Atal Pension Yojana - APY Scheme

The Indian Government introduced the “Atal Pension Yojana” in June 2015 in order to help the unorganised sections of society. The Pension Fund Regulatory and Development Authority (PFRDA) administers the scheme under the National Pension System.
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Overview about Atal Pension Yojana

In an effort to help the unorganized section of the Indian society, the Government of India introduced the “Atal Pension Yojana” in June, 2015. The Atal Pension Yojana is administered by the PFRDA (Pension Fund Regulatory and Development Authority) under the National Pension System (NPS). The scheme was launched to encourage individuals from the weaker section to opt for pension, which would immensely benefit them during their old age. The Atal Pension Yojana scheme can also be taken by individuals working in private sector organizations or by anyone who is self-employed.

Features of Atal Pension Yojana 

Some of the key features and characteristics of the Atal Pension Yojana (APY) scheme are: 

  • Any Indian citizen is eligible to apply for this scheme. To apply for this scheme, the minimum age is 18 years and the maximum age is 40 years. 
  • The applicant must have a savings bank account or should be ready to open a savings bank account. This account should have an auto-debit facility. 
  • The applicant needs to have a mobile number, which will need to be given to the bank at the time of registration.  
  • The applicant should not be paying income tax. This scheme is primarily designed for helping individuals working in the unorganised sector, self-employed individuals, traders, etc. 
  • This scheme provides a pension from Rs.1,000 to Rs.5,000 to the beneficiary after he/she turns 60 years. If the beneficiary dies, then the spouse will receive the pension. When both the beneficiary and the spouse die, the corpus will be handed over to the nominee. 
  • The current Swavalamban Scheme beneficiaries (who are eligible) who are aged between 18 and 40 years will be moved automatically to the Atal Pension Yojana scheme. 
  • The APY scheme is governed by the Pension Fund Regulatory and Development Authority. 
  • The applicant’s monthly contribution amount will be determined by the pension that he or she wants each month and the age at which he or she applies for the scheme and begins the contributions. 

Contribution Details for APY Scheme 

  • If the applicant starts subscribing to the scheme when they are 18 years old, they will have to make a contribution for 42 years. 
  • If the applicant starts subscribing at the age of 40, then he or she will need to make a contribution for a period of 20 years. 

Hence, one should keep in mind that those who join the scheme at an early age will have to pay a lower subscription amount and people who join late will be required to make higher contributions. 

Government of India’s Co-contribution Scheme

In order to encourage more number of citizens to open an Atal Pension Yojana account, the Government of India will also be contributing a sum towards the pension scheme for a time period of five years, i.e., from 2015 to 2020. This contribution will be done to Atal Pension Yojana subscriber accounts that have been opened between June 1, 2015 and December 31, 2015. These customers should not be income tax payers and should not have been covered under any Statutory Social Security Schemes. The Government of India’s contribution is either 50% of the subscriber’s monthly contribution amount or Rs. 1000, whichever is lower, for the tenure of five years. It is essential that, to receive the Government’s contribution, the Atal Pension Yojana subscriber has to make regular monthly contributions during the entire course of the year. Only then will the Government of India credit 50% of the monthly contribution paid, to the subscriber’s account.

Restrictions on Government Contribution

Individuals who are registered under other social security schemes are not eligible for contributions from the government. Subscription to the following are some of the schemes that would make an individual ineligible for the Atal Yojana Pension:

  • The Coal Mines Provident Fund and Miscellaneous Provision Act, 1948.
  • Employees' Provident Fund & Miscellaneous Provision Act, 1952.
  • Seamens' Provident Fund Act, 1966.
  • Jammu Kashmir Employees' Provident Fund & Miscellaneous Provision Act, 1961.
  • Assam Tea Plantation Provident Fund and Miscellaneous Provision, 1955.
  • Other Statutory Social Security schemes

Subscriber Payment / Enrollment

Customers holding valid bank accounts can join the Atal Pension Yojana scheme and use the auto debit facility to pay monthly, quarterly or half-yearly. It is important that the subscriber maintains the required balance in his savings bank account, to be paid on the due date, to avoid any late payment charges. The due date for the monthly contribution is decided depending on the first monthly contribution amount. If the subscriber does not pay his monthly contributions on a regular basis, then the Atal Pension Yojana account can be closed and the Government of India’s contribution amount will be forfeited. Any wrong declaration done with regards to eligibility by the subscriber will lead to the entire Government’s contribution amount and the interest being forfeited. Banks would require the Aadhaar card to be submitted as the primary KYC document for identifying spouse, beneficiaries and nominees in order to avoid any disputes. Every subscriber is required to choose a pension amount between Rs. 1000 and Rs. 5000 and also make sure that contributions are done correctly. The Atal Pension Yojana scheme also offers flexibility to subscribers in the form of changes in monthly contribution amounts. An APY subscriber can increase or decrease the monthly pension amount, when the contribution is being made. If an APY subscriber wishes to change his fixed pension amount, then this can be done once a year, in April. Once a subscriber joins the Atal Pension Yojana scheme, the bank would provide an acknowledgment receipt, which would carry details like due date of the monthly contribution, guaranteed pension amount and PRAN.

Migration from Swavalamban Scheme to Atal Pension Yojana

Existing subscribers of the Swavalamban scheme will be automatically migrated to the Atal Pension Yojana plan, with an additional option of choosing to pull out, provided they meet the required eligibility criteria. The five year co-contribution of the Government might not however exceed for all these subscribers. For example, if an existing Swavalamban subscriber has got Government contribution for two years, then under the Atal Pension Yojana scheme he will receive only three years of co-contribution from the Government. If any of the current Swavalamban subscribers want to opt out of the Atal Pension Yojana scheme, then the Government’s contribution will be given only till 2016/2017, if they are found eligible. Further, such subscribers can continue under the NPS Swavalamban scheme, until the age of exit has been reached.

The migration will be done mainly for subscribers aged between 18 and 40 years. In order to perform the change without any hassles, the aggregator will be required to facilitate the migration process by providing complete support. Subscribers who wish to move on to the Atal Pension Yojana scheme can also contact the nearest bank to move from a Swavalamban account into an Atal Pension Yojana account containing PRAN details.

