)    Managing the pension fund

Answer: a) Identifying an NPS subscriber

8.    Which entity is responsible for investing the pension contributions?

a)    Comptroller and Auditor-General

b)    Pension Fund Regulatory and Development Authority

c)    Pension Fund Managers

d)    Ministry of Finance

Answer: c) Pension Fund Managers

9.    Which of the following employees is NOT eligible for NPS?

a)    Government employees appointed after 2004

b)    Employees in Foreign Service

c)    Casual or daily wage employees

d)    Civil servants in Union Territories

Answer: c) Casual or daily wage employees

10. What is the purpose of the Central Recordkeeping Agency (CRA)?

a)    To manage pension funds

b)    To store and maintain records of NPS subscribers

c)    To issue pension payments

d)    To determine pension eligibility

 

Answer: b) To store and maintain records of NPS subscribers

11. What does "Emoluments" refer to under the NPS rules?

a)    Monthly pension

b)    Basic pay plus dearness allowance

c)    Bonus and incentives

d)    Retirement benefits

 

Answer: b) Basic pay plus dearness allowance

12. Which of the following acts governs the functioning of the NPS?

a)    Pension Fund Regulatory and Development Authority Act, 2013

b)    Insurance Act, 1938

c)    Banking Regulation Act, 1949

d)    Companies Act, 2013

 

Answer:  a) Pension Fund Regulatory and Development Authority Act, 2013

 

13. Who is responsible for registering a new government employee in NPS?

a)    Reserve Bank of India

b)    The subscriber themselves

c)    Head of Office

d)    Union Public Service Commission

 

Answer: c) Head of Office

 

14. How soon should an employee apply for registration under NPS after joining?

a)    Within one month

b)    Immediately upon joining

c)    Within six months

d)    After probation period

 

Answer: b) Immediately upon joining

15. The first contribution of a government servant to NPS should be credited within how many days?

a)    10 days

b)    20 days

c)    30 days

d)    45 days

 

Answer: b) 20 days

16. Who ensures that the employee's registration process in NPS is completed without delay?

a)    Central Recordkeeping Agency

b)    Ministry of Finance

c)    Pension Fund Regulatory and Development Authority

d)    Head of Office

 

Answer: d) Head of Office

17. What happens if an employee's NPS registration is delayed beyond the first salary payment?

a)    The salary is withheld

b)    The contribution is deducted but kept in suspense

c)    The contribution is added with interest once registration is complete

d)    The employee is removed from NPS

 

Answer: c) The contribution is added with interest once registration is complete

18. Which body appoints the Accredited Bank for NPS transactions?

a)    Ministry of Finance

b)    Reserve Bank of India

c)    Pension Fund Regulatory and Development Authority

d)    Comptroller and Auditor-General

 

Answer: c) Pension Fund Regulatory and Development Authority

19. Under NPS, pension contributions are accumulated in which type of account?

a)    General Provident Fund Account

b)    Public Provident Fund Account

c)    Individual Pension Account

d)    National Savings Account

 

Answer: c) Individual Pension Account

20. Which of the following is NOT a function of the Pension Fund?

a)    Receiving pension contributions

b)    Investing pension funds

c)    Directly paying out pension benefits

d)    Managing retirement corpus

 

Answer: c) Directly paying out pension benefits

 

21. Who is authorized to withdraw money for payments under NPS?

a)    Comptroller and Auditor-General

b)    Cheque Drawing and Disbursing Officer

c)    Reserve Bank of India

d)    Central Recordkeeping Agency

 

Answer:  b) Cheque Drawing and Disbursing Officer

 

22. What is the role of the Pay and Accounts Officer in NPS?

a)    Collecting pension contributions

b)    Maintaining records and processing contributions

c)    Paying pension annuities

d)    Issuing Permanent Retirement Account Numbers

 

Answer: b) Maintaining records and processing contributions

 

23. What is the minimum retirement age for withdrawing the Accumulated Pension Corpus under NPS?

a)    55 years

b)    58 years

c)    60 years

d)    65 years

 

Answer: c) 60 years

24. What percentage of the pension corpus must be used to purchase an annuity upon retirement?

a)    25%

b)    40%

c)    50%

d)    60%

 

Answer: b) 40%

25. Which of the following statements is true regarding the National Pension System?

a)    It is a voluntary pension scheme for government employees

b)    It allows full withdrawal upon retirement

c)    It mandates a partial investment in annuities

d)    It applies only to private sector employees

 

Answer: c) It mandates a partial investment in annuities

 

 

26. Which of the following employees are NOT covered under the NPS Rules, 2021? (Select all that apply)

 a) Railway servants

 b) Members of the All India Services

 c) Civilian Government servants in Defence Services

 d) Persons in casual and daily-rated employment

Answer : a, b, d

27. Which entities are involved in managing the National Pension System (NPS)? (Select all that apply)

 a) Pension Fund Regulatory and Development Authority (PFRDA)

 b) Central Recordkeeping Agency (CRA)

 c) Pension Fund Managers

 d) Employees’ Provident Fund Organization (EPFO)

Answer: a,b,c

28. Which of the following statements about the Annuity Service Provider (ASP) are correct? (Select all that apply)

 a) It is a life insurance company

 b) It provides periodic pension payments

 c) It is regulated by the Reserve Bank of India (RBI)

 d) It is empanelled by the PFRDA

Answer: a,b,d

29. What are the roles of the Pay and Accounts Officer in NPS? (Select all that apply)

 a) Processing pension contribution applications

 b) Forwarding subscriber details to the CRA

 c) Issuing monthly pension payments

 d) Ensuring the first contribution is credited within 20 days

Answer: a,b,d

30. Which of the following are key components of the National Pension System (NPS)? (Select all that apply)

 a) Central Recordkeeping Agency (CRA)

 b) Pension Fund Managers (PFMs)

 c) Permanent Retirement Account Number (PRAN)

 d) Employees' State Insurance Corporation (ESIC)

Answer: a,b,c

 

31. Which of the following is NOT an objective of the National Pension System?

 a) Providing retirement income security

 b) Offering a fixed pension amount to all employees

 c) Promoting long-term savings

 d) Ensuring annuity purchase after retirement

Answer: b

32. Which of the following is NOT a function of the Central Recordkeeping Agency (CRA)?

 a) Maintaining subscriber records

 b) Processing pension contributions

 c) Investing pension funds

 d) Allocating PRAN numbers

answer: c

33. Which of the following is NOT a mandatory requirement for NPS registration?

 a) Submission of a registration form

 b) Selection of an annuity service provider at the time of joining

 c) Generation of a Permanent Retirement Account Number (PRAN)

 d) Contribution from both employer and employee

Answer: b

34. Which of these organizations is NOT directly involved in the administration of NPS?

 a) Pension Fund Regulatory and Development Authority (PFRDA)

 b) Employees' Provident Fund Organization (EPFO)

 c) Central Recordkeeping Agency (CRA)

 d) Pension Fund Managers (PFMs)

Answer: b

35. Which of the following does NOT apply to the pension fund managers under NPS?

 a) They are registered under PFRDA

 b) They provide direct pension payouts to retirees

 c) They invest pension contributions in different asset classes

 d) They manage the accumulated pension corpus

Answer: b

36. If a subscriber is on deputation abroad, their pay for NPS contribution is determined based on:

 

A)  Their last drawn salary before deputation

B)  The salary paid by the foreign organization

C)  The government salary they would have received

D)  None of the above

Answer: C) The government salary they would have received

37. Contributions under NPS must be rounded off to:

 

A)  The nearest rupee

B)  The nearest ten rupees

C)  The next higher rupee

D)  The next lower rupee

Answer: C) The next higher rupee

38. If a subscriber is on suspension, their contribution is based on:

 

A)  Full salary

B)  Half salary

C)  Subsistence allowance

D)  No contribution

Answer: C) Subsistence allowance

39. During extraordinary leave without pay, NPS contributions:

 

A)  Are still mandatory

B)  Are optional for the subscriber

C)  Are not made

D)  Are deducted from future salary

Answer: C) Are not made

40. In case of suspension, the government’s contribution is based on:

 

A)  Full salary

B)  The amount of subsistence allowance

C)  Half of the last drawn pay

D)  The decision of the government

Answer: B) The amount of subsistence allowance

41. If the suspension period is later treated as duty, the contribution for that period:

 

A)  Is refunded

B)  Is recalculated and adjusted

C)  Is ignored

D)  Remains unchanged

Answer: B) Is recalculated and adjusted

42. If there is a delay in crediting the contribution to the NPS account, the interest rate applied is:

A)  As per the bank savings rate

B)  As decided by the government for Public Provident Fund deposits

C)  As per the stock market performance

D)  Zero, no interest is applicable

Answer: B) As decided by the government for Public Provident Fund deposits

43. If a delay in contribution is due to administrative lapse, who is responsible?

A)  The subscriber

B)  The government

C)  The responsible official

D)  No one

Answer: C) The responsible official

44. A government employee can retire voluntarily after completing how many years of service?

A)  10 years

B)  15 years

C)  20 years

D)  25 years

Answer: C) 20 years

45. If an employee retires on superannuation, their NPS benefits are governed by:

A)  Pension Fund Regulatory and Development Authority (PFRDA) rules

B)  Central Civil Services Pension Rules

C)  Public Provident Fund Rules

D)  Income Tax Act

Answer: A) Pension Fund Regulatory and Development Authority (PFRDA) rules

46. If a subscriber dies in service without opting for any scheme, their family will get:

A)  Benefits under the Central Civil Service Pension Rules

B)  Lump sum from NPS corpus

C)  No benefit

D)  Provident Fund withdrawal only

Answer: A) Benefits under the Central Civil Service Pension Rules

47. Under NPS, a retired employee can opt to defer their withdrawals:

A)  Yes, as per PFRDA regulations

B)  No, withdrawals must be immediate

C)  Only if the government approves

D)  Only if they have more than 30 years of service

Answer: A) Yes, as per PFRDA regulations

48. Who is responsible for deducting and depositing NPS contributions?

A)  The employee

B)  The Drawing and Disbursing Officer

C)  The NPS Trust

D)  The Bank Manager

Answer: B) The Drawing and Disbursing Officer

49. Contributions made in arrears due to a salary revision are considered:

A)  As per the month in which they are received

B)  For the actual months they pertain to

C)  Exempt from interest calculations

D)  Not allowed under NPS rules

Answer: A) As per the month in which they are received

50. Which body regulates the investment of NPS funds?

A)  Reserve Bank of India

B)  Pension Fund Regulatory and Development Authority (PFRDA)

C)  Securities and Exchange Board of India (SEBI)

D)  Ministry of Finance

Answer: B) Pension Fund Regulatory and Development Authority (PFRDA)

51. In case of deputation outside India, who ensures the NPS contributions are credited?

A)  The foreign employer

B)  The Indian government’s designated authority

C)  The employee themselves

D)  The Indian Embassy

Answer: B) The Indian government’s designated authority

52. What happens to an employee’s NPS account if they resign before retirement age?

A)  They forfeit all contributions

B)  They receive their accumulated corpus as per PFRDA withdrawal rules

C)  They must transfer it to another government scheme

D)  The money is refunded without interest

Answer: B) They receive their accumulated corpus as per PFRDA withdrawal rules

53. If a government servant covered under NPS dies in service, what happens if no eligible family member exists for a pension?

A)  The NPS corpus is forfeited

B)  The amount is credited to the Consolidated Fund of India

C)  The benefits are granted to the legal heirs under NPS withdrawal rules

D)  The contributions are refunded without interest

Answer: C) The benefits are granted to the legal heirs under NPS withdrawal rules

54. What form must a government servant fill out at the time of joining to select pension benefits in case of death or disability?

