Atal Pension Yojana: Retirement scheme for employees in unorganized sector

    The Govt. of India is extremely concerned about the old age income security of the working poor and is focused on encouraging and enabling them to join the National Pension System (NPS). To address the longevity risks among workers in the unorganized sector and to encourage them to voluntarily save for their retirement, the Govt. in Budget 2015-16 announced the introduction of a universal social security scheme 'Atal Pension Yojana' (APY) for its citizens. The APY will focus on all citizens in the unorganized sector, who join the National Pension System (NPS) administered by the Pension Fund Regulatory and Development Authority (PFRDA).
    Under the APY, the subscribers would receive fixed minimum pension of Rs. 1000 per month, Rs. 2000 per month, Rs. 3000 per month, Rs. 4000 per month, Rs. 5000 per month, at the age of 60 years, depending on their contributions, which itself would be based on the age of joining the APY. The minimum age of joining APY is 18 years and maximum age is 40 years. The age of exit and start of pension would be 60 years. Therefore, minimum period of contribution by any subscriber under APY would be 20 years or more. The benefit of fixed minimum pension would be guaranteed by the Government.
    APY is open to all bank account holders with auto debit facility to accounts, leading to reduction in contribution collection charges. The subscribers should keep the required balance in their savings bank accounts on the stipulated due dates to avoid any late payment penalty. Due dates for monthly contribution payment is arrived based on the deposit of first contribution amount. In case of repeated defaults for specified period, the account is liable for foreclosure and the GoI co-contributions, if any shall be forfeited. Also any false declaration about his/her eligibility for benefits under this scheme for whatsoever reason, the entire Govt. contribution shall be forfeited along with the penal interest. For enrolment, Aadhaar would be the primary KYC document for identification of beneficiaries, spouse and nominees to avoid pension rights and entitlement related disputes in the long-term.
    The subscribers are required to opt for a monthly pension from Rs.1000 to Rs.5000 and ensure payment of stipulated monthly contribution regularly. For more details and enrolment under the scheme, eligible customers may contact nearest Bank Branch or Toll Free No. 18003454545, a press release from Deputy Secretary (Finance-1) said.