Atal pension Yojana: The government has recently announced the Unified Pension Scheme (UPS) for central employees. This scheme will benefit over 20 lakhs employees of the central government. If the state governments implement this scheme, then this number can increase to one crore. Do you know what is the number of people taking advantage of the government’s pension scheme for people working in the unorganized sector? 5.6 crores of people were taking advantage of the government’s Atal Pension Yojana (APY) in March this year. Let us know about this scheme in detail.
What is the age limit for investment?
Atal Pension Yojana (APY) was started in 2015. People working in the unorganized sector can take advantage of this pension scheme. In this scheme, the customer has to invest a small amount every month. After retirement, he gets pension every month. In this scheme, pension is guaranteed by the government. A person between the age of 18 to 40 years can avail the benefits of this scheme. People who pay income tax cannot avail this scheme.
How much pension will be received after retirement?
During the scheme, the subscriber can deposit his money every month, every quarter or every six months. He has to deposit this money till the age of 60. After the age of 60, he will get a pension of Rs 1,000 to Rs 5,000 every month. This amount will depend on the contribution to the scheme. A person of 18 years can avail this scheme by contributing only Rs 42 per month. He will get a pension of Rs 1000 every month after the age of 60. A 40-year-old person can get a pension of Rs 5000 every month after the age of 60 by depositing Rs 1,454 every month.
What will happen after the death of the beneficiaries?
If a person deposits Rs 210 every month in this scheme at the age of 18, then when he turns 60, he will get a pension of Rs 5,000 every month. After the death of the subscriber, his wife/husband will continue to get the same pension which the subscriber used to get earlier. Later, the entire amount deposited in the scheme i.e. lump sum amount is given to the nominee of the subscriber.
Who manages the subscriber’s money?
The premium amount received from the subscriber of Atal Pension Yojana is managed by three retirement fund managers. These include LIC Pension Fund, SBI Pension Fund and UTI Pension Fund. Each manager manages a conservative hybrid portfolio. He can invest 15 per cent of the portfolio in shares. The rest of the money is invested in debt and money market instruments. There is a list of top 200 companies for investment in equity. In July this year, all three fund managers were managing about Rs 39,000 crore under the Atal Pension Yojana.
Where can an account be opened in this scheme?
Investment in this scheme can be done online or offline. This scheme is available in government banks, large private banks and post offices. Anyone can open an APY account through the eNPS portal. ‘APY and NPS Lite’ are mobile apps through which investors can check their balance and transactions.