APY - Atal Pension Yojana

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Atal Pension Yojana is a pension scheme that focuses on helping the working poor have a steady income after retirement.

Atal Pension Yojana Information

Pension Amount Up to Rs.5,000
Age Limit 18 years – 40 years
Contribution Period Minimum 20 years
Exit Age 60 years

The Atal Pension Yojana (APY) scheme was announced by the Government of India in the 2015-2016 budget with the purpose of helping individuals who are working in the unorganised sector.

  • A pension of up to Rs.5,000 is paid per month
  • Tax benefits are provided
  • The Indian Government co-contributes towards the scheme
  • Risk-free scheme

Atal Pension Yojana scheme encourages them to save for their retirement. All operations of the scheme are handled by the Pension Fund Regulatory and Development Authority (PFRDA). The APY scheme is a voluntary scheme to save for retirement.

For more information, Check out related articles Atal Pension Yojana Rules, Atal Pension Yojana Calculator & Atal Pension Yojana SBI

Objectives of Atal Pension Yojana

The main objective of the Atal Pension Yojana can be summed up as follows:

  • Provision of security and protection of citizens against illness, accidents, diseases, and so on.
  • This scheme is mainly aimed at the unorganized sector in the country.

How to Download the APY Form

You can avail the Atal Pension Yojana (APY) account opening form by using any one of the following methods:

  • You can collect the form from any nearby branch office of any participant bank.
  • You can download and get a print of the form from the official websites of the participant banks, provided they have the facility for the same.
  • You can download the APY account opening form from the official website of Pension Fund Regulatory and Development Authority (PFRDA).

Process to Apply for the Atal Pension Yojana

The below-mentioned steps must be followed to avail the benefits of the scheme:

  • All nationalised banks offer the APY scheme. Individuals can visit these banks to open an APY account.
  • The account opening forms are available online on the bank websites as well. Individuals can download the application form.
  • The application form is available in English, Telugu, Tamil, Odia, Marathi, Kannada, Gujarati, and Bangla.
  • The application form must be filled and submitted at the bank.
  • A valid mobile number should be provided.
  • Aadhaar card photocopy must be submitted.

Upon approval of your application, you will receive a confirmation message.

How to Fill the Atal Pension Yojana Form?

Once you have procured the form for the Atal Pension Yojana Scheme, filling it is simple.

Step 1: Addressing the form

You have to address the form to the Branch Manager. You can find out the name of your Branch Manager by calling or visiting the bank. Enter your bank name and branch.

Step 2: Bank details

Fill the form in BLOCK letters. First, you are required to provide your bank details. Enter your bank account number, bank name and bank branch. This field is compulsory.

Step 3: Personal details

  • Tick the box that is applicable that indicates whether you are ‘Shri’, ‘Smt’ or ‘Kumari’. Tick 'Shri’ if you are a male applicant. Tick ‘Smt’ if you are a married female applicant. Tick ‘Kumari’ if you are a single female applicant.
  • Married applicants must enter their spouse’s name.
  • Enter your full name, date of birth, and age.
  • Provide your mobile number, email address and Aadhaar number.
  • You can then nominate someone and state their relationship to you. A nominee will receive your contribution in case of your death.
  • If the nominee is a minor, you need to provide their date of birth and guardian's name.
  • You must also state if the nominee has any other statutory social security schemes and if they are income taxpayers.

Step 4: Pension details

You can contribute towards your pension, between Rs.1,000 and Rs.5,000 with options in the form as Rs.1,000, Rs.2,000, Rs.3,000, Rs.4,000, and Rs.5,000. The box below titled; ‘Contribution Amount (Monthly)’ is to be left blank as the bank will fill that in after calculating the amount you have to pay every month to receive the pension.

The calculation will be based on your entry age. For example, for a pension of Rs.2,000, if your entry age is 25 years, you will have to pay Rs.151 per month.

Step 5: Declaration and Authorisation

You need to fill in the date and place. You can either sign the document or put a thumb impression. By signing the document, you declare that you meet the Atal Pension Yojana eligibility criteria, and that you have read and understood the terms and conditions of the scheme. You declare that all the information you have written is correct as far as you know. If any changes have to be made to the information provided, you will contact the bank immediately. You also declare that you do not have any account under NPS (National Pension System). You will be held liable for any false or incorrect information knowingly provided.

