Atal Pension Yojana Premium Plans
Atal Bihari Vajpayee is one of the most popular Prime Ministers of India. The existing government of India has launched a pension scheme for the weaker sections of society who are not able to access regular pension schemes due to the fact that they are working in unorganized segment of industries.
The scheme comes in continuation to the much popular scheme Jan Dhan Yojana and would work as a financial tool to secure those employed in rural and unorganized sectors. The aim of Atal Pension Yojana is to assure a definite pension to every Indian.
Just like any other pension scheme, the pensioner has to contribute towards the pension scheme with a fixed premium every year so that he/she gets a fixed amount per month after they retire. Atal Pension Yojana scheme is backed by Ministry of Finance, Central Government.
The premiums payable under Atal Pension Yojana are of different categories. The more a subscriber pays the premium, the more he/she becomes eligible for the amount of pension. The minimum and maximum pension a subscriber is entitled to receive are Rs 1,000 and Rs 5,000.
Mode of payment of Atal Pension Premium
The default and only mode of payment of premium under Atal Pension Scheme is through auto-debit facility from the Savings Account of the subscriber. The pension account, the saving account and aadhar number of the subscriber would be interlinked.
Atal Pension Yojana has just been launched this year and at the time of its launch the only mode of payment of premium was decided to be auto-debit from the subscriber’s account. The premium would be paid up to the age of 60 years of the subscriber and the maximum age till which an applicant can join the scheme is 40 years. Hence the minimum duration or contribution of premiums is at least 20 years.
Atal Pension Premium Amount for various pensions
Below mentioned chart would give you an idea about how the premium would vary as per the age of entry of the subscriber and the pension need he/she has after retirement.
Some of the key features of Atal Pension Yojana are as following:Key Features of Atal Pension Yojana
- Atal Pension Yojana is open for any citizen in India who is either working in unorganized sector or not working at all
- The monthly contribution for the pension scheme would be made through auto-debit and would be deducted from the subscriber’s Saving bank account.
- The guaranteed maximum pension after the subscriber attains an age of 60 years is Rs 5,000 with minimum being Rs 1,000.
- The pension would also be given to the nominee of the account holder in case the account holder is dead.
- The Government of India would contribute towards each pension account for the first 5 years with 50 per cent of the premium of the subscriber
- In case the account does not receive payments for 6 months in continuation, the account would be frozen; deactivate if the account does not receive any premium for 12 months and the account would be closed altogether if the premium is not paid for 24 months in continuation.
- There is also a late free if the premium is not paid on time. However the late fee is so nominal that the poorest of poor would be able to get their account reactivated, if they are deactivated.
Atal Pension Scheme is a noble scheme to uplift the financial status of the poor people in India. This way, the government of India would be able to bring those people under pension schemes who are not yet covered by any other agency, company or employer for a definite pension. This would go a long way in creating a financially stable and strong India.