This scheme will give you pension every month after the age of 60 years.

Atal Pension Yojana:- Atal Pension Yojana (APY) is a pension scheme launched by the Government of India. Atal Pension Yojana is specially designed for people working in the unorganized sector for whom no regular pension scheme is available. The scheme was first launched in 2015. This scheme provides you a monthly pension after the age of 60 years. And how much pension you will get based on how much you contribute to the scheme every month.

Eligibility Criteria

  • You must be a citizen of India.
  • You should be between 18 to 40 years of age.
  • You should not be covered under any other pension system (like National Pension System (NPS) and Employees Provident Fund (EPF).

Benefits of Atal Pension Yojana

  • Guaranteed pension every month

When you invest in this scheme, after the age of 60 you will get Rs. 1000, Rs 2000, Rs 3000, Rs 4000, or Rs you will get Rs 5000 pension. But the amount of pension you will get depends on how much you invest in the scheme.

  • Tax savings

Whatever money you have Atal Pension Yojana You can take a tax deduction on the amount you pay. And this deduction comes under Section 80CCD (1) of the Income Tax Act, 1961.

If the subscriber of Atal Pension Yojana dies before the age of 60 years, all the benefits of the scheme will go to his spouse (husband and wife). If both of them die, their nominee will get the benefits of the scheme.

  • Choose the amount as per your requirement.

There is no fixed amount if you want to invest in this scheme. You can decide the amount as per your choice. But you should invest enough money to benefit you in old age.

  • Facility to switch banks whenever you want

It often happens that because of work people keep changing residence, sometimes in this city and sometimes in that. At such time, you can transfer the Atal Pension Yojana to another bank or post office.

Contribution of Atal Pension Yojana

Atal Pension Yojana Which plan you take will depend on your income and age. But remember, the more money you pay now, the bigger the pension you’ll get later. See the table below to see how much pension you will get depending on how much you invest.

Age at admission Pension Amount (Rs.) Monthly Contribution (Rs.)
18-22 1000 42
18-22 2000 84
18-22 3000 126
18-22 4000 168
18-22 5000 210
23-27 1000 53
23-27 2000 106
23-27 3000 159
23-27 4000 212
23-27 5000 265
28-32 1000 67
28-32 2000 134
28-32 3000 201
28-32 4000 268
28-32 5000 335
33-37 1000 85
33-37 2000 170
33-37 3000 255
33-37 4000 340
33-37 5000 426
38-40 1000 113
38-40 2000 226
38-40 3000 339
38-40 4000 452
38-40 5000 565
Atal Pension Yojana Contribution Table

Atal Pension Yojana How do I participate?

  • Your nearest bank where you have a bank account or post office.
  • There you Atal Pension Yojana You can fill the form.
  • Set the amount you want to pay.
  • You will receive your APY statement with a unique account number (which you need to keep safe).

Contribution method

  • You can deposit into this scheme once a month i.e. monthly amount.
  • Or you can do it every three months ie quarterly.
  • Or you can do it twice a year ie half yearly.
  • You can decide the construction date as per your convenience.

Default in payment

  • If you do not maintain an excess balance in your bank account on date. Atal Pension Yojana If there is a contribution of Rs.500/- then it will be defaulted and you will be charged penalty for the same.
  • In the month in which you do not pay, the amount will be deducted from your bank account in the following month along with interest.
  • There is a penalty of Rs 1 for every Rs 100.
  • Suppose you deposit Rs 1000 in Atal Pension Yojana but a problem arises and you don’t deposit the amount for that month, then next month a penalty of Rs 10 will be levied on that Rs 1000. That means you have to pay a total of Rs 1010 for the previous month.

Withdrawal Procedure

  • On completion of 60 years
  1. Then the subscriber of this scheme can request his bank to start the pension.
  2. If the subscriber dies, his spouse will get the same pension every month.
  3. And if both the subscriber and his spouse die, the nominee will get the full pension.
  • If you exit before age 60
  1. If a subscriber wants to opt out of the scheme himself, he will get back all the money he has paid with interest (but after deducting maintenance charges).
  2. If the government paid half the amount in the scheme on your behalf and you are withdrawing before maturity, you will not get any refund.
  • Death before 60 years
  1. Subscriber has a spouse option. Atal Pension Yojana Can continue to run it. (Until the subscriber attains 60 years of age)
  2. If the subscriber dies, his spouse will get a single pension every month.
  3. And if both the subscriber and his spouse die, the nominee will get the full pension.

A tip from TaazaTime

It often happens that people participate in such schemes but do not have the documents or they disappear after a few years. Just think, 60 years is a long way, until then you have to keep all those papers.

The officers of the bank from which you will take this scheme keep changing, so you should have these documents whenever they give you these documents. Whenever you fill this scheme form, keep a copy with bank or post office stamp. And also remember your unique account number.

Read other important posts of Taza Time

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