Swavalamban subscribers who fall beyond the age group of 40 can also opt to discontinue from the Swavalamban Scheme by completely withdrawing the entire amount, inclusive of the principal amount and the interest earned. Otherwise they can choose to continue till they turn 60, in order to be eligible to receive annuities.

Regular Alerts to Atal Pension Yojana Subscribers

Atal Pension Yojana subscribers can get regular alerts regarding account balance, credit of contribution and other account related activities, via SMS alerts. Atal Pension Yojana subscribers can easily modify certain details like a nominee name, phone number, address, etc. whenever they wish to do so.

Registration of a valid mobile number is mandatory under the Atal Pension Yojana scheme, so that subscribers can stay connected through SMS alerts to their APY accounts. This will help them get know their due dates, arrange their auto-debits and check the balance available in their APY accounts.

Documents needed to apply for Atal Pension Yojana? 

One can apply for the APY scheme by furnishing the following documents: 

  • APY application form 
  • Self-declaration 
  • Consent for auto debit facility 

How do you apply for Atal Pension Yojana Online?

The Atal Pension Yojana subscriber Form is available online on bank websites and other third party websites. Customers have to just download the form, fill in the required details and submit it to their banks. Other necessary documents also have to be furnished and applicants can then easily open as Atal Pension Yojana account. Direct applications for the Atal Pension Yojana scheme cannot be made online and it is mandatory to submit the forms to the nearest bank branch.

Atal Pension Yojana Application Form

Customers have to submit Atal Pension Yojana Application Form for registration that is available online to the concerned bank along with the list of other documents required. The Aadhaar card would be the primary KYC document required for identifying nominees, beneficiaries and the subscriber’s spouse in order to avoid entitlement disputes. The Atal Pension Yojana subscriber registration form is available in various languages namely, Hindi, Bangla, English, Gujarati, Telugu, Kannada, Odia, Tamil and Marathi.

The Atal Pension Yojana subscriber registration form contains the following fields that have to be filled in by the applicant/subscriber -

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 Guardian’s Name
Bank Branch Email ID - Is the minor a beneficiary of other statutory social security schemes?
- Marital Status - Is the minor an income tax payer?
- Name of the spouse - -
- Name of the nominee - -
- Relationship of the nominee with the subscriber - -
- Age - -
- Mobile Number - -
- Aadhaar Card Details for the subscriber, spouse and the nominee - -

The application form has to be signed by the subscriber and submitted to the bank. The Atal Pension Scheme form also carries an acknowledgment section named, “Acknowledgment - Subscriber Registration for Atal Pension Yojana (APY)”, that will be filled in by the bank. Applicants are not required to fill this section. This acknowledgment receipt will be given back by the bank after the application has been processed.

Note for the applicant- Some fields in the form have been marked with an asterisk, which indicates that these fields have to be mandatorily filled. Additionally, the Atal Pension Yojana application form should not be filled in cursive writing and should be completed only using block letters.

Atal Pension Yojana Calculator

Every subscriber joining the Atal Pension Yojana will have questions about how much money has to be invested and how much return of investment can be got. A simple answer to these questions is that, the contribution that a subscriber has to do every month, depends on the fixed pension amount he wants to receive and the age the subscriber joins the scheme. With the help of Atal Pension Yojana Calculator, the fixed monthly pension would be calculated based on these factors and also on the interest earned. If a customer joins the scheme at the age of 18, then the monthly premium that has to paid will be lesser. Contribution can done for the longest period possible, till the retirement age is reached. If a subscriber joins at the age of 40, then the contribution period will be relatively lesser, as there would only be 20 years before the subscriber reaches the age of 60. If contributions are started at the age of 18, then for a pension amount of Rs. 1000, the contribution amount would be Rs. 42. If a customer opts for a pension amount of Rs. 5000, then the highest monthly premium amount that has to be paid at the age of 40 years, is Rs. 1454.

Depending on the age of joining and the chosen fixed pension amount, the tables below represent the monthly contribution amounts that have to be paid by subscribers. Based on the period of contribution, the monthly premium amount is generally determined. As a word of advice, subscribers should opt to join the Atal Pension Yojana pension scheme at an early age, when the premium is lower and the fixed pension amount that will be got is relatively higher. The guaranteed fixed pension amount will be paid to the subscriber or the spouse.

Atal Pension Yojana Scheme - Calculation Tables

a) Atal Pension Scheme Calculator for a contribution for Rs. 1000

If a subscriber opts to get a fixed monthly pension of Rs. 1,000, then the amount that will be debited from the subscriber’s bank account will fall between Rs. 42 and Rs. 291. After the death of the subscriber and his spouse, the nominee stands to receive Rs.1, 70,000, as per the Atal Pension Yojana calculation plan.

Joining Age Contribution Period Monthly Contribution Fixed Monthly Pension to the subscriber / spouse Return of Corpus to the nominee
18 years 42 years Rs. 42 Rs. 1,000 Rs.1,70,000
20 years 40 years Rs. 50 Rs. 1,000 Rs.1,70,000
25 years 35 years Rs. 76 Rs. 1,000 Rs.1,70,000
30 years 30 years Rs. 116 Rs. 1,000 Rs.1,70,000
35 years 25 years Rs. 181 Rs. 1,000 Rs.1,70,000
40 years 20 years Rs. 291 Rs. 1,000 Rs.1,70,000

b) Atal Pension Scheme Calculator for a contribution for Rs. 2000

If a subscriber opts to get a fixed monthly pension of Rs. 2,000, then the amount that will be debited from the subscriber’s bank account will fall between Rs. 84 and Rs. 582. After the death of the subscriber and his spouse, the nominee stands to receive Rs.3, 40,000, as per the Atal Pension Yojana plan.

Joining Age Contribution Period Monthly Contribution Fixed Monthly Pension to the subscriber / spouse Return of Corpus to the nominee
18 years 42 years Rs. 84 Rs. 2,000 Rs.3,40,000
20 years 40 years Rs. 100 Rs. 2,000 Rs.3,40,000
25 years 35 years Rs. 151 Rs. 2,000 Rs.3,40,000
30 years 30 years Rs. 231 Rs. 2,000 Rs.3,40,000
35 years 25 years Rs. 362 Rs. 2,000 Rs.3,40,000
40 years 20 years Rs. 582 Rs. 2,000 Rs.3,40,000

c) Atal Pension Scheme Calculator for a contribution for Rs. 3000

If a subscriber opts to get a fixed monthly pension of Rs. 3,000, then the amount that will be debited from the subscriber’s bank account will fall between Rs. 126 and Rs. 873. After the death of the subscriber and his spouse, the nominee stands to receive Rs.5, 10,000, as per the Atal Pension Yojana plan.

