Atal Pension Yojana (APY Scheme): Application Form, Benefits, Eligibility, Age Limit

In recent government, Modi Government came up with several schemes which were to help the people in planning their financial in a better way. Atal Pension Yojana was one such scheme that was launched by the government and this scheme was launched to target the people who work in unorganized sectors or rural areas. The main idea behind this scheme was to provide the pension to each and every citizen of India.

In this article, we have listed all the information about Atal Pension Yojana including the Benefits, Eligibility, Age Limit and the procedure to apply for the scheme

Atal Pension Yojana

Eligibility Criteria for Atal Pension Yojana

  • Age Limit – The minimum age of the person to enter into this scheme is 18 years and the maximum age of the applicant can’t exceed 40 years.
  • Nationality – The scheme is only applicable for the Indian Citizen only.
  • Income Tax – If you have a taxable income then you are not eligible to apply for Atal Pension Yojana.
  • Bank Account – You must also have a KYC Compliant bank account to apply for Atal Pension Yojana.

Rules for Atal Pension Yojana

  • Pension – Just like other pension schemes, the pension amount that you receive in this scheme is dependent on the contribution that you make in the initial years.
  • Contribution from Government – This was only applicable for the people who applied for the scheme before 31 March 2016. As per the information, the government had to contribute Rs 1000 for the first 5 years if you applied before the given date. The condition linked to this was that your contribution should be Rs 2000 per year.
  • Ineligibility – If you are a government servant or if you already have an EPF or EPS account then you are not eligible to avail the benefits of the scheme.
  • Other Scheme– If the person is availing the benefits of any other social security scheme launched by the government then the person won’t be able to apply for Atal Pension Yojana
  • Pension Payment – The pension payment starts when you are 60 years old. The time since the start of policy to the time till the pension payment starts is known as the vested period.
  • Premium Payment – There are different ways to pay the premium. You can choose monthly contribution, quarterly contribution and even semi-annual contribution. The amount of contribution is dependent on the pension that you want and your present age. Below is the table to show you the amount of premium that you will have to pay for getting Rs 1000 pension after maturity.
Age of Entry (In Years) Vested Period (In Years) Monthly Contribution (Rs.) Quarterly Contribution (Rs.) Annual Contribution (Rs.)
18 42 42 125 248
19 41 46 137 271
20 40 50 149 295
21 39 54 161 319
22 38 59 176 348
23 37 64 191 378
24 36 70 209 413
25 35 76 226 449
26 34 82 244 484
27 33 90 268 531
28 32 97 289 572
29 31 106 316 626
30 30 116 346 685
31 29 126 376 744
32 28 138 411 814
33 27 151 450 891
34 26 165 492 974
35 25 181 539 1068
36 24 198 590 1169
37 23 218 650 1287
38 22 240 715 1416
39 21 264 787 1558
40 20 291 876 1717
  • Pension Receiver – The applicant can choose to get a pension amount as per his will. The premium will increase as per the pension amount choose. In addition to this, the applicant will get a pension till he is alive. Also, in case of the death of the applicant, the spouse of the applicant will continue to get the pension. As per the information available, the nominee will receive the funds after the death of the applicant and his spouse.

Authorized Banks for Atal Pension Yojana

All the nationalized and regional banks are authorized to take enrolments for Atal Pension Yojana. For more information, you can reach out to your bank.

Forms for Atal Pension Yojana

Forms for Atal Pension Yojana are available online and at the banks. You can visit the bank’s website to download the form and if your bank doesn’t offer the form online then you can visit the branch to get the form.

How to Apply for Atal Pension Yojana?

To apply for the Atal Pension Yojana, follow the process listed below

  • You need to visit your bank to apply for Atal Pension Yojana and from the bank, obtain the form to apply for the scheme.
  • Once you get the form, fill in the details and submit the form back to the bank. You need to share the details of your deductions in this form.
  • Once the form is submitted, it will be verified and the account will be registered. You will get a policy number as well. Remember to declare a nominee in the form.

Tax Benefits for Atal Pension Yojana

The scheme also offers tax benefits and the contribution made for Atal Pension Yojana are tax deductible under section 80 CCD. In addition to this, you can claim a tax deduction of up to Rs 50,000 under this.

Conclusion

This is surely a great scheme for the people who wish to secure their retirement. In addition to this, you can now even approach the bank for the closure of the scheme even before you reach retirement age (in certain cases like terminal illness).

This announcement had a great advantage as more people came forward to avail the benefits of the scheme. We would suggest you to visit your bank today and apply for Atal Pension Yojana.


Reply