Introduction
Atal Pension Yojana is a government-backed pension scheme aimed towards the unorganized sector and informal employees. On May 9, 2015, the Atal Pension Yojana, also known as the APY Scheme, was introduced with the goal of establishing a comprehensive security system for all Indian employees, especially the underprivileged and poor.
The program’s goal is to make it easier for workers in the unorganized sector to get a pension of Rs. 1000 to Rs. 5000 per month after they reach the retirement age of 60. This social security programme, which took the role of the previous Swavalamban Yojana, is intended to expand insurance coverage throughout the nation.
The programme targets all unorganized-sector workers who enrol in the National Pension System (NPS), which is run by the Pension Fund Regulatory and Development Authority (PFRDA), and who are not covered by any statutory social security programme. Atal Pension Yojana or the APY Scheme is much similar to government bonds, but it provides you fixed returns on the APY contributions you make.
Eligibility Criteria
The Atal Pension Yojana age limit is 18 and 40 years of all Indian citizens. Therefore, any subscriber’s minimum duration of contribution under the Atal Pension Yojana would be 20 years or longer. The Government would ensure the benefit of a guaranteed minimum pension.
The APY Eligibility is as follows:
1. Primary KYC should be done using Aadhaar.
2. For the scheme’s smooth operation, subscribers should provide their Aadhar and mobile number.
3. Aadhar information can also be provided later if they are not accessible at the time of registration.
4. One person is only eligible to have one APY Scheme account.
As of October 1, 2022, citizens who are or have been income taxpayers are not eligible to join the APY scheme. Statutory social security benefit beneficiaries are ineligible to receive government payments under APY. For instance, the following enactments would disqualify participants of the Social Security Schemes from receiving Government co-contribution under the APY scheme:
1. Employees’ Provident Fund and Miscellaneous Provision Act of 1952
2. The Coal Mines Provident Fund and Miscellaneous Provision Act, 1948.
3. Assam Tea Plantation Provident Fund and Miscellaneous Provision, 1955
4. Seamens’ Provident Fund Act of 1966.
Atal Pension Yojana Chart
The monthly APY contribution for a subscriber who enrols in the 1,000 rupee pension plan at the age of 18 would be 42 rupees. However, if he enrols at age 40, he must make a monthly contribution of Rs 291. Similarly, a subscriber who enrols in the Rs. 5,000 monthly pension plan at the age of 18 must make a monthly contribution of Rs. 210. But if he enrols at age 40, he must pay a monthly contribution of Rs. 1,454.
It is therefore preferable to join the Scheme early. However, below is the Atal Pension Yojana Chart to make you understand the subscription and returns in detail.
| Age at Entry (Years) | Total Years of Contribution | Required Monthly Contribution Amount | ||||
| Monthly Pension of Rs. 1000 | Monthly Pension of Rs. 2000 | Monthly Pension of Rs. 3000 | Monthly Pension of Rs. 4000 | Monthly Pension of Rs. 5000 | ||
| 18 | 42 | 42 | 84 | 126 | 168 | 210 |
| 19 | 41 | 46 | 92 | 138 | 183 | 228 |
| 20 | 40 | 50 | 100 | 150 | 198 | 248 |
| 21 | 39 | 54 | 108 | 162 | 215 | 269 |
| 22 | 38 | 59 | 117 | 177 | 234 | 292 |
| 23 | 37 | 64 | 127 | 192 | 254 | 318 |
| 24 | 36 | 70 | 139 | 208 | 277 | 346 |
| 25 | 35 | 76 | 151 | 226 | 301 | 376 |
| 26 | 34 | 82 | 164 | 246 | 327 | 409 |
| 27 | 33 | 90 | 178 | 268 | 356 | 446 |
| 28 | 32 | 97 | 194 | 292 | 388 | 485 |
| 29 | 31 | 106 | 212 | 318 | 423 | 529 |
| 30 | 30 | 116 | 231 | 347 | 462 | 577 |
| 31 | 29 | 126 | 252 | 379 | 504 | 630 |
| 32 | 28 | 138 | 276 | 414 | 551 | 689 |
| 33 | 27 | 151 | 302 | 453 | 602 | 752 |
| 34 | 26 | 165 | 330 | 495 | 659 | 824 |
| 35 | 25 | 181 | 362 | 543 | 722 | 902 |
| 36 | 24 | 198 | 396 | 594 | 792 | 990 |
| 37 | 23 | 218 | 436 | 654 | 870 | 1087 |
| 38 | 22 | 240 | 480 | 720 | 957 | 1196 |
| 39 | 21 | 264 | 528 | 792 | 1054 | 1318 |
| 40 | 20 | 291 | 582 | 873 | 1164 | 1454 |
The above chart is prepared as per the rules and regulations are given until February 2023. For further updates or queries, you can visit the government website or reach out to your Bank/ Post-Office.