Joining Age Contribution Period Monthly Contribution Fixed Monthly Pension to the subscriber / spouse Return of Corpus to the nominee
18 years 42 years Rs. 126 Rs. 3,000 Rs.5,10,000
20 years 40 years Rs. 150 Rs. 3,000 Rs.5,10,000
25 years 35 years Rs. 226 Rs. 3,000 Rs.5,10,000
30 years 30 years Rs. 347 Rs. 3,000 Rs.5,10,000
35 years 25 years Rs. 543 Rs. 3,000 Rs.5,10,000
40 years 20 years Rs. 873 Rs. 3,000 Rs.5,10,000

d) Atal Pension Scheme Calculator for a contribution for Rs. 4000

If a subscriber opts to get a fixed monthly pension of Rs. 4,000, then the amount that will be debited from the subscriber’s bank account will fall between Rs. 168 and Rs. 1164. After the death of the subscriber and his spouse, the nominee stands to receive Rs.6, 80,000, as per the Atal Pension Yojana plan.

Joining Age Contribution Period Monthly Contribution Fixed Monthly Pension to the subscriber / spouse Return of Corpus to the nominee
18 years 42 years Rs. 168 Rs. 4,000 Rs.6,80,000
20 years 40 years Rs. 198 Rs. 4,000 Rs.6,80,000
25 years 35 years Rs. 301 Rs. 4,000 Rs.6,80,000
30 years 30 years Rs. 462 Rs. 4,000 Rs.6,80,000
35 years 25 years Rs. 722 Rs. 4,000 Rs.6,80,000
40 years 20 years Rs. 1164 Rs. 4,000 Rs.6,80,000

e) Atal Pension Scheme Calculator for a contribution for Rs. 5000

If a subscriber opts to get a fixed monthly pension of Rs. 5,000, then the amount that will be debited from the subscriber’s bank account will fall between Rs. 210 and Rs. 1454. After the death of the subscriber and his spouse, the nominee stands to receive Rs.8, 50,000, as per the Atal Pension Yojana plan.

Joining Age Contribution Period Monthly Contribution Fixed Monthly Pension to the subscriber / spouse Return of Corpus to the nominee
18 years 42 years Rs. 210 Rs. 5,000 Rs.8,50,000
20 years 40 years Rs. 248 Rs. 5,000 Rs.8,50,000
25 years 35 years Rs. 376 Rs. 5,000 Rs.8,50,000
30 years 30 years Rs. 577 Rs. 5,000 Rs.8,50,000
35 years 25 years Rs. 902 Rs. 5,000 Rs.8,50,000
40 years 20 years Rs. 1454 Rs. 5,000 Rs.8,50,000

Fees & Charges for maintaining Atal Pension Yojana Account

Intermediary Charges
Point of Presence APY Subscriber Registration Rs.120 to 150, based on the number of subscribers
Recurring Charges Per Annum Rs. 100 / subscriber

Central

Recordkeeping

Agencies

APY Account

opening charges

Rs. 15 / account

Account

Maintenance

Charges

Rs.40/account/annum
Custodian

Investment

Maintenance Fee (per annum)

0.0075% for electronic /

0.05% for physical segment of AUM

Pension Fund Managers

Investment

Maintenance Fee (per annum)

0.0102% of AUM

Atal Pension Yojana Eligibility

Citizens of India are eligible to join the Atal Pension Yojana scheme. The following eligibility criteria have to be met by every applicant.

a) Customers holding valid savings accounts are eligible to open an Atal Pension Yojana account.

b) The applicant should be aged between 18 and 40 years.

c) Every applicant should have a mobile number, which has to be registered at the time of application.

d) A co-contribution amount will also be given by the Government to certain Atal Pension Yojana subscribers.

Atal Pension Yojana Monthly Premium Plans

There are five Atal Pension Yojana Monthly Premium plans offered to customers and following tables explain the amount that has to be contributed by subscribers every month, in order to get a fixed pension amount. Subscribers can choose any monthly premium plan according to convenience and as per the fixed pension amount that they would like to get.

a) To get a fixed pension of Rs. 1000, the amount that has to be invested is as given below -

Joining Age of the Subscriber No. of Years (Contribution) Monthly Contribution Amount Monthly fixed pension amount
18 42 Rs. 42 Rs. 1000
20 40 Rs. 50 Rs. 1000
25 35 Rs. 76 Rs. 1000
30 30 Rs. 116 Rs. 1000
35 25 Rs. 181 Rs. 1000
40 20 Rs. 291 Rs. 1000

b) To get a fixed pension of Rs. 2000, the amount that has to be invested is as given below -

Joining Age of the Subscriber No. of Years (Contribution) Monthly Contribution Amount Monthly fixed pension amount
18 42 Rs. 84 Rs. 2000
20 40 Rs. 100 Rs. 2000
25 35 Rs. 151 Rs. 2000
30 30 Rs. 231 Rs. 2000
35 25 Rs. 362 Rs. 2000
40 20 Rs. 582 Rs. 2000

c) To get a fixed pension of Rs. 3000, the amount that has to be invested is as given below -

Joining Age of the Subscriber No. of Years (Contribution) Monthly Contribution Amount Monthly fixed pension amount
18 42 Rs. 126 Rs. 3000
20 40 Rs. 150 Rs. 3000
25 35 Rs. 226 Rs. 3000
30 30 Rs. 347 Rs. 3000
35 25 Rs. 543 Rs. 3000
40 20 Rs. 873 Rs. 3000

d) To get a fixed pension of Rs. 4000, the amount that has to be invested is as given below -

