Fight Against Coronavirus   1. Wash Your Hands Frequently   2. Maintain Social Distancing   3. Avoid Touching Eyes, Nose and Mouth   4. Practice Respiratory Hygiene   5. Stay Informed and Follow Advice given by Your Healthcare Provider   6. If You have Fever, Cough and Difficulty Breathing, seek Medical Care Early             Dial National Helpline Number +91-11-23978046 or 1075

How to Apply for Atal Pension Yojana (APY)?
By Anupama Deshpande | June 06, 2018


Snapshot of Atal Pension Yojana (APY) : Guaranteed Pension Scheme

PointDetails
What is Atal Pension Yojana (APY)?APY is a government-run pension scheme mainly focused on unorganised sector employees
When was APY launched?APY was launched on May 9, 2015
Who can invest under APY?Any Indian all citizens between 18 and 40 years of age can invest under APY
What is the minimum period of contribution under APY?20 years
Mode of Contribution Monthly, quarterly and half-yearly
What is the Pension Amount under APY?Guaranteed minimum pension of Rs.1,000, Rs. 2,000, Rs. 3,000, Rs. 4,000 or Rs.5,000 per month
What is the Tax Benefit available under APY?Tax benefit are available to the subscriber under Section 80CCD (1B) of the Income Tax Act towards the contributions made (maximum Rs 50,000 per year)
Where to apply for APY?One can apply at any of the banks
Who is the administrator of APY? Pension Fund Regulatory and Development Authority (PFRDA) is the administrator of APY
Does government also make its contribution to APY?Yes, the government also co-contributes 50% of the total contribution or Rs. 1,000 per year, whichever is lower, for a period of 5 years

Suggested reading How to Form an HUF in 5 Easy Steps?

Details about Atal Pension Yojana (APY)

Atal Pension Yojana (APY), launched in May 2015, is a government-run guaranteed pension scheme to provide the security of a pension for people in the unorganised sector such as personal drivers, personal maids, gardeners, etc.

Atal Pension Yojana is open for any citizen in India who is either working in unorganized sector or not working at all.

Suggested reading How to Make Online Payment to Your PPF Account?

Benefits of Atal Pension Yojana (APY)

  • APY offers guaranteed pension in the range of Rs 1000 to Rs 5000 per month
  • APY is a government run scheme
  • Tax benefit are available to the subscriber under Section 80CCD (1B) of the Income Tax Act towards the contributions made (maximum Rs 50,000 per year)
  • Under APY, the government also co-contributes 50% of the total contribution or Rs. 1,000 per year, whichever is lower, for a period of 5 years
  • It encourages the habit of saving among the lower middle and poor class of the society
  • In case of death of the subscriber, pension would be available to the spouse
  • In case of death of the subscriber & the spouse both, then the pension corpus would be returned to the nominee

Suggested reading How to Open an NPS Account Online?

Eligibility Criteria of Atal Pension Yojana (APY)

  • Applicant should be an Indian citizen
  • Applicant's age should be between 18 and 40 years
  • Applicant must have a savings bank account
  • Applicant must be KYC compliant
  • Applicant should not have a pre-existing APY Account

Suggested reading How to Open Senior Citizen Savings Scheme (SCSS) Account?

Documents Required for Atal Pension Yojana (APY)

  • Proof of Identity
  • Proof of Address
  • Coloured Photograph
  • Proof of Date of Birth
  • Savings bank account number with branch name and bank name

Suggested reading How to Link Aadhaar to Insurance Policy?

How to Apply for Atal Pension Yojana (APY)?

If you want for apply for Atal Pension Yojana (APY), you need to follow below mentioned step by step process:

  1. Visit any bank or post office
  2. Obtain and fill the APY registration form
  3. Mention the name of nominee
  4. To mention a mobile number is mandatory in the application form in order to get SMS alerts and information about the APY account
  5. Attach Proof of identity, proof of address, photo, document having date of birth, a savings bank account number with branch name and bank name, etc.
  6. Submit the form with all the documents with the bank
  7. After this, the bank/ post office will verify the form and the documents and if all the formalities are complete, the bank/post office will process your application and open your APY Account
  8. The contribution to the pension scheme will be automatically debited from the user's bank account every month till he attains the age of 60 years

Suggested reading Reasons Why Should You Have a Financial Plan

Freezing, Deactivation & Closing of Atal Pension Yojana (APY) Account

  • Account will be frozen: If the account does not receive payments for 6 months in continuation
  • Account will be deactivated: If the account does not receive any premium for 12 months
  • Account will be closed: If the premium is not paid for 24 months in continuation

Suggested reading Smart Things to Know About Section 80D of Income Tax Act

Important Points regarding Atal Pension Yojana (APY)

  • Atal Pension Yojana's subscriber base stood at 97.05 lakh at the end of fiscal year 2017-18
  • PFRDA allows premature exit (i.e. before the subscriber attains the age of 60 years) only in exceptional circumstances i.e. in the event of the death or terminal disease
  • PFRDA has introduced an online registration facility through e-NPS or electronic-National Pension System channel. Those looking to subscribe to Atal Pension Scheme do not need to submit any physical documents under this process.
  • The age of exit and start of pension is 60 years under APY
  • National Toll-Free numbers for any query regarding Atal Pension Yojana (APY) are 1800-180-1111 & 1800-110-001

Suggested reading How to Make Online Payment to Your PPF Account?

Share This :
About Anupama Deshpande
Anupama is a Co-Founder of CodeForBanks.com. She is an MBA (Finance) and Chartered Financial Analyst (CFA). She also carries a Fellowship degree in Life Insurance Sector and is a Master of Computer Application (MCA). She is an expert in Finance Field with an experience of over 18 years on different managerial positions in finance industry including Stock Market, Depository and Mutual Fund Sectors. Apart from that she has remained for few years in the field of marketing as well. Her suggestions and advice for investments have been very useful to many people.
Her vast interest & expertise in the field of finance have encouraged her to write the articles so that others can also get benefitted out of them. She never loses any opportunity to learn and be creative. She is a valuable asset for CodeForBanks.com & important resource to all those around her.
ALL INDIA BANKS LIST
A B BANK LIMITED ABN AMRO Bank N V ABU DHABI COMMERCIAL BANK ALLAHABAD BANK
American Express Banking Corp ANDHRA BANK Antwerp Diamond Bank NV AU SMALL FINANCE BANK LIMITED
AXIS BANK B N P PARIBAS BANDHAN BANK LIMITED BANK OF AMERICA
BANK OF BAHARAIN AND KUWAIT BSC BANK OF BARODA BANK OF CEYLON BANK OF INDIA
BANK OF MAHARASHTRA BANK OF TOKYO MITSUBISHI LIMITED BARCLAYS BANK BHARATIYA MAHILA BANK LIMITED
Calyon Bank CANARA BANK CAPITAL SMALL FINANCE BANK LIMITED CATHOLIC SYRIAN BANK LIMITED
CENTRAL BANK OF INDIA CHINATRUST COMMERCIAL BANK LIMITED CITI BANK CITY UNION BANK LIMITED
CORPORATION BANK DBS Bank India Limited DCB BANK LIMITED DENA BANK
DEUSTCHE BANK DHANALAKSHMI BANK EQUITAS SMALL FINANCE BANK LIMITED ESAF SMALL FINANCE BANK LIMITED
EXPORT IMPORT BANK OF INDIA FEDERAL BANK FINCARE SMALL FINANCE BANK LTD HDFC BANK
HSBC BANK HSBC BANK OMAN SAOG