Atal Pension Yojana is a pension scheme under the Government of India. This scheme replaces the Swavalamban Yojana and was established to provide old age income security to the workers belonging to the unorganised sector. The Atal Pension Yojana was launched by PM Narendra Modi on 9th May 2015 in Kolkata. The scheme focuses on encouraging workers of unorganised sectors to save for their future.
Important Facts about Atal Pension Yojana
| Atal Pension Yojana | |
| Date of Launching | 9th May 2015 |
| Launched By | Prime Minister Narendra Modi |
| Regulatory Body | Pension Fund Regulatory and Development Authority (PFRDA) |
| Department | Department of Financial Services, Government of India |
Registration Process overview
- Subscriber Walks into Branch
- Submit completely filled APY form
- Bank Official scrutinises the form
- Bank Official enters account number in APY module
- Subscriber details fetched from CBS
- Additional details entered by bank official and submits the request.
- PRAN allotted to the subscriber
- System generated acknowledgement containing PRAN handed over to subscriber
- SMS alert to subscriber on activation of PRAN
Download Form : APY APPLICATION FORM
Toll Free Number -1800-110-069
Atal Pension Yojana (APY) : Details of the Scheme
Introduction
The Government of India is extremely concerned about the old age income security of the working poor and is focused on encouraging and enabling them to join the National Pension System (NPS).
The Government will launch the Atal Pension Yojana (APY), which will provide a defined pension, depending on the contribution, and its period. The APY will be focussed on all citizens in the unorganized sector, who join the National Pension System (NPS) administered by the Pension Fund Regulatory and Development Authority (PFRDA).
The minimum age of joining APY is 18 years and maximum age is 40 years. Therefore, minimum period of contribution by any subscriber under APY would be 20 years or more. The benefit of fixed minimum pension would be guaranteed by the Government. The APY would be introduced from 1st June, 2015.
Benefit of APY
- The scheme provides the subscribers with a fixed pension ranging between Rs.1000 to Rs. 5000.
- The pension is provided if he/she joins and contributes between the age of 18 years and 40 years.
- The contribution level varies as per the conditions which is low if the subscriber joins the scheme early and might increase if he/she joins late.
- After the death of the subscriber, the spouse is eligible for availing the same benefits provided by the pension.
- The indicative pension wealth will be returned to the nominees after the death of a spouse.
- Contributions to the Atal Pension Yojana (APY) is eligible for tax benefits similar to the National Pension System (NPS).
Eligibility for APY
The workers will have to follow the below-mentioned criteria to be eligible for the Atal Pension Yojana:
- Atal Pension Yojana (APY) is open to those who are not a member of any statutory social security scheme.
- Any individual aged between 18 years to 40 years and have a bank account are eligible for the scheme.
- He/She will have to provide proof of possession along with their Aadhaar number or must undergo Aadhaar authentication.
- The subscriber should get their Aadhaar number recorded in the APY pension account as well as in their savings account.
- Providing of the Aadhar number is important for the debit of the contribution instalments and for the credit of government co-contribution.
Atal Pension Yojana (APY) is open to all bank account holders. The Central Government would also co-contribute 50% of the total contribution or Rs. 1000 per annum, whichever is lower, to each eligible subscriber account, for a period of 5 years, i.e., from Financial Year 2015-16 to 2019-20, who join the NPS between the period 1st June, 2015 and 31st December, 2015 and who are not members of any statutory social security scheme and who are not income tax payers. However the scheme will continue after this date but Government Co-contribution will not be available.
Age of joining and contribution period
- The minimum age of joining APY is 18 years and maximum age is 40 years. The age of exit and start of pension would be 60 years. Therefore, minimum period of contribution by the subscriber under APY would be 20 years or more.
Penalty for default
Under APY, the individual subscribers shall have an option to make the contribution on a monthly basis. Banks are required to collect additional amount for delayed payments, such amount will vary from minimum Rs. 1 per month to Rs 10/- per month as shown below:
- Rs. 1 per month for contribution up to Rs. 100 per month.
- Rs. 2 per month for contribution up to Rs. 101 to 500/- per month.
- Rs. 5 per month for contribution between Rs 501/- to 1000/- per month.
- Rs. 10 per month for contribution beyond Rs 1001/- per month.
The fixed amount of interest/penalty will remain as part of the pension corpus of the subscriber.
Discontinuation of payments of contribution amount shall lead to following:
- After 6 months account will be frozen.
- After 12 months account will be deactivated.
- After 24 months account will be closed.
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Government Schemes : Atal Pension Yojana (APY), Scheme Details,Benefits and Registration Process
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