Know the details of this government program
Atal Pension Yojana: The Ministry of Finance recently notified that up to 65 lakh registrations have been made under the government’s Atal Yojana pension in this fiscal year so far. That brought the total number of pension plan registrations to 3.68 crore over the past six and a half years, the government added. Giving the news, the Pension Regulatory and Development Authority (PFRDA) expressed hope that this year’s number will cross the crore mark if people continue to enroll in the plan at this rate by March 31. Atal Pension Yojana, or APY, is a public social security scheme for seniors.
Atal Pension Yojana, the flagship social security scheme of the Indian government, was launched on May 9, 2015 to provide old age income security, especially to citizens of unorganized sectors. It grants a pension of Rs 1,000 to Rs 5,000 to subscribers, when they reach the retirement age of 60, depending on the proportion of contributions paid by them.
âAtal Pension Yojana (APY) has had a substantial six-and-a-half-year journey since its inception with 3.68 crore registrations. The performance during this fiscal year has been good, with more than 65 lakhs of subscribers registered, which is the highest number on record in the same period since the launch of the program, “the government said in a statement. press release Wednesday.
PFRDA President Supratim Bandyopadhyay said: âIn addition to reaching a crore enrollment in the current fiscal year, our task is to achieve saturation of pensions in the country and we will undertake in continuous proactive initiatives to achieve this. “
“This feat of bringing the most vulnerable segments of society under pension coverage has only been possible with the tireless efforts of public and private banks, regional rural banks, payment banks, small financial banks. , cooperative banks, the Post Office and the support provided by state-level bankers’ committees, âhe also said.
What are the main characteristics of Atal Pension Yojana (APY)?
Atal Pension Yojana has become more and more popular among the masses years after its launch in May 2015. The main features of Atal Pension Yojana are:
a) Anyone between the ages of 18 and 40 can join this scheme to receive benefits after retirement age. A guaranteed pension of up to Rs 5,000 per month will be provided by the government, based on the subscriber’s contributions made over the years. The system is open to all holders of a bank account.
b) The monthly pension of Rs 1,000 to Rs 5,000 would be available to the subscriber until he is alive. After his death, the annuity will go to his spouse and after his death, the pension corpus, as it was accumulated at the subscriber’s age of 60, would be returned to the subscriber’s nominee.
c) Contributions paid under this scheme enjoy the same benefits as are obtained under the National Pension Scheme (NPS). The contributions you make under this Atal Pension Yojana scheme may benefit from tax advantages under Article 80CCD (1B) of the Income Tax Act.
d) The minimum pension would be guaranteed by the government. This means that if the corpus accumulated on the basis of contributions generates a return on investment lower than that estimated and is insufficient to provide the guaranteed minimum pension, the central government would finance this insufficiency. Alternatively, if the returns on investment are higher, policyholders would get improved retirement benefits.
e) Subscribers may voluntarily leave Atal Pension Yojana under certain conditions, after deduction of the government co-contribution and the yield or interest thereon.
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