Atal Pension Yojana Details For Registration
1. The Atal Pension Yojana benefits programme is available at all nationalized banks. Approach the bank branch/post office where the individual’s savings bank account is held, or create a savings account if the subscriber does not have one.
2. Give the bank account number or the post office savings account number, then complete the APY registration form with aid from the bank employees.
3. The APY application form is available online on the official website of the bank or from the website of PFRDA. The subscribers can also download the Atal pension yojana form from the website.
4. It is necessary to correctly complete and submit the online Atal Pension Yojana Scheme Details form to the bank.
5. Give your mobile number or Aadhaar. This is not required, although it may be provided to facilitate contribution communication.
6. Maintain the necessary balance in the savings account or post office savings account to allow for the transfer of contributions on a monthly, quarterly, or half-yearly basis.
Atal Pension Yojana (APY) Form
The following fields on the Atal Pension Yojana Form for APY Registration must be filled out by the subscriber or applicant:
| Section 1 (Bank Details) | Section 2 (Personal Details) | Section 3 (Pension Details) | Additional Details-If nominee is a minor |
| Bank Account Number | Name of the Applicant | Pension Amount selected-1000/2000/3000/4000/5000 | Date of Birth |
| Bank Name | Date of Birth | Monthly Contribution Amount | Name of the Guardian |
| Bank Branch | Email ID | – | Is the minor a beneficiary of other statutory social security schemes? |
| – | Marital Status | – | Is the minor an income taxpayer? |
| – | Name of the Spouse | – | – |
| – | Name of the Beneficiary/ Nominee | – | – |
| – | Relationship of the subscriber with the nominee | – | – |
| – | Age | – | – |
| – | Mobile Number | – | – |
| – | Aadhaar Card Details for the subscriber, nominee, and spouse | – | – |
Atal Pension Yojana Benefits
Feature to Increase Contribution:
As previously stated, after you reach the age of 60, you are qualified to receive a pension from the Atal Pension Yojana scheme. Your contributions to this APY scheme will determine how much of a pension you receive. Different contributions result in various pension amounts. As a result, you may elect to make larger payments in order to receive a greater pension in the future and as a result, more benefits. The Indian government offers to raise and decrease facilities for the amount of contribution in order to alter the corpus amount. Once a year, this benefit is offered.
Automatic Contribution:
Atal Pension Yojana benefits include automatic debit, which is one of its best features. As an Atal Pension Yojana recipient, you can link your bank account to your benefits account so that your monthly payment is automatically deducted. To avoid a fine, the account you link to your Atal Pension Yojana (APY) account must have enough money in it to prevent an automatic deduction from occurring.
Tax Benefits:
This includes the additional deduction of Rs. 50,000 allowed under Section 80CCD (1) of the Income Tax Act for subscribers of the Atal Pension Yojana benefits account. Additionally, the Atal Pension Yojana maturity amount or savings gained are exempted from tax, similar to that of tax-free bonds.
To conclude, Atal Pension Yojana or APY Scheme is a trustworthy and beneficial investment scheme you can opt for. In case you are wondering what happens if the subscriber passes away before the age of 60, in that scenario, according to the APY Scheme, the pension is given to their partners or children. To learn more about such schemes and stay updated subscribe to our email newsletter.