Step 6: To be filled in by the bank

The last section of the Atal Pension Scheme form, titled ‘Acknowledgement - Subscriber Registration for Atal Pension Yojana (APY)’ is to be filled in by the bank. It is an acknowledgment from the bank that they will subscribe to the Atal Pension Yojana Scheme for you. After you submit the form, the bank agent will fill it out.

What Is the Investment Plan for the Atal Pension Yojana (APY)?

The returns for the Atal Pension Yojana (APY) are guaranteed. The different strands under which your money is invested are as follows:

Type of Investment Quantum of Investment
Government Securities 45% to 50%
Term deposits of banks and debt securities 35% to 45%
Equity and equity-related instruments 5% to 15%
Asset Backed Securities and so on Up to 5%
Money Market Instruments Up to 5%

Contributions towards the Atal Pension Yojana

The monthly pension that you want to receive and your age when you start the scheme, the main factors that affect the monthly contribution towards Atal Pension Yojana. The table below shows the monthly contribution that an individual must make and the number of years the contribution must be made to receive a pension of Rs.1,000, Rs.2,000, Rs.3,000, Rs.4,000, or Rs.5,000:

Entry age Number of years of contributions Monthly pension of Rs.1,000 and a return of corpus of Rs.1.70 lakh (Rs.) Monthly pension of Rs.2,000 and a return of corpus of Rs.3.40 lakh (Rs.) Monthly pension of Rs.3,000 and a return of corpus of Rs.5.10 lakh (Rs.) Monthly pension of Rs.4,000 and a return of corpus of Rs.6.80 lakh (Rs.) Monthly pension of Rs.5,000 and a return of corpus of Rs.8.50 lakh (Rs.)
18 42 42 84 126 168 210
19 41 46 92 138 183 228
20 40 50 100 150 198 248
21 39 54 108 162 215 269
22 38 59 117 177 234 292
23 37 64 127 192 254 318
24 36 70 139 208 277 346
25 35 76 151 226 301 376
26 34 82 164 246 327 409
27 33 90 178 268 356 446
28 32 97 194 292 388 485
29 31 106 212 318 423 529
30 30 116 231 347 462 577
31 29 126 252 379 504 630
32 28 138 276 414 551 689
33 27 151 302 453 602 752
34 26 165 330 495 659 824
35 25 181 362 543 722 902
36 24 198 396 594 792 990
37 23 218 436 654 870 1,087
38 22 240 480 720 957 1,196
39 21 264 528 792 1,054 1,318

Atal Pension Yojana Withdrawal Procedure

Atal Pension Yojana
Atal Pension Yojana

Although initially this scheme did not permit exiting before you reach the age of 60, the Atal Pension Yojana withdrawal procedure has been slightly modified:

  • If you have reached 60 years of age, then you can exit this scheme with a complete annuitization of the pension amount. You will have to visit the bank and apply for your pension.
  • You can exit the scheme before turning 60 years old only under exceptional circumstances such as terminal illness or death. In case of your demise before reaching the age of 60, your spouse will receive your pension. In the event that both you and your spouse have expired, the pension would be paid to your nominee.

Atal Pension Yojana Penalty Charges

In case of delayed payments, the below-mentioned (APY) penalty charges will be levied on a monthly basis:

  • Penalty of Re.1 will be levied in case of contributions of up to Rs.100 per month.
  • Penalty of Rs.2 will be charged in case of contributions between Rs.101 and Rs.500 per month.
  • Penalty of Rs.5 will be levied for contribution between Rs.500 and Rs.1,000 per month.
  • Penalty of Rs.10 will be charged in case of payments above Rs.1,001 per month.

Depending on the pension amount, the APY penalty charges will be a fixed amount.

In case there is a stoppage in payments, the below-mentioned points apply:

  • If there are no payments made for a duration of 6 months, the account will be frozen.
  • The account will be deactivated if there are no payments made for a duration of 12 months.
  • The APY account will be closed if payments are not made for a duration of 24 months.

Atal Pension Yojana Eligibility

The eligibility of Atal Pension Yojana are mentioned below:

  • You must be an Indian citizen.
  • You must be between the ages of 18 and 40 years.
  • You must have an active mobile number.
  • You must have a valid bank account number linked to your Aadhaar number.
  • You must submit all ‘Know Your Customer’ details.
  • You must not have an existing APY account.

Features & Benefits of the Atal Pension Yojana

The main features of the APY scheme are mentioned below:

  • The Indian Government guarantees the minimum pension that will be paid to the individual after retirement.
  • Under Section 80CCD, individuals are eligible for Atal Pension Yojana tax benefits for the contributions made towards the scheme.
  • All bank account holders are eligible to join the APY scheme.
  • Individuals will start receiving pension once they reach the age of 60.
  • Private sector employees who are not provided any pension benefits are also allowed to apply for Atal Pension Yojana scheme.
  • You have an option of receiving a fixed pension of Rs.1,000, Rs.2,000, Rs.3,000, Rs.4,000, or Rs.5,000 once you reach 60 years of age.
  • In case of your demise during the scheme, your spouse can either claim the contributions or complete the duration of the scheme.

FAQs on the Atal Pension Yojana

  1. If I want to open an Atal Pension Yojana account, what is the procedure to be followed?
  2. Fill the Atal Pension Yojana subscription form. Provide your Aadhaar number and a valid mobile number. Then submit the APY form to the bank and set auto-debits from your bank account. Ensure you have a sufficient balance in your account to make regular contributions.

  3. Is it mandatory to submit the Aadhaar number while registering for this scheme?
  4. It is not mandatory 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.

  5. Can I open an Atal Pension Yojana account without holding a savings account?
  6. No, it is mandatory for the applicants to hold a savings bank account while applying for this scheme.

  7. How is the due date for the monthly contribution decided?
  8. The due date is decided based on the first deposit date.

  9. Is it mandatory for subscribers to give a nomination when they join the Atal Pension Yojana scheme?
  10. 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.

  11. How many Atal Pension Yojana accounts can a subscriber open?
  12. A single subscriber is allowed to open only one Atal Pension Yojana account, which will remain unique to them.

  13. Can I join the Atal Pension Yojana scheme without holding an Aadhaar number?
  14. When opening the Atal Pension Yojana account, an Aadhaar number is not required, but Aadhaar details would be needed for enrolling beneficiaries, spouses, and identifying nominees.

  15. Can members of the Employees Provident Fund (EPF) enroll for the Atal Pension Yojana scheme?
  16. Yes, Employees Provident Fund (EPF) Subscribers are also eligible to enrol for the Atal Pension Yojana scheme.

  17. Can Atal Pension Yojana account holders enjoy any tax benefits from the scheme?
  18. No, subscribers cannot get any tax deductions on the monthly contribution amount done under the Atal Pension Yojana scheme.

  19. Can I change my monthly contribution amounts?
  20. Yes, monthly contributions amounts can be decreased or increased once a year, during April, depending on your requirements.

  21. How can I check my account balance?
  22. You will receive periodic statements regarding the status of your accounts and the balance available. Instant information can be received through an SMS alert on the registered mobile number.

  23. I have changed my city of residence; can I still make monthly contributions to my account?
  24. Yes, you can continue to make monthly contributions to your account without any interruptions, as the amount is paid only through pre-set auto-debits.

  25. What happens if I don’t have sufficient balance in my account to make my monthly contribution?
  26. In case of insufficient balance in your account for making your monthly contribution, a penalty will be imposed.

  27. What will happen to my account if I become an NRI?
  28. Only Indian citizens are eligible to open an Atal Pension Yojana account. If you become an NRI, then the account will be closed. The accrued contribution amount will be given to you and this will be treated like a voluntary exit done before the age of 60.

News About Atal Pension Yojana

  • APY scheme crosses 4 crore mark on total enrollment

    The Atal Pension Yojana (APY) scheme allows the subscriber receive a minimum guaranteed pension of Rs 1000 to Rs 5000 per month from the age of 60 years, according to his contribution. In the financial year 2021-22 more than 99 lakh APY accounts were opened. The total number of APY accounts opened till March 2022 was 4.01 crore. This has been possible due to the active participation of all categories of banks. The total number of enrollment done by public-sector banks is 71%, by regional rural banks is 19%, by private sector banks is 6% and by small finance bank is 3%.