Joining Age of the Subscriber No. of Years (Contribution) Monthly Contribution Amount Monthly fixed pension amount
18 42 Rs. 168 Rs. 4000
20 40 Rs. 198 Rs. 4000
25 35 Rs. 301 Rs. 4000
30 30 Rs. 462 Rs. 4000
35 25 Rs. 722 Rs. 4000
40 20 Rs.1164 Rs. 4000

e) To get a fixed pension of Rs. 5000, the amount that has to be invested is as given below -

Joining Age of the Subscriber No. of Years (Contribution) Monthly Contribution Amount Monthly fixed pension amount
18 42 Rs. 210 Rs. 5000
20 40 Rs. 248 Rs. 5000
25 35 Rs. 376 Rs. 5000
30 30 Rs. 577 Rs. 5000
35 25 Rs. 902 Rs. 5000
40 20 Rs. 1454 Rs. 5000

Atal Pension Yojana Penalty Charges

The Atal Pension Yojana scheme requires subscribers to make regular monthly contributions without any break in payments. If the subscriber does not make regular payments or completely stops contributing, then the concerned bank can levy penalty charges as stipulated by the Government. The additional penalty charges that are levied range from Rs.1 to Rs. 10 every month. This fixed penalty amount or interest shall be a portion of the pension corpus of the contributor.

  • If the contribution amount is up to Rs.100, then the penalty amount would be Rs.1, every month.
  • If the contribution amount is between Rs.101 and Rs. 500, then the penalty amount would be Rs.2, every month.
  • If the contribution amount is between Rs.501 and Rs. 1000, then the penalty amount would be Rs.5, every month.
  • If the contribution amount is above Rs.1001, then the penalty amount would be Rs.10, every month.

On Atal Pension Yojana accounts where payments are discontinued the following measures will be taken -

  • If payments are not done for six months, the subscriber’s account would be frozen.
  • If payments are not done for twelve months, the subscriber’s account would be deactivated.
  • If payments are not done for twenty four months, the subscriber’s account would be permanently closed.

To avoid late payments, the Atal Pension Yojana module will constantly raise a request with subscriber on the due date, till the payment is done. The monthly contribution is recovered generally on the first day of the calendar month and the bank will also be allowed to recover the required contribution amount on any day of the month. The monthly contribution amount will be got on the FIFO basis, i.e., the earliest amount that is due will be got first along with the per-determined penalty charges. The bank also has the option of recovering more than one contribution in one month, provided the subscriber has the required funds. This will be received along with the fixed monthly due amount.

Withdrawals from Atal Pension Yojana Account

A beneficiary of the Atal Pension Yojana Scheme can withdraw funds from his or her APY account when they turn 60 years old. This can be done by placing a request to his or her registered bank to withdraw the monthly pension amount that is guaranteed. 

Before attaining the age of 60, one is not allowed to exit the scheme. It is allowed only in special circumstances such as death of the subscriber, terminal illness, etc. 

Recently, the rule was altered that allows subscribers to withdraw voluntarily even before turning 60 if they meet the following conditions: 

  • The subscriber will get a refund of only the contributions made by them towards the APY scheme plus the net actual interest that they would have gained. 
  • The interest gained on the government co-contribution and the government co-contribution amount will not be returned to the beneficiary. 

Atal Pension Yojana Return of Corpus

Under the Atal Pension Yojana scheme, the return of corpus to the nominee of the subscriber has been explained below in the following tables. This varies according to the contribution amount, the joining age and the contribution period. As an example, in order to receive a fixed monthly pension ranging between Rs. 1000 and Rs. 5000, the subscriber should contribute between Rs. 42 and Rs. 210, provided the joining age is 18 years. If the subscriber’s joining age is 40 years, then the contribution amount would fall anywhere within Rs. 291 and Rs. 1454.

a) For a fixed pension of Rs. 1000, the return of corpus to the nominee is as given below -

Joining Age Number of Years (Contribution) Monthly Contribution Amount Quarterly Contribution Amount Half-yearly Contribution Amount Fixed Pension Amount given to the Subscriber and Spouse Return of Corpus to the nominee of the subscriber - Indicative Figures
18 42 42 125 248 Rs. 1000 Rs. 1,70,000
19 41 46 137 271 Rs. 1000 Rs. 1,70,000
20 40 50 149 295 Rs. 1000 Rs. 1,70,000
21 39 54 161 319 Rs. 1000 Rs. 1,70,000
22 38 59 176 348 Rs. 1000 Rs. 1,70,000
23 37 64 19 378 Rs. 1000 Rs. 1,70,000
24 36 70 209 413 Rs. 1000 Rs. 1,70,000
25 35 76 226 449 Rs. 1000 Rs. 1,70,000
26 34 82 244 484 Rs. 1000 Rs. 1,70,000
27 33 90 268 531 Rs. 1000 Rs. 1,70,000
28 32 97 289 572 Rs. 1000 Rs. 1,70,000
29 31 106 316 626 Rs. 1000 Rs. 1,70,000
30 30 116 346 685 Rs. 1000 Rs. 1,70,000
31 29 126 376 744 Rs. 1000 Rs. 1,70,000
32 28 138 411 814 Rs. 1000 Rs. 1,70,000
33 27 151 450 891 Rs. 1000 Rs. 1,70,000
34 26 165 492 974 Rs. 1000 Rs. 1,70,000
35 25 181 539 1068 Rs. 1000 Rs. 1,70,000
36 24 198 590 1169 Rs. 1000 Rs. 1,70,000
37 23 218 650 1287 Rs. 1000 Rs. 1,70,000
38 22 240 715 1416 Rs. 1000 Rs. 1,70,000
39 21 264 787 1558 Rs. 1000 Rs. 1,70,000
40 20 291 867 1717 Rs. 1000 Rs. 1,70,000

b) For a fixed pension of Rs. 2000, the return of corpus to the nominee is as given below -