A)  Form 1

B)  Form 2

C)  Form 3

D)  Form 5

Answer: A) Form 1

55. In case a government servant has no family at the time of joining, when should they submit family details?

A)  After five years of service

B)  As soon as they acquire a family

C)  Before retirement

D)  At the time of resignation

Answer: B) As soon as they acquire a family

56. What must be submitted to claim a disability pension for a child under NPS rules?

A)  A request letter from the family

B)  A Medical Certificate from a Civil Surgeon

C)  An affidavit from a notary

D)  A declaration from the employer

Answer: B) A Medical Certificate from a Civil Surgeon

57. If a subscriber voluntarily retires, when does the NPS pension become accessible?

A)  Immediately

B)  Only after the age of 60

C)  As per PFRDA withdrawal regulations

D)  After 30 years of service

Answer: C) As per PFRDA withdrawal regulations

58. A subscriber who has voluntarily retired can:

A)  Withdraw the full corpus immediately

B)  Continue their NPS account

C)  Only receive a pension after 70 years

D)  Transfer funds to another government scheme

Answer: B) Continue their NPS account

59. Under what conditions can a subscriber's voluntary retirement notice be withdrawn?

A)  Only if the employer allows it

B)  If requested at least 15 days before the retirement date

C)  If submitted within three months of the initial notice

D)  It cannot be withdrawn

Answer: B) If requested at least 15 days before the retirement date

60. Which of the following is NOT a reason for the government to reject a voluntary retirement request?

A)  The employee is under investigation

B)  The retirement will cause administrative inconvenience

C)  The employee has completed 20 years of service

D)  The employee has confidential assignments

Answer: C) The employee has completed 20 years of service

61. Who is responsible for investing the accumulated NPS pension corpus?

A)  The individual subscriber

B)  The Pension Fund Regulatory and Development Authority (PFRDA)

C)  The Ministry of Finance

D)  The Comptroller and Auditor General

Answer: B) The Pension Fund Regulatory and Development Authority (PFRDA)

62. What is the default option for investing NPS contributions?

A)  Fixed Deposit Scheme

B)  Government Bonds Only

C)  As per PFRDA investment guidelines

D)  Stock Market Direct Investment

Answer: C) As per PFRDA investment guidelines

63. If an employee contributes more than the mandatory amount, the excess amount is:

A)  Invested as per their NPS scheme choice

B)  Refunded without interest

C)  Merged with the government contribution

D)  Used for administrative expenses

Answer: A) Invested as per their NPS scheme choice

64. If an official delays crediting NPS contributions due to an administrative lapse, what happens?

A)  The official must pay the loss amount

B)  The employee loses the contribution

C)  No action is taken

D)  The funds are credited without penalty

Answer: A) The official must pay the loss amount

65. Who is responsible for uploading the Subscription Contribution File for NPS contributions?

A)  The subscriber

B)  The Drawing and Disbursing Officer

C)  The Pay and Accounts Officer

D)  The NPS Trust

Answer: C) The Pay and Accounts Officer

66. What is the consequence of a delay in crediting government contributions to the NPS account?

A)  No interest is applied

B)  The employee loses benefits

C)  Interest is applied based on PPF rates

D)  A penalty is imposed on the employee

Answer: C) Interest is applied based on PPF rates

67. If a subscriber is deputed to an international organization (e.g., UN), who regulates their NPS contributions?

A)  The foreign employer

B)  The Indian government and DoPT guidelines

C)  The PFRDA directly

D)  The Indian Embassy

Answer: B) The Indian government and DoPT guidelines

68. Under what circumstances can an employee contribute to NPS during suspension?

A)  If they choose to do so voluntarily

B)  Only if the government mandates it

C)  If they are under criminal investigation

D)  They cannot contribute under any circumstances

Answer: A) If they choose to do so voluntarily

69. If an employee is absent without leave and not receiving salary, what happens to their NPS contributions?

A)  They continue to be deducted from future salary

B)  They stop until the employee resumes duty

C)  The employee is fined

D)  Contributions are transferred to another account

Answer: B) They stop until the employee resumes duty

70. When is the deadline for the Drawing and Disbursing Officer to send NPS contribution details?

A)  10th of every month

B)  20th of every month

C)  Last working day of every month

D)  5th of every month

Answer: B) 20th of every month

71. When should the government remit the NPS contributions to the Trustee Bank?

A)  Within the first 5 days of the next month

B)  On the last working day of the month

C)  At the discretion of the employer

D)  Only when the employee requests withdrawal

Answer: B) On the last working day of the month

72. What is the default option if a subscriber does not make an explicit withdrawal choice upon retirement?

A)  Full lump sum withdrawal

B)  Monthly pension as per PFRDA rules

C)  Government retains the amount

D)  Immediate forfeiture of contributions

Answer: B) Monthly pension as per PFRDA rules

Get Success With Us

"Get Success With Us" is a blog dedicated to empowering individuals and businesses to achieve their personal and professional goals. We provide insightful articles, practical tips, and motivational content to help you navigate challenges, grow your skills, and unlock your full potential. Whether you're looking for strategies to boost productivity, advice on personal development, or expert business insights, our blog is your go-to resource for success in every area of life. Join us on the journey to continuous improvement and discover how to thrive with us! Join www.getsuccesswithus.com

Previous Post Next Post