    25 April 2022

  • APY crosses 3 crore subscribers during FY21

    Atal Pension Yojana (APY) saw over 79 lakh people subscribing to the scheme during FY 2020-21, the Pension Fund Regulatory and Development Authority (PFRDA) said today.

    Out of total 79.14 lakh subscribers who availed the APY scheme in the FY 2020-21, State Bank of India managed to source 22.07 lakh subscribers. Canara Bank and Indian Bank, sourced 5.89 lakh and 5.17 lakh subscribers respectively, during the same period while lenders like Airtel Payment Bank, Bank of Baroda, Central Bank of India, Bank of India, Union Bank of India, Punjab National Bank, Indian Overseas Bank, HDFC Bank, Axis Bank, Baroda UP Bank, and Aryavart Bank added new APY accounts between 1 and 5 lakh, for FY 2020-21.

    11 May 2021

  • Govt list out steps to increase the enrolment under Atal Pension Yojana

    The Central Government of India has come out with certain steps in order to increase enrolment under the Atal Pension Yojana (APY). Anurag Singh Thakur, Union Minister of State for Finance & Corporate Affairs announced some of the measures that the Government is taking to increase the enrolment under APY.

    The pensioner can now change the mode of payment of contribution monthly, quarterly, or half yearly.

    Subscribers now have the option of upgrading or downgrading the Pension amount at their convenience during the financial year. This facility, however, can be used once during the financial year.

    The APY accounts can be accessed via an official mobile app to access APY accounts. Other facilities can be availed through the app as well.

    APY subscribers can now become a part of APY through an alternate paper-less mode without having to use the net banking facility.

    The APY subscribers will now be able to avail a Grievance Module in case of any complaint.

    24 Mar 2021

  • 15 lakh new subscribers enrolled via SBI in 9 months

    More than 15 lakh new subscribers have become a part of Atal Pension Yojana (APY) via State Bank of India (SBI) for the year 2020-21 according to a report by PTI.

    According to a data released by Pension Fund Regulatory and Development Authority (PFRDA), more than 52 lakh new subscribers got themselves enrolled in this pension scheme till 31 December 2020. The total enrolments have now crossed 2.75 crores.

    APY, a government sponsored pension scheme, has seen substantial number of enrollments despite the financial impact caused by coronavirus pandemic. SBI allows one to register for the Atal Pension Yojana either online or offline.

    07 Jan 2021

  • Open an Atal Pension Yojana account without net banking

    If you have a bank account and are not using the net banking facility, you can now easily open an Atal Pension Yojana (APY) account. For easing the on-boarding process for all APY subscribers, the APY-POPs has been allowed by the Pension Fund Regulatory and Development Authority (PFRDA) for introducing an alternate channel for their online on-boarding.

    09 Nov 2020

  • PFRDA enables online on-boarding through banks’ own portal

    Savings bank customers might soon be able to avail another channel for on-boarding to the Atal Pension Yojana (APY) through online channels without having to use Net banking or a mobile App.

    APY-Points of Presence (PoPs) have been allowed by Pension regulator PFRDA to introduce an alternate channel for online on-boarding of their existing Savings account of customers through the lender’s own web portal.

    Currently, some lenders are providing online APY account opening through mobile app or net banking. However, a large number of bank customers are not using either of these facilities due to which, these bank customers are not able to open an APY account through online/digital mode.

    Thus, in order to solve this issue, PFRDA has decided to provide the facility of ‘Online Paperless On-boarding of Subscribers using the Web Portal.

    03 Nov 2020

  • Atal Pension Yojana has 2.5 million subscribers

    The Pension Fund Regulatory and Development Authority (PFRDA) announced that more than 2.5 crores subscribers have been now enrolled under the Atal Pension Yojana (APY) scheme. As on 10 October 2020, the APY’s schemes Asset Under Management (AUM) has grown to Rs.5,05,424 crores. The total number of subscribers the APY and National Pension Scheme (NPS) amounts to more than 3.76 crores. This has been achieved over a 12-year period.

    22 Oct 2020

  • 11% returns given by Atal Pension Yojana

    Atal Pension Yojana (APY), a pension scheme for people working in the unorganised sector has given out a better return that many other pension plans. This scheme had given more than 11% returns during the final year. LIC Pension Fund gave 10.94% as the return and the SBI Pension Fund had given out a return of 11.24%. UTI Retirement Solutions gave out a return of 1.01% during the same time period. Atal Pension Yojana (APY) gives pension ranging between Rs.1,000 and Rs.5,000 after one reaches the age of 60.

    28 Sept 2020

  • PFRDA says total assets under management of NPS and APY approaching a corpus of Rs.5 lakh crore

    The Chairman of Pension Fund Regulatory and Development Authority (PFRDA) has stated that the total assets under management of the National Pension System (NPS) and Atal Pension Yojana (APY) is approaching towards a corpus of Rs.5 lakh crore. Speaking at the 22nd CII Insurance and Pensions Summit, he stated that 83 percent of the total assets are from central and state government employees.

    As per the latest data, the total number of subscribers for the schemes stood at 3.68 crore. The PFRDA chairman also added that APY has seen a good growth in the number of new subscribers. During the period between April and August, the scheme saw about 2 million new subscribers' while in the first 15-16 days of September another 4 lakh were added.

    18 Sept 2020

  • Around 2 million individuals opt for the Atal Pension Yojana scheme since April

    According to the Chairman of the PFRDA, around 2 million individuals have subscribed to the Atal Pension Yojana scheme since April 2020. The total number of individuals under the scheme is at 21 million. The AUM of the NPS is likely to reach Rs.5 lakh crore by the end of September. In the current financial year, the figure has seen a growth of 16.5%. The AUM of the NPS is at Rs.4.85 lakh crore and the assets are likely to see a 34% growth on an annual basis. The quality of the asset has remained robust. According to the Chairman, that the schemes under the PFRDA provided good competition to various other mutual funds when it comes to returns.

    01 Sept 2020

  • Partial withdrawal facility may be provided to Atal Pension Yojana subscribers by the government

    The government may provide the partial withdrawal facility for Atal Pension Yojana subscribers to help them during the coronavirus outbreak that has crippled individuals in the unorganised sector.

    According to the Chairman of PFRDA, Supratim Bandyopadhyay, a circular would be issued within the next two days that will allow individuals for partial withdrawal due to COVID-19. The Chairman further added that apart from critical illnesses and emergencies, the condition for partial withdrawal under COVID-19. The Finance Ministry has been requested by the PFRDA to add this provision. The limit of withdrawal will be remaining the same at 25%. As of 31 March 2019, there are around 2.11 crore subscribers under the APY scheme. The total number of subscribers under the NPS and APY schemes is 3.47 crore. The National Pension System (NPS) and the APY are the two schemes that are run by the PFRDA. The APY scheme is targeted at unorganised sector workers, while the NPS scheme is provided for state and central governments, individual taxpayers, and autonomous bodies. The majority workforce of India is employed by this sector that comes under the APY scheme. Due to the current lockdown, the sector is facing difficulties.

    10 Apr 2020

  • Atal Pension Yojana allows you to get a pension of Rs.5,000 per month on a deposit Rs.10 per day

    The Atal Pension Yojana (APY) has been aiming at the unorganized sector and is now administered by the Pension Fund Regulatory and Development Authority (PFRDA). The pension plan had been launched in the year, 2015 and this encourages people from the unorganized sector to save for their retirement.

    According to industry experts, you can get maximum benefit from this scheme, if you choose at an early age. With the scheme, you can get a fixed pension ranging from Rs.1,000, up to Rs.5,000 after 60 years of age. The pension amount has been determined based on your age and the contribution which you make.

    03 Mar 2020

  • PFRDA aiming to add at least 10 lakh new subscribers by March

    PFRDA, India’s pension regulator, is looking add 10-12 lakh new subscribers to its two pension schemes by the current financial year that ends in March. The announcement was made by the Chairman of the PFRDA, Supratim Bandyopadhyay, on 26 February 2020. Supratim Bandyopadhyay was a whole-time member of the PFRDA for two years before taking charge as the chairman on 21 February 2020. The pension fund regulator that operates the National Pension System (NPS) and the Atal Pension Yojana (APY) is looking to have around 3.48 crore to 3.5 crore subscribers by the end of March. As of 22 February 2020, the number of subscribers under the two schemes is around 3.38 crore

    27 Feb 2020

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