Joining Age Number of Years (Contribution) Monthly Contribution Amount Quarterly Contribution Amount Half-yearly Contribution Amount Fixed Pension Amount given to the Subscriber and Spouse Return of Corpus to the nominee of the subscriber - Indicative Figures
18 42 84 250 496 Rs. 2000 Rs. 3,40,000
19 41 92 274 543 Rs. 2000 Rs. 3,40,000
20 40 100 298 590 Rs. 2000 Rs. 3,40,000
21 39 108 322 637 Rs. 2000 Rs. 3,40,000
22 38 117 349 690 Rs. 2000 Rs. 3,40,000
23 37 127 378 749 Rs. 2000 Rs. 3,40,000
24 36 139 414 820 Rs. 2000 Rs. 3,40,000
25 35 151 450 891 Rs. 2000 Rs. 3,40,000
26 34 164 489 968 Rs. 2000 Rs. 3,40,000
27 33 178 530 1050 Rs. 2000 Rs. 3,40,000
28 32 194 578 1145 Rs. 2000 Rs. 3,40,000
29 31 212 632 1251 Rs. 2000 Rs. 3,40,000
30 30 231 688 1363 Rs. 2000 Rs. 3,40,000
31 29 252 751 1487 Rs. 2000 Rs. 3,40,000
32 28 276 823 1629 Rs. 2000 Rs. 3,40,000
33 27 302 900 1782 Rs. 2000 Rs. 3,40,000
34 26 330 983 1948 Rs. 2000 Rs. 3,40,000
35 25 362 1079 2136 Rs. 2000 Rs. 3,40,000
36 24 396 1180 2337 Rs. 2000 Rs. 3,40,000
37 23 436 1299 2573 Rs. 2000 Rs. 3,40,000
38 22 480 1430 2833 Rs. 2000 Rs. 3,40,000
39 21 528 1574 3116 Rs. 2000 Rs. 3,40,000
40 20 582 1734 3435 Rs. 2000 Rs. 3,40,000

c) For a fixed pension of Rs. 3000, the return of corpus to the nominee is as given below -

Joining Age Number of Years (Contribution) Monthly Contribution Amount Quarterly Contribution Amount Half-yearly Contribution Amount Fixed Pension Amount given to the Subscriber and Spouse Return of Corpus to the nominee of the subscriber - Indicative Figures
18 42 126 376 744 Rs. 3000 Rs. 5,10,000
19 41 138 411 814 Rs. 3000 Rs. 5,10,000
20 40 150 447 885 Rs. 3000 Rs. 5,10,000
21 39 162 483 956 Rs. 3000 Rs. 5,10,000
22 38 177 527 1045 Rs. 3000 Rs. 5,10,000
23 37 192 572 1133 Rs. 3000 Rs. 5,10,000
24 36 208 620 1228 Rs. 3000 Rs. 5,10,000
25 35 226 674 1334 Rs. 3000 Rs. 5,10,000
26 34 246 733 1452 Rs. 3000 Rs. 5,10,000
27 33 268 799 1582 Rs. 3000 Rs. 5,10,000
28 32 292 870 1723 Rs. 3000 Rs. 5,10,000
29 31 318 948 1877 Rs. 3000 Rs. 5,10,000
30 30 347 1034 2048 Rs. 3000 Rs. 5,10,000
31 29 379 1129 2237 Rs. 3000 Rs. 5,10,000
32 28 414 1234 2443 Rs. 3000 Rs. 5,10,000
33 27 453 1350 2673 Rs. 3000 Rs. 5,10,000
34 26 495 1475 2921 Rs. 3000 Rs. 5,10,000
35 25 543 1618 3205 Rs. 3000 Rs. 5,10,000
36 24 594 1770 3506 Rs. 3000 Rs. 5,10,000
37 23 654 1949 3860 Rs. 3000 Rs. 5,10,000
38 22 720 2146 4249 Rs. 3000 Rs. 5,10,000
39 21 792 2360 4674 Rs. 3000 Rs. 5,10,000
40 20 873 2602 5152 Rs. 3000 Rs. 5,10,000

d) For a fixed pension of Rs. 4000, the return of corpus to the nominee is as given below -

Joining Age Number of Years (Contribution) Monthly Contribution Amount Quarterly Contribution Amount Half-yearly Contribution Amount Fixed Pension Amount given to the Subscriber and Spouse Return of Corpus to the nominee of the subscriber - Indicative Figures
18 42 168 501 991 Rs. 4000 Rs. 6,80,000
19 41 183 545 1080 Rs. 4000 Rs. 6,80,000
20 40 198 590 1169 Rs. 4000 Rs. 6,80,000
21 39 215 641 1269 Rs. 4000 Rs. 6,80,000
22 38 234 697 1381 Rs. 4000 Rs. 6,80,000
23 37 254 757 1499 Rs. 4000 Rs. 6,80,000
24 36 277 826 1635 Rs. 4000 Rs. 6,80,000
25 35 301 897 1776 Rs. 4000 Rs. 6,80,000
26 34 327 975 1930 Rs. 4000 Rs. 6,80,000
27 33 356 1061 2101 Rs. 4000 Rs. 6,80,000
28 32 388 1156 2290 Rs. 4000 Rs. 6,80,000
29 31 423 1261 2496 Rs. 4000 Rs. 6,80,000
30 30 462 1377 2727 Rs. 4000 Rs. 6,80,000
31 29 504 1502 2974 Rs. 4000 Rs. 6,80,000
32 28 551 1642 3252 Rs. 4000 Rs. 6,80,000
33 27 602 1794 3553 Rs. 4000 Rs. 6,80,000
34 26 659 1964 3889 Rs. 4000 Rs. 6,80,000
35 25 722 2152 4261 Rs. 4000 Rs. 6,80,000
36 24 792 2360 4674 Rs. 4000 Rs. 6,80,000
37 23 870 2593 5134 Rs. 4000 Rs. 6,80,000
38 22 957 2852 5648 Rs. 4000 Rs. 6,80,000
39 21 1054 3141 6220 Rs. 4000 Rs. 6,80,000
40 20 1164 3469 6869 Rs. 4000 Rs. 6,80,000

e) For a fixed pension of Rs. 5000, the return of corpus to the nominee is as given below -

