NPS with dynamic vlan is working fine, but you have restrictions.
You can use dynamic vlan only when it´s not used by a another network.
Look below, 1, 5, 1 is used, now you can´t use this in your dynamic vlan configuration with nps.
Under profiles you must enable radius assigned vlan for wired/wireless network in your radius profile
How to configure dynamic vlan with nps, you can look here