NICT Technologies | Pradhan Mantri Atal Pension Yojana (APY)

The Indian Government is striving hard to make the life of the old people much easier and convenient by supporting them financially. Introduction of the ATAL PENSION YOJANA is one such leap towards the betterment of the elderly people. This welfare scheme involves providing income security to the poor who are working in the unorganized sector. The plan includes encouraging them to save enough funds before they retire. No doubt, this would boost their financial confidence and would support them in old age when they actually need it the most.

The Atal Pension Yojana scheme is being administered by the Regulatory and Development Authority (PFRDA) and would greatly benefit people employed in the unorganized sector. For the in-depth knowledge about this welfare scheme, check out below.

What is Atal Pension Yojana?

Atal Pension Yojana or APY guarantees a minimum pension of Rs. 1k, 2k, 3k, 4k and 5k to the workers who are the citizens of India and are employed in the unorganized sector. One could claim these monetary benefits once the 60 years age threshold reaches. The amount of pension scheme varies from 1k to 5k, which is totally dependent on the subscriber’s amount of contribution to the scheme

Eligibility to subscribe in Atal Pension Yojana

Anyone who is a citizen of India can is welcome to join this pension scheme. However, one should need to meet the following eligibility criteria set by the Government of India

The minimum age to be eligible is 18 years and must not exceed 40 years while applying.
The person must have a Savings bank account in his/her name or he/she can opt to open a new one before applying to the scheme.
The potential applicant must possess a mobile number which must be registered with the bank with full details.

The Government co-contribution is available to the subscribers who apply from 1^st June, 2015 till 31^st Dec., 2015. The Government is willing to support the workers who do not have any social security cover and not fall under the taxable income.

How much pension will be received under Atal Pension Yojana

The Indian Government has made it clear that the amounts of pension will range from 1 thousand to 5 thousand per month. The amount will be greatly influenced by the beneficiary’s monthly contribution to the scheme, which means the greater the contribution the more the amount of pension in future.

What is the benefit in joining Atal Pension Yoajna scheme ?

Are you are wondering about the benefit of joining under this scheme? Then, you will be likely to get impressed with the Government co-contribution for the period of 5 years. The contribution amount will be either Rs. 1,000/- per annum or fifty percent of the total amount of contribution towards the scheme, whichever is lower. The account holders will benefit from this co-contribution from the financial year starting from 2015 and till 2019.

How are the contributions of Atal Pension Yojana invested ?

The Government’s contribution to the scheme will be made in line to the instructions set by the Indian Ministry of Finance. The whole scheme will be strictly administered and observed by the PFRDA which is the honourable authority of the Government of India.

How to Apply for Atal pension Account?

Contact the bank where you have a savings account.
Ask for the APY registration form
Fill it carefully and provide the details of your Aadhaar card
Mention your mobile number and contact details mentioned in the form.
Make sure that you maintain the required minimum balance in your savings account,
Your contribution amount will get deducted from your account on the monthly basis.

Whether Aadhaar Number is compulsory for joining the scheme?

To submit Aadhaar card while applying for the scheme is not a compulsion and neither this condition is set mandatory by the authorities. However, it is for the subscriber’s own benefit as this could act as a primary KYC document to identify the beneficiary and associated nominees. It could help you in claiming pension rights and settle down the disputes, if arise any in the future. This is the reason for recommending Aadhar card for the APY account opening.