Atal Pension Yojana (APY) is a pension scheme in India that is named after the former popular Prime Minister, Bharat Ratna (2015) Padma Vibhushan (1992)Mr. Atal Bihari Vajpayee JI. Yojana was started on May 9, 2015, for all Indian citizens, especially people working in the unorganized sector, who have no pension system. This scheme motivates people to save for their retirement by promising a fixed pension amount based on how much they contribute and their age when they enroll in the scheme.
Atal Pension Yojana (APY) is a government-funded pension scheme that aims to provide financial security to citizens during their old age. Launched on May 9, 2015, by the Government of India, APY is part of an initiative to create a sustainable pension system, particularly for those in the unorganized sector.
Key Features of Atal Pension Yojana
- Open to all citizens of India between 18 and 40 years old.
- Offers a fixed pension amount ranging from Rs. 1,000 to Rs. 5,000 per month.
- The contribution period is from the date of joining until the age of 60.
- Provides a guaranteed pension after the age of 60.
- Offers death benefits to the spouse or allows them to exit the scheme with the accumulated corpus.
How to Enroll in Atal Pension Yojana?
- Enroll through any bank or post office branch.
- Requires a savings bank account.
- Fill out the APY registration form with Aadhaar number, mobile number, and bank account details.
- Choose the pension amount and contribution frequency.
Benefits of Atal Pension Yojana
- Provides financial security during old age.
- Reasonable contribution amounts.
- Eligible for tax benefits under Section 80CCD of the Income Tax Act, 1961.
Additional Information on Atal Pension Yojana (APY):
Eligibility Criteria:
- Any Indian citizen aged 18 to 40 years can join APY.
- You need a savings bank account.
- You should not be covered under any other statutory social security scheme.
Contribution and Pension Amount:
- Your contribution depends on your age and the pension amount chosen.
- The pension ranges from Rs. 1,000 to Rs. 5,000 per month.
- The contribution period is at least 20 years.
- Pension payments start at age 60 and continue until death.
Government Contribution:
- The government contributes 50% of your contribution or Rs. 1,000 per year (whichever is lower).
- This benefit is available for subscribers who joined between June 1, 2015, and December 31, 2015 and are not covered under any other social security scheme.
Exit and Withdrawal:
You can only exit before 60 in exceptional circumstances like terminal illness or death.
In such cases, the corpus is returned to your nominee.
Enrollment and Contribution Payment:
- Enroll through your bank or post office by filling out a form.
- Contributions can be made monthly, quarterly, or half-yearly via auto debit from your bank account.
Additional Details on Atal Pension Yojana (APY):
- Affordable Contributions: APY offers low contribution amounts, making it accessible to individuals with varying income levels.
- Guaranteed Pension: Subscribers are assured of a fixed pension amount every month, providing financial stability during retirement.
- Tax Benefits: Contributions made towards APY are eligible for tax benefits under Section 80CCD of the Income Tax Act, up to a certain limit.
- Government Contribution: The government contributes to eligible subscribers, enhancing the retirement savings of individuals.
- Easy Enrollment: Enrolling in APY is simple and can be done through any bank or post office branch, making it convenient for subscribers.
Comparison with Other Pension Schemes:
- National Pension System (NPS): APY is targeted at individuals aged 18 to 40, while NPS is open to all citizens.
- APY offers a fixed pension, whereas NPS pension depends on fund returns.
- Employee Provident Fund (EPF): EPF is mandatory for salaried employees, while APY is for the unorganized sector and offers a fixed pension.
Impact of Atal Pension Yojana:
- Financial Inclusion: APY has promoted financial inclusion by providing a pension scheme for the unorganized sector.
- Social Security: APY has enhanced social security by ensuring a source of income during old age, reducing dependence on family or welfare schemes.
- Retirement Planning: APY has encouraged individuals to start planning for retirement early, promoting financial discipline.
Atal Pension Yojana is an essential measure to ensure a secure and good retirement plan for all Indians. With its reasonable subsidies, guaranteed pension scheme, and government co-contribution, APY is a useful instrument for individuals to secure their financial future during retirement.
How to Know the PRAN Number of APY?
How can I get my Pran number online for APY?
How can I know my Pran number?
How do I check my APY status?
To know your PRAN (Permanent Retirement Account Number) for Atal Pension Yojana (APY), you can follow these steps:
- Visit the official website of the National Pension System (NPS) or the APY website.
- Logged into the portal with Mobile no and OTP
- search for the "PRAN Card" or "PRAN Details" option on the website.
- Click on the option and enter your details such as APY account number, date of birth, and registered mobile number.
- Follow the instructions provided on the website to retrieve your PRAN number.
- You may also contact your bank or post office branch where you enrolled in APY and provide them with your details to retrieve your PRAN number.
Is Pran number the Same for APY and NPS?
No, they are different.