Under APY, the monthly pension would be available to the subscriber, and after him to his spouse and after their death, corpus returned to the nominee.
Atal Pension Yojana
After the overwhelming response of Pradhan Mantri Jan Dhan Yojana, Prime Minister Sh. Narendra Modi on 9th May 2015 launched a series of social security schemes for the welfare of people working in the unorganized sector. These social security schemes of the government help cope up with uncertainties of life.
These schemes are as under:-
Atal Pension Yojana (APY)
Atal Pension Yojana
Atal Pension Yojana (APY), is a pension scheme launched by Prime Minister Sh. Narendra Modi for citizens of India. APY focusses on the unorganized sector workers.
Under APY, a guaranteed minimum pension of Rs. 1,000/-, 2,000/-, 3,000/-, 4,000 and 5,000/- per month will be given to subscriber at the age of 60 years depending on the contributions by the subscribers.
Under APY, the monthly pension would be available to the subscriber, and after him to his spouse and after their death, the pension corpus would be returned to the nominee of the subscriber.
Eligibility Criteria for Atal Pension Yojana
Applicant should be a Citizen of India.
Age of Applicant should be between 18 years to 40 years.
Applicant should be KYC compliant (must having valid address proof and id proof).
Applicant should not have a pre-existing APY Account. One subscriber can open only one Account.
Applicant should be a bank account holder.
Applicant should have a valid mobile number.
Documents Required For APY:
Applicant needs to submit a photocopy of Aadhaar card along with the duly filled application form.
Atal Pension Yojana Benefits:
The subscriber will receive a periodic physical statement of Account issued by NSDL on the address given in the core banking which has been submitted to NSDL.
Tax Benefit: The contributions made towards the APY are eligible for tax deduction under section 80CCD of Income Tax Act.
Governments Contribution: The government of India will also co-contribute 50% of the subscriber’s contribution or Rs. 1,000 per annum, whichever is lower. The Government co-contribution is available for those who are not covered by any Statutory Social Security Schemes and is not an Income Taxpayer
Terms & Conditions of Atal Pension Yojana (APY):
I. The minimum entry age for joining APY is 18 years & the maximum age is less than 40 years. Therefore, the minimum period of contribution by any subscriber under APY would be 20 years or more.
II. The subscriber's contribution towards APY invested as per investment guidelines prescribed by the Ministry of Finance, Government of India. APY administered by the PFRDA through NPS.
III. APY Beneficiaries already covered under statutory social security schemes are not eligible to receive Governments co-contribution.
IV. For example, members of the Social Security Schemes under the following enactments would not be eligible to receive Government co-contribution:
· Employees’ Provident Fund & Miscellaneous Provision Act, 1952.
· The Coal Mines Provident Fund and Miscellaneous Provision Act, 1948.
· Assam Tea Plantation Provident Fund and Miscellaneous Provision, 1955.
· Siemens’ Provident Fund Act, 1966.
· Jammu Kashmir Employees’ Provident Fund & Miscellaneous Provision Act, 1961.
Any other statutory social security scheme
V. An APY subscriber can opt to decrease or increase the pension amount during the course of the accumulation phase, as per the available monthly pension amounts.
However, the switching option shall be provided once a year during the month of April only by PFRDA.
VI. In case of married subscribers of APY, the spouse will be the nominee by default. The subscriber can provide additional nominee also.
VII. The APY subscribers need to maintain the required balance in their saving bank account to avoid any overdue interest for delayed contributions.
VIII. The due date for initial contribution will be T +2 where T is the date of request submission, the due date for regular contribution is 1st and 15th of every month, quarter or Half year.
IX. The penalty for delay in depositing APYs monthly contribution per subscriber is as below:-
· For subscribers investing up to Rs.100/month - Re.1 per month.
· For subscribers investing Rs. 101 to 500/month - Rs. 2 per month.
· For subscribers investing 501 to 1000/month- Rs. 5 per month.
· For subscribers investing above Rs. 1001/month- Rs. 10 per month.
If the account holder discontinues paying the monthly subscription for 24 consecutive months, the bank then closes the pension account permanently.
ATAL PENSION YOJANA (APY) STATEMENT
All APY subscribers receive periodic physical Statements of their pension Account issued by NSDL once a year.
Additionally, subscribers can also view their pension account details like contributions paid / transaction statement etc USING APY APP.
• Enter Name + Bank a/c No. + DOB & Print
OR
• Enter PRAN* + Bank a/c Number & Print
*PRAN is available in the APY contribution debit narration in your account (PRAN begins with “5” & is 12 digits)
All APY subscribers are advised to share mobile number details with the bank during enrolment to receive registration & contribution confirmation from NSDL.
There will be no physical PRAN card issued by PFRDA/NSDL for Atal Pension Yojana.
WITHDRAWL PROCEDURE FROM APY ACCOUNT
After completion of 60 years of age, the subscriber will have to submit the request to the associated bank for drawing the guaranteed minimum monthly pension in APY.
In case of death of the Subscriber due to any cause:
In case of death of subscriber, the monthly pension is paid to the spouse of the subscriber& the on the death of both of them (the subscriber & the spouse), the pension wealth accumulated till age 60 of the subscriber would be returned to the nominee.
Death of subscriber before 60 years of age:
The entire accumulated corpus under APY will be returned to the spouse/ nominee. However, pension shall not be payable to the spouse/ nominee.
PREMATURE CLOSURE OF APY Account
For premature closure of APY Account, a request is to be made to APY Account maintaining bank branch.
A small penalty is charged for the premature closure of APY Account and subscriber receives invested amount plus interest earned till date.
Indicative APY Contribution Chart (Age wise)
Age of Entry
|
Years of Contribution
|
Monthly pension of Rs. 1000.
|
Monthly pension of Rs. 2000.
|
Monthly pension of Rs. 3000.
|
Monthly pension of Rs. 4000.
|
Monthly pension of Rs. 5000.
|
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
|
COMMENTS