Atal Pension Yojana (APY) is a government-run pension scheme centered on unorganised sector employees which permits subscribers to earn a set month-to-month pension to the tune of Rs 1,000-5,000 upon attaining retirement. The Atal Pension scheme is accessible at India Post branches supporting core-banking options. The scheme is accessible to these between 18 and 40 years of age on the time of subscription. A pre-defined quantity is deducted from the checking account of a subscriber as contribution to the retirement corpus below the Atal Pension scheme. The quantity of contribution varies relying upon components such because the subscriber’s age and the selection of month-to-month pension.
Here are 10 issues to know concerning the Atal Pension Scheme:
Eligibility: Workers within the age group of 18-40 years can enroll within the Atal Pension scheme. The applicant must have a financial savings account, in a financial institution or a publish workplace. Each subscriber can solely have one Atal Pension account.
Pension Amount: Currently, the Atal Pension Scheme offers 5 mounted month-to-month pension choices: Rs 1,000, Rs 2,000, Rs 3,000, Rs 4,000 and Rs 5,000.
Contribution: The quantity chosen on the time of registration is deducted from the subscriber’s account on a month-to-month, quarterly or half-yearly foundation. The quantity varies from Rs 42 and Rs 1,454 per thirty days. The first instalment is deducted from the subscriber’s financial savings account on the time of registration.
Mode Of Payment: The contributions are paid at chosen intervals – month-to-month, quarterly or half yearly – via auto debits from the linked financial savings account.
Guaranteed Minimum Pension: The Atal Pension scheme ensures a minimal pension, which signifies that the federal government covers any shortfall within the the precise realised returns compared to assumed returns over the interval of contribution. On the opposite hand, any greater returns are paid to the subscriber.
How To Operate Atal Pension Scheme Account: After profitable registration, the subscriber solely has to take care of the instalment quantity within the linked financial savings account on the due dates to make sure operability.
Delayed Contribution: In case a subscriber doesn’t have adequate funds within the financial savings account on the due date, the APY scheme offers an choice to pay a delayed instalment together with overdue curiosity. The contribution is paid the following month together with overdue curiosity, which is Rs 1 per thirty days for each Rs 100 for every delayed month-to-month contribution.
Continuous Default: In case of steady default, account upkeep expenses and different associated expenses are deducted from the Atal Pension account on a periodic foundation. Once the account stability within the corpus reaches zero, the account is closed instantly.
Flexibility: It is feasible to modify to a decrease or greater quantity of month-to-month contribution below sure circumstances. This window is accessible solely every year, within the month of April.
Amount Of Contribution: The contribution quantity varies for subscribers of various age teams. Here’s a listing mentioning indicative month-to-month contributions required by totally different age teams: