Zerodha invests $2 million in NPS platform Pensionbox

zerodha has partnered with retirement-focused fintech Pension Box to grow distribution and develop products for the National Pension System (NPS), aiming to meet the growing interest in retirement savings among salaried employees.

Zerodha has invested $2 million in the Bengaluru-based fintech to support its expansion, sales and marketing efforts. 

Earlier, in 2021, the company raised $260,000 in a pre-seed round from 100x.VC to develop its product.

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The partnership will bring together Pension Box’s corporate NPS technology and Zerodha’s wide customer reach and brand. The companies plan to co-develop products, focusing on employer-led NPS adoption, where payroll integration and automated employee contributions will drive growth.

“While the employee provident fund (EPF) is mandatory for around 7 lakh companies, only about 22,000 do NPS, indicating significant growth potential. The digital NPS platform can integrate with corporate payroll software, making the process seamless,” said, Kuldeep Parashar, cofounder, Pensionbox.

Currently, only 22,000 private companies are registered with the NPS. Although this number is increasing, it is still much smaller compared to the 700,000 companies that provide provident fund benefits to their employees, Parashar added.

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Founded in 2021 by brothers Kuldeep Parashar and Shivam Parashar, PensionBox specializes in digitizing pension onboarding and management for employers and individuals, with a focus on corporate NPS adoption. 

It has created digital workflows that link NPS contributions with HR and payroll systems, making onboarding and administration easier for companies.

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