Atal Pension Yojana (APY)
The Atal Pension Yojana, launched by Prime Minister Narendra Modi in 2015 in Kolkata, is a scheme designed to assist unorganized sector citizens in India, such as daily wage workers, laborers, housewives, and domestic workers. The primary goal of this scheme is to provide guaranteed pension assistance and financial security to senior citizens and underprivileged individuals after the age of 60. Under the scheme, the government of India guarantees a pension ranging from Rs 1,000 to Rs 5,000, which will be provided once the individual reaches 60 years of age.
• The subscriber must be in the age range of 40 to 18.
• The subscriber should have either a savings bank account or a post office savings bank account.
Aim of this scheme:
The Atal Pension Yojana replaced the Swavalamban Yojana, with the aim of providing financial support and security to the weaker sections of society. It is especially beneficial for individuals in the unorganized and private sectors who do not receive pensions after retirement. Under this scheme, you can choose to contribute a fixed amount monthly, quarterly, or half-yearly until the age of 60, depending on the desired pension amount, which could be Rs 1,000, Rs 2,000, Rs 3,000, Rs 4,000, or Rs 5,000. Subscribers will receive the selected pension amount every month after reaching 60. This fund is safe, secure, and managed by the Pension Fund Regulatory and Development Authority (PFRDA).
From May 2022–23, there was a growth of 20% in subscribers. The best part is that the government will also contribute 50% of the total contribution.
Check the conditions for govt contribution. Put the rules.
Identify 3 factors before investment.
1) The slab you choose should be between 1,000 and 5,000.
2) Your age group and amount of contribution.
3) Frequencies of the contribution in the year (monthly, quarterly, or semi-quarterly)
Here is the link to the chart below, where you can check your monthly contribution.
Put pfrda site link for chart
LINK: https://www.csb.co.in/pdf/apy%20chart.pdf
To check whether you need APY please
Answer this question. Below, check that you need Atal Pension Yojana
• Your earning potential will decrease with age.
• You want assurance in your old age from a fixed monthly income.
Eligibility
1) An Indian citizen.
2) Must be in the age range of 18 to 40.
3) The subscriber should have a Savings Bank account, and the amount will be automatically debited.
4) The subscriber must pay the fixed amount until the age of 60.
5) A person should not be an income tax payer to avail of the Atal Pension Yojana Scheme.
6) A valid Aadhar card and mobile number should be linked to the bank account.
Benefits of Atal Pension Yojana
1) The co-contribution of the government in the scheme is 50% of your total contribution.
2) A fixed amount of pension after the age of 60.
3) In the case of the death of the subscriber, the pension will be given to the spouse; if the spouse dies, the pension will be given to the nominee.
4) In any case of emergency, the amount can also be withdrawn before the age of 60, and the subscriber will receive only the contribution and not co-government contributions.
Procedure
While multiple ways are present for registering apy hopwever we suggest visiting your nearest Branch to get onboarded on APY.
- OFFLINE
You need to visit your bank where you have your savings account, and you need to submit the Atal Pension Yojana Registration Form.
B) Online
For any help, you can reach the helpline number: 1800 110 069.
Method 1
1) Using Net Banking
2) Login to Net Banking and find the APY dashboard on the website.
3) Fill out the form, including all the details.
4) Submit the form.
Method 2
Visit Website: https://enps.nsdl.com/eNPS/NationalPensionSystem.html
Click on the Atal Pension Yojana Registration
Fill in all the details asked, complete KYC, and submit the form.
Important Information regarding Atal Pension Yojana
You will incur a penalty for default payments based on your contribution slab.After 6 months of default, the bank will freeze your account. If the default continues for 12 months, the bank will close the account and return the remaining balance to you.
Premature withdrawals are permitted only in cases of death or illness.If you withdraw before the age of 60, only the contribution amount will be paid.Moreover, there is no specific date to join the scheme; however, it renews every year on June 1.
Additionally, you can join the scheme at any time during the year.Furthermore, the scheme is safe and secure, having been approved by the Parliament of India.