Atal pension Yojana

Atal pension Yojana (APY)

A great number of people in India, especially the working poor, are not secure in terms of income in their old age. In a move to aid these people for a stable source of income after their retirement, the government of India initiated the Atal Pension Yojana. This Yojana encourages the workers in the unorganized sector to save voluntarily for their retirement. So with the help of this new scheme, employees of the private sector and unorganized sector can now hope to receive a fixed amount of money every month after retiring from work at 60 years. However, the amount to be received varies as per the amount of contribution made by the account holder and also the age of joining the scheme.

Atal pension Yojana

This new scheme was first announced in the 2015-16 budget and it targets everyone in the unorganized sector. The scheme is controlled by Pension Fund Regulatory and Development Authority.


With the Atal Pension Yojana, the government guarantees a monthly pension to every subscriber. Besides, the co-contribution of a certain amount is made by the government to add to the sum contributed by the account holder and this is another significant highlight of the scheme. However, there are few clause associated with it.


Every citizen of India between the age group of 18-40 years is applicable for Atal Pension Yojana. However, to avail the facilities of this scheme, one must possess a KYC complaint bank account. So non account holders need to open a savings bank account to avails this scheme. In addition, the interested applicant should also possess a mobile number and he/she needs to furnish its details at the bank while registering for the account.

Penalty for default

The Atal Pension Yojana seeks every subscriber to pay their contribution on monthly basis. In case of delayed payments, banks are entitled to collect additional amount depending on their contributed amount, which can range from Re.1 to Rs. 10 per month.

However, in case of discontinuation of payments by subscriber, the account gets frozen after 6 months and closed after 12 months.

Different Plans 

The Atal Pension Scheme has five plans in total and as per your feasibility and requirement, you can choose the particular plan you want. You need to pay your contributions depending on your choice of plan and will receive the pension money as per the amount contributed.


The best benefit of this Yojana is that it allows fixed pension for the subscribers ranging between Rs. 1000 to Rs. 5000. However the amount contributed varies depending on the age at which the subscriber joins the account. This Scheme ensures that every aged Indian citizen can live self-sufficiently during their old-age.

With Atal Pension Yojana, the Government of India wants to cover every Indian citizen with financial security during their old age, especially the poor people. With this scheme, they can get a secured monthly income to survive self-sufficiently after turning 60 years of age. 


The Atal Pension Yojana along with the Pradhan Mantri Jeevan Jyoti Bima Yojana and the Pradhan Mantri Suraksha Bima Yojana are some of the schemes initiated by the government of India in 2015 and they all aims at securing and safeguarding common people. By means of these schemes poor people can now think of having a life insurance, accident insurance, as well as old age insurance in the form of pension. With all these tools, even the poor can think of leading a secured life.

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