Mutual fund and NPS both are pension plans which can be subscribed by general public to meet their financial needs and regular income after retirement. Both are similar in that they manage relatively large pools of assets and helps individuals to fund their retirement, serve different clients. This paper describes the comparison between Mutual Funds Pension Scheme and National Pension Scheme along with different factors (liquidity, flexibility, assets class choice available, restriction on choice of pension fund manager, cost, risk and return, tax exemptions, maximum permissible equity exposure, maximum age entry etc.). Data is collected through secondary sources. After a lot of discussion on Mutual Fund Schemes and National Pension Schemes, finding revealed that both are pension plans have little dissimilarity because of above discussed factors. Sometimes mutual fund schemes overcome to NPS because of highly cost effective in terms of cost per account to individual shareholder.