Let me begin by saying that I am not an authority on the subject nor am I completely proficient in it. But as a student of the Scriptures, I have been in "conversation" with some of the scholarly literature on the subject and hope to offer a simple unpacking of the key ideas and why they matter.
Part 1: "Re-thinking Judaism"
To begin to understand the "New Perspective on Paul" (or "NPP"), we must begin to rethink our understanding of Judaism. Judaism, as seen in the Old Testament, is often dismissed by Christians as a religion of cumbersome rituals and arbitrary rules-- in short, a religion of "legalism."
But consider this: When did God give Israel the Law? Was it before He saved them from Egypt or after? Exodus tells us the Law was given after they had been delivered. In fact, Exodus tells us that the reason God sends Moses to rescue Israel is because he heard the cries of His people. And why were they His people? Because they were descendants of Abraham. And why did God choose Abraham? Just because. It is clear from reading the Old Testament-- from the Genesis call to the Deuteronomy renewal of covenant to the prophets' reminders-- that Israel became God's covenant people by grace. The Law was given as a way to live as the covenant people of God, not as a means of becoming the covenant people of God. E.P Sanders has described Judaism-- at least in its Old Testament forms-- as "covenantal nomism": a people who are in covenant with God by grace who now live out according to a particular law.
What does all this mean for the Christian? Here are a two of the main implications:
1. God Has Always Been a God of Grace
If we view Judaism as inherently a religion of legalism, then we view God as a recovering legalist. We are saying that God "tried" a way of doing things-- letting people earn their way to Him-- and then changed and became a "God of grace." Or, we say, as some in the Reformed tradition might, that God gave the Law to frustrate Israel and make them cry out for a Savior. There is certainly something true about that. But to only believe that is to paint God as a drill sergeant, intent on breaking us down to show us who's Boss. Re-thinking Judaism through a careful reading of the Old Testament shows us a God who has always been a God of grace, a God who forms a people for Himself by grace, calling us out and saving us from death by grace.
2. Covenant Faithfulness is Larger than Law-Keeping
Why is David called a man after God's own heart even though he broke a number of the Ten Commandments? Because one key thing that David never did that other kings of Israel and Judah did was worship other gods. In fact, the Old Testament makes a big deal out of idolatry more than any other sin. After the nation of Israel splits in two, the northern kingdom of Israel suffers a worse fate than the southern kingdom of Judah because their kings were blatant in their idolatry and led their people in their ways. Judah had a few faithful kings who tried to turn Judah away from idolatry. When the prophets reach for language to describe Israel's sin, they use the language of adultery (Ezekiel, Jeremiah, and Hosea great examples), calling Israel a harlot and an unfaithful wife. Idolatry is the central sin of the Old Testament because idolatry is covenant unfaithfulness to YHWH. Law-breaking doesn't nullify your status as the people of God. (We will soon see a parallel in the New Covenant between believer's who sin-- i.e. "break the law"-- and believer's who reject their covenant with Christ.)
OK. That's enough for Part 1. Here are the links to Part 2, Part 3, and Part 4.
[For the record, I lean toward the "New Perspective" but don't see it making the so-called "Old Perspective" invalid or incorrect. I am heavily influence by N. T. Wright's attempt to move beyond being wholly either "New" or "Old," as he describes it in "Paul: A Fresh Perspective" and "Justification: God's Plan and Paul's Vision." Also, Yinger's brief book, "The New Perspective on Paul: An Introduction" is a helpful and readable roadmap to the core issues.]

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