Winning Bizness Desk

Mumbai. The Atal Pension Yojana (APY) offers a reliable financial safety net for individuals planning their retirement. Under this government-backed scheme, subscribers can receive a monthly pension ranging from Rs 1,000 to Rs 5,000 starting at the age of 60. With a modest monthly investment of just Rs 210, individuals can ensure a Rs 5,000 monthly pension, making this an accessible option for economic security in old age.

Key Highlights of Atal Pension Yojana

1. Flexible Investment for 20 Years*
The APY allows individuals aged 18 to 40 to subscribe, with a minimum investment period of 20 years. The contribution amount varies based on the desired monthly pension.

2. Contribution Based on Pension Goal
The monthly contribution is determined by the pension amount you aim to receive:

For 18-Year-Old Subscribers

• - Rs 42/month → Rs 1,000 pension
• - Rs 84/month → Rs 2,000 pension
• - Rs 126/month → Rs 3,000 pension
• - Rs 168/month → Rs 4,000 pension
• - Rs 210/month → Rs 5,000 pension

For 40-Year-Old Subscribers

• - Rs 291/month → Rs 1,000 pension
• - Rs 582/month → Rs 2,000 pension
• - Rs 873/month → Rs 3,000 pension
• - Rs 1,164/month → Rs 4,000 pension
• - Rs 1,454/month → Rs 5,000 pension

Note: Contributions for those aged 19–39 are calculated based on age and desired pension, which can be checked online or at banks.

3. Flexible Payment Options

Subscribers can contribute monthly, quarterly, or semi-annually. The amount is auto-debited from the subscriber’s bank account, ensuring hassle-free payments.

4. Post-Subscriber Benefits

In the unfortunate event of the subscriber’s death, their spouse is entitled to receive the same pension. After the demise of both the subscriber and spouse, the accumulated pension fund is transferred to the nominee.

If the subscriber dies before turning 60, their spouse can continue contributing to the account or withdraw the accumulated funds.

5. Taxpayer Exclusion

Taxpayers are ineligible for the APY, a rule implemented from October 1, 2022.

Frequently Asked Questions (FAQs)

Q: Can I open an APY account without a savings account?

A: No, a savings account is mandatory for this scheme.

Q: How is the monthly contribution date decided?

A: It is based on the first investment date.

Q: Is a nominee necessary?

A: Yes, it is mandatory to nominate someone for the APY account.

Q:How many APY accounts can I open?

A: Only one account is permitted per individual.

Q:What happens if there is insufficient balance for contribution?

A: A penalty is imposed for missed contributions.

Why Choose Atal Pension Yojana?

The APY is a low-cost yet effective solution to secure financial independence post-retirement. Its flexible contributions and assured pension make it an excellent choice for individuals seeking economic stability in their later years.