Atal Pension Yojana: Secure Your Retirement with Guaranteed Monthly Pensions

The Atal Pension Yojana provides a secure future with guaranteed monthly pensions. Indian citizens aged 18 to 40 can enroll. Contributions ensure a pension of Rs 1,000 to Rs 5,000 from age 60. The scheme offers continued benefits to spouses and nominees in case of subscriber death. This government-backed initiative secures retirement for many.

The Pension Fund Regulatory and Development Authority-regulated Atal Pension Yojana (APY) is a government-backed social security scheme designed to help citizens get a guaranteed monthly pension after retirement. Investors in APY can get up to Rs 5,000 monthly pension after the retirement age of 60.

Who can invest in APY?

APY is open to all citizens of India who have savings bank accounts. The minimum age to join APY is 18 years and the maximum is 40 years. From October 1, 2022, any citizen who is or has been an income taxpayer, is not eligible to join APY.

APY contributions

To join APY, you need to be at least 18-year-old, and the upper limit is 40 years. You exit the APY scheme and start receiving pension at 60. The amount you contribute to APY depends on how old you are when you sign up. Basically, the older you are when you join, the more you need to contribute each month.

Contributions to APY are 'auto-debited' from your savings bank account on a monthly, quarterly, or half-yearly basis. Once you join APY, you are expected to keep contributing the stipulated amount until you hit 60.

How to get Rs 1,000-Rs 5,000 monthly pension under Atal Pension Yojana

ET Wealth Online is sharing the monthly APY contributions needed to get Rs 1,000-Rs 5,000 monthly APY pension for subscribers aged 18, 20, 25, 30, 35 and 40 years. They need to make these monthly contributions till the age of 60 years.

Monthly APY contributions needed to get Rs 1,000/month pension at retirement for subscribers aged 18-40 years

Age at entry Vesting period Rs 1000/month pension 18 42 Rs 42/month 20 40 Rs 50/month 25 35 Rs 76/month 30 30 Rs 116/month 35 25 Rs 181/month 40 20 Rs 291/month

Monthly APY contributions required to get Rs 2,000/month pension at retirement for subscribers aged 18-40 years

Age at entry Vesting period Rs 2000/month pension 18 42 Rs 84/month 20 40 Rs 100/month 25 35 Rs 151/month 30 30 Rs 231/month 35 25 Rs 362/month 40 20 Rs 582/month

Monthly APY contributions required to get Rs 3,000/month pension at retirement for subscribers aged 18-40 years

Age at entry Vesting period Rs 3000/month pension 18 42 Rs 126/month 20 40 Rs 150/month 25 35 Rs 226/month 30 30 Rs 347/month 35 25 Rs 543/month 40 20 Rs 873/month

Monthly APY contributions required to get Rs 4,000/month pension at retirement for subscribers aged 18-40 years

Age at entry Vesting period Rs 4000/month pension 18 42 Rs 168/month 20 40 Rs 198/month 25 35 Rs 301/month 30 30 Rs 462/month 35 25 Rs 722/month 40 20 Rs 1164/month

Monthly APY contributions required to get Rs 5,000/month pension at retirement for subscribers aged 18-40 years

Age at entry Vesting period Rs 5000/month pension 18 42 Rs 210/month 20 40 Rs 248/month 25 35 Rs 376/month 30 30 Rs 577/month 35 25 Rs 902/month 40 20 Rs 1454/month

Who gets the pension after the death of an APY subscriber?

If the subscriber dies before reaching 60 years of age, their spouse can choose to continue contributing to the subscriber’s APY account for the remaining period until the subscriber would have turned 60. After that, the spouse will receive the same pension amount that the subscriber was entitled to, until the spouse’s death. After the death of both the subscriber and the spouse, the nominee will receive the accumulated pension corpus.