Joining Age Number of Years (Contribution) Monthly Contribution Amount Quarterly Contribution Amount Half-yearly Contribution Amount Fixed Pension Amount given to the Subscriber and Spouse Return of Corpus to the nominee of the subscriber - Indicative Figures
18 42 210 626 1239 Rs. 5000 Rs. 8,50,000
19 41 228 679 1346 Rs. 5000 Rs. 8,50,000
20 40 248 739 1464 Rs. 5000 Rs. 8,50,000
21 39 269 802 1588 Rs. 5000 Rs. 8,50,000
22 38 292 870 1723 Rs. 5000 Rs. 8,50,000
23 37 318 948 1877 Rs. 5000 Rs. 8,50,000
24 36 346 1031 2042 Rs. 5000 Rs. 8,50,000
25 35 376 1121 2219 Rs. 5000 Rs. 8,50,000
26 34 409 1219 2414 Rs. 5000 Rs. 8,50,000
27 33 446 1329 2632 Rs. 5000 Rs. 8,50,000
28 32 485 1445 2862 Rs. 5000 Rs. 8,50,000
29 31 529 1577 3122 Rs. 5000 Rs. 8,50,000
30 30 577 1720 3405 Rs. 5000 Rs. 8,50,000
31 29 630 1878 3718 Rs. 5000 Rs. 8,50,000
32 28 689 2053 4066 Rs. 5000 Rs. 8,50,000
33 27 752 2241 4438 Rs. 5000 Rs. 8,50,000
34 26 824 2456 4863 Rs. 5000 Rs. 8,50,000
35 25 902 2688 5323 Rs. 5000 Rs. 8,50,000
36 24 990 2950 5843 Rs. 5000 Rs. 8,50,000
37 23 1087 3539 6415 Rs. 5000 Rs. 8,50,000
38 22 1196 3564 7058 Rs. 5000 Rs. 8,50,000
39 21 1318 3928 7778 Rs. 5000 Rs. 8,50,000
40 20 1454 4333 8581 Rs. 5000 Rs. 8,50,000

Difference between Atal Pension Yojana & National Pension Scheme

No, the Atal Pension Yojana and the National Pension Scheme are two different saving schemes formulated by the government. Though, the Atal Pension Scheme does fall under the ambit of the PFRDA and is regulated under the National Pension Scheme. Introduced by the government in 2015, the Atal Pension Scheme has several differences from that of the National Pension Scheme. They are:

  • With regard to the joining age, one can subscribe to the Atal Pension scheme between 18 to 40 years of age, whereas, for the National Pension Scheme the joining age is anywhere between 18 to 60 years of age.
  • For the Atal Pension Yojana scheme, only Indian residents can subscribe to the savings scheme but for National Pension Scheme even NRI’s can subscribe to it.
  • In the case of the Atal Pension Scheme, subscribers have a standard guaranteed pension after retirement. For subscribers of the National Pension Scheme, their pension received varies with their option of asset classes – Asset Class E, Asset Class G, or Asset Class C.
  • Under the Atal Pension Yojana scheme, there are five pension slabs – Rs.1,000, Rs.2,000, Rs.3,000, Rs.4,000 and Rs.5,000 – after retirement. In the case of the National Pension Scheme, pension received post retirement depends on the Pension Fund Manager’s performance. 50% of the amount is disbursed upon retirement and the balance is disbursed in monthly installments.
  • There is no premature withdrawal in the Atal Pension scheme except in the case of death or a special condition. In the National Pension Scheme, premature withdrawals are allowed only for Tier II accounts.
  • The National Pension Scheme has two types of accounts – Tier I and Tier II accounts. In the case of the Atal Pension Yojana scheme there is only one type of account.
  • For subscribers of the National Pension Scheme, one can avail a tax rebate up to Rs.2 lakh but there are no tax benefits for Atal Pension Yojana subscribers.
  • In APY, for accounts opened on or before December 31, 2015, the government pays a contribution of 50% or Rs.1,000 – whichever is lower. For the NPS, there are no contributions made towards the subscriber.
  • APY covers only the pension of the individual but the NPS covers areas such as – old age provisional income, low-risk, high gain return of investment over a long period and an extension of the old age security coverage.
  • APY does not have a specialized Pension Fund Manager whereas the NPS has several Pension Fund Managers such as:
    • HDFC Pension Management Co.ltd
    • ICICI Prudential Pension Fund Management Co. Ltd.
    • Kotak Mahindra Pension Fund Ltd.
    • LIC Pension Fund Ltd.
    • Reliance Capital Pension Fund Ltd.
    • SBI Pension Funds Pvt. Ltd.
    • UTI Retirement Solutions Ltd.
    • Pension Fund by Birla Sunlife Insurance Co. Ltd.
  • For NPS account holders, a PRAN (Permanent Retirement Account Number) is allotted to check the status of their account and make contributions, but for ATP, contributions are automatically debited from one’s savings account.
  • One can open an ATP account at any Indian bank where one holds a savings account. For NPS, one can open their account only at PFRDA’s point of service providers.

Atal Pension Yojana Account Statement

For those subscribers who have already filled and submitted their application and documents to open an Atal Pension Yojana account, there is a possibility that there could be a delay, and the conclusive step would be to check the status of the account. Here are a few ways you can check your Atal Pension Yojana Account Statement:

  • The easiest way is to wait for the bank to revert to you regarding the status of the account via SMS. While making the application, make sure that your mobile number is correct. Once the account has to be activated, the bank will send you message informing you of the same.
  • Another option is to visit the site - http://www.pfrda.org.in/. Either they can facilitate the use of the toll-free grievance number - 1800 110 069 - or use the application number to check the status of their account.
  • Yet another option is to visit the NSDL website - https://npscra.nsdl.co.in/. Here, subscribers can check the status of their application and see if their account has been activated.

Atal Pension Yojana for Unemployed

The Atal Pension Yojana is designed exclusively for catering to the needs of individuals working in the unorganised sector. These individuals do not have access to proper income security in their old age as they do not belong to any specific industry or sector. They are not provided with any formal or certified pension schemes. Hence, the APY is great even for unemployed individuals who do not have access to pension facilities. However, the unemployed member should make certain to pay the contribution amount every month without fail. In case he or she misses a payment, then they will be forced to pay a penalty. The benefit of this scheme is that the beneficiary can decide how much he or she wants to contribute. Hence, if they are unemployed, they can decide to contribute a lower amount in order to stay safe. 

Any Indian citizen belonging to the age group of 18 to 40 years can apply for the APY scheme. As long as the applicant is not a part of any other social security system and has a savings bank account, he or she can subscribe to the APY scheme.  

Penalties for default & exit before the age of 60

For those failing to make monthly contributions, a penalty between Rs.1 to Rs.10 will be slapped on the subscriber, depending on the amount of the contribution. For those failing to make a contribution for a succession of 6 months, the account will be frozen An inoperable account for 12 months will be canceled.

Usually making an exit before the age of 60 is not permitted, unless in the case of death or disability. If one has managed to make an exit before the age of 60, the accumulated contribution will be refunded, though the government contribution along with the accrued income accumulated as a result of the government contribution will be deducted in this case before the money is refunded.

FAQ's

1. Is the Atal Pension Yojana Government of India co-contribution available to beneficiaries of all other social security schemes?

No, beneficiaries who fall under statutory social security schemes cannot receive the Government’s co-contribution. Beneficiaries of social security schemes under the below listed enactments are not eligible to receive the Government co-contribution.

Jammu Kashmir Employees’ Provident Fund & Miscellaneous Provision Act, 1961.

Seamens’ Provident Fund Act, 1966.

Assam Tea Plantation Provident Fund and Miscellaneous Provision, 1955.

The Coal Mines Provident Fund and Miscellaneous Provision Act, 1948.

Employees’ Provident Fund & Miscellaneous Provision Act, 1952.

Other applicable statutory social security schemes.

2. If a subscriber wants to open an Atal Pension Yojana account, what is the procedure to be followed?

Customers have to fill-in the Atal Pension Yojana subscription form.

The Aadhaar number and a valid mobile number have to be provided.

The submitted form has to be submitted to the concerned bank and auto-debits have to be set in the customer’s bank account. It is mandatory that the subscriber maintains the required balance in his savings account for making regular contributions.

3. Does the subscriber compulsorily have to submit the Aadhaar number while registering for the Atal Pension Yojana scheme?

It is not mandatory for the applicant to provide the Aadhaar number while subscribing but, the Aadhaar card will be the primary KYC document required by banks to identify beneficiaries, nominees and the subscriber’s spouse.

4. Can the Atal Pension Yojana account be opened without the subscriber holding a savings account?

No, while joining the Atal Pension Yojana scheme, it is mandatory for applicants to hold a savings bank account.

5. How is the due date for the monthly contribution decided?

The due date for an Atal Pension Yojana account is decided based on the first deposit date.

6. Is it mandatory for subscribers to give a nomination when they join the Atal Pension Yojana scheme?

Yes, nominations are mandatory. The nominee details have to be provided along with spouse’s details while applying for the Atal Pension Yojana scheme. The Aadhaar details also have to be provided for the spouse and the nominee.

7. How many Atal Pension Yojana accounts can a subscriber open?

A single subscriber is allowed to open only one Atal Pension Yojana account, which will remain unique to him.

8. Can an applicant join the Atal Pension Yojana scheme without holding an Aadhaar number?

When opening the Atal Pension Yojana account an Aadhaar number is not required, but Aadhaar details would be needed for enrolling beneficiaries, spouse and while identifying nominees.

9. Can members of the Employees Provident Fund (EPF) enroll for the Atal Pension Yojana scheme?

Yes, Employees Provident Fund (EPF) subscribers are also eligible to enroll for the Atal Pension Yojana scheme.

10. Can Atal Pension Yojana account holders enjoy any tax benefits from the scheme?

No, subscribers cannot get any tax deductions on the monthly contribution amount done under the Atal Pension Yojana scheme.

11. Are Atal Pension Yojana subscribers eligible to change their monthly contribution amounts?

Yes, monthly contributions amounts can be decreased or increased, depending on the subscriber’s requirements, once a year, during April.

12. How can a subscriber check his Atal Pension Yojana account balance?

Atal Pension Yojana subscribers will receive periodic statements regarding the status of their accounts and the balance available. Instant information can be got through an SMS alert on the registered mobile number.

13. If a subscriber changes his city of residence, can he still make monthly contributions to his Atal Pension Yojana account?

Yes, he can continue to make monthly contributions to his Atal Pension Yojana account without any interruptions, as the amount is paid only through preset auto-debits.

14. What happens if an Atal Pension Yojana account does not hold the required amount of funds for making the monthly contribution?

If the required amount of funds are not available in the subscriber’s account, then the bank will impose a penalty amount for each delayed contribution.

15. What happens to an Atal Pension Yojana account if the subscriber becomes an NRI?

Only Indian citizens are eligible to open an Atal Pension Yojanaaccount. If an Atal Pension Yojana subscriber becomes an NRI, then the account will be closed. The accrued contribution amount will be given to the subscriber and this will be treated like a voluntary exit done before the age of 60.

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News About Atal Pension Yojana

  • Atal Pension Yojana age limit may increase from 40 years to 50 years

    Hemant Contractor, chairman of Pension Fund Regulatory and Development Authority (PFRDA), said on 18 February 2019 that they have requested the Indian Government to increase the upper age limit for the Atal Pension Yojana (APY) scheme from 40 years to 50 years. However, the government is yet to give a response regarding the issue.

    Currently, people between 18 years and 40 years of age, who have an active mobile number and a savings bank account can open an APY account. On attaining the age of 60 years, individuals are guaranteed a regular pension between Rs.1,000 and Rs.5,000. In December 2018, the government decided to increase its contribution from 10% to 14% for central government employees under the National Pension System (NPS). Hemant Contractor further added that he hopes the government increases its contribution for state government employees as well.

    19 February 2019

  • PFRDA to Digitize the Services of the Atal Pension Yojana

    The Pension Fund Regulatory and Development Authority (PFRDA) has been working towards digitizing the services that it offers to the subscribers of the Atal Pension Yojana (APY). The PFRDA is looking to extend the benefits of online services to make transactions more convenient and less time-consuming.

    The PFRDA has introduced a number of online features including a grievance redressal module, the option of upgrading or downgrading pension amount and seeding Aadhaar details with the APY account. Additionally, a mobile application has also been launched to provide subscribers with the real-time information on their accounts.

    The PFRDA has also launched the APY@eNPS that offers users digital enrollment to the APY and does not require submission of any physical forms.

    The number of subscribers to the APY has been growing steadily and is now close to crossing the 1 crore mark.

    30 March 2018

  • Aadhaar card mandatory for Atal Pension Yojana subscribers

    On January 1, 2018, the PFRDA announced that linking one’s Aadhaar card will be made mandatory for all those wishing to subscribe to the Atal Pension Yojana. The organisation made the decision aligning to the Government of India’s push for all citizens to enroll in the Aadhaar card scheme. In fact, now when subscribing to the Atal Pension Yojana now subscribers will have to fill in their Aadhaar card details in the account opening form. As per the form, it states that - I hereby authorize PFRDA to use my Aadhaar details for APY and authenticate my identity through the Aadhaar Authentication system in accordance with the provisions of the Aadhaar (Targeted Delivery of Financial and other Subsidies, Benefits and Services) Act,2016 and rules and regulations notified there under.

    1 January 2018

  • PFRDA aims at 1 crore subscribers for the Atal Pension Yojana by the end of the financial year

    Already having 75 lakh subscribers enrolled to the Atal Pension Yojana, the PFRDA is aiming at touching 1 crore subscriber by March 2018, in the focus of making India a pension society. According to PFRDA Chairman Hemant Contractor, we have fixed a target of 1 crore for APY to be achieved by this fiscal-end. When we can achieve huge success in Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY), we see no reason why can’t the APY target be achieved. According to an official, the  objective of the PFRDA is to cover the maximum possible population uncovered by any pension scheme under the APY scheme so that India as a nation could move from a ‘pension-less’ to a ‘pensioned society’. And in a bid to meet its objective, PFRDA has already taken lots of initiatives to increase the subscriber base under the Atal Pension Yojana.

    29 November 2017

  • Atal Pension Yojana mobilisation campaign to expand reach

    To expand its reach across the country, the PFRDA has organised the Atal Pension Yojana mobilisation campaign. According to the PFRDA chairman, Hemant Contractor, we are launching state-specific APY campaigns. We have started off with Uttar Pradesh and will be running this campaign across 5-6 big states in order to get as many people in the state as possible to join APY. In the first three days, more than 15,000 APY accounts have been sourced in UP.

    20 November 2017

  • PFRDA, Centre Targets 1 Crore Atal Pension Yojana Accounts by March

    The pension regulator (PFRDA) along with the Central Government are hoping to bring in at least 1 crore subscribers under Atal Pension Yojana (APY) by March 2018. APY is a flagship scheme of the Centre and is overseen by PFRDA.

    Atal Pension Yojana is a very important component of the government’s plan to include those 60 years and above in age in pension benefit schemes. Since its launch 2 years ago, the scheme has attracted 69 lakh customers.

    The Secretary of Financial Services Department, Rajiv Kumar, remarked that pension coverage in India is quite low, still at around 10% to 12%. He opined that since other government pension programmes have been huge success in the past, the Atal Pension Yojana will be no different in achieving its target.

    The Financial Services Department is closely watching the progress in APY enrolment. In the period April to September 2017, 20 lakh APY new accounts were opened.

    Since its inception in June 2016, the pension had 25 lakh accounts opened in 2015-16, and an additional 25 lakh APY accounts were registered in 2016-17.

    15 October 2017

  • 62 lakh citizens have enrolled with the Atal Pension Yojana

    Despite the Atal Pension Yojana being launched only two years back by the Modi-led Government, the scheme has already achieved a subscriber base of 62 lakh. Jubilant with the feat, the PFRDA said, when the interest rate on various financial instruments including savings bank is declining, Atal Pension Yojana as a pension scheme offers a guaranteed rate of 8% assured return for the subscribers and also the opportunity of higher earnings in case the rate of return is higher than 8% at the time of maturity after staying invested in the scheme for 20-42 years. The organisation added by saying that increasing enrolment is attributed to financialisation of assets and driving the people to pension products which has government implicit guarantee to give an assured pension to the subscriber, spouse and return of corpus to the nominee. They ended the statement by saying that their objective is to cover the maximum possible population uncovered by any pension scheme under the APY scheme so that India can move from a pension-less to a pensioned society and the citizens can live a life of dignity in their vulnerable years.

    4 September 2017

  • More than 58 lakh subscribe to the Atal Pension Yojana

    The government-backed pension scheme which was relaunched by Prime Minister Narendra Modi has crossed a subscriber base of 58 lakh members. According to a survey carried out by the Ministry of Finance, more than 58 lakh citizens have subscribed to the Atal Pension Yojana (APY). As on July 22, 2017, the APY subscriber base stood at 58,08,071 as against 34,84,895 on March 31, 2016. For this, the government, under APY has allocated a fund of Rs 155 crore in 2017-18.

    22 August 2017

  • Government provides social security cover for the unorganized sector

    A measure to reach out to people in the country who are less fortunate, the government enacted the Unorganised Workers' Social Security Act, 2008, to aid people from the rural areas and the unorganized sector. The welfare schemes falling under this act are: life and disability cover, old age protection and health and maternity benefits, while benefits under the National Social Security Board also fall under this act. To care for the senior citizens who are often neglected, the government launched the Atal Pension Yojana (APY). Here, senior citizen subscribers would get a fixed minimum pension, provided that the senior citizen is not an Income Tax payer or has any other statutory social security benefit from other schemes.

    5 December 2016

  • Rs.500 and Rs.1,000 Not Legal Tender

    PM Narendra Modi address the nation with an announcement that quite shocked the citizens. In efforts to curb black money in the economy, on 8th November, Modi declared all Rs.500 and Rs.1,000 notes to not be legal tender from midnight. People have the option to deposit all Rs.1,000 and Rs.500 notes into their bank or post office accounts, or they can exchange it for other denominations. All other denominations of notes and coins will be valid in the country including Re.1, Rs.2, Rs.5, Rs.10, Rs.50, and Rs.100. The deadline for depositing the invalid denominations falls on 30th December. Between 31st December and 31st March, people can still deposit or exchange the money at RBI branches with a declaration.While assuring the government that the PFRDA has the infrastructure in place to facilitate the merge, he iterated that consolidation will propel the growth of subscribers for pension products. In addition, he also requested the government to look into forming parity between the EPF and the NPS schemes, as the former is tax-free while in the case of the latter, only upto 40% is tax-free, while considering the consolidation.

    28 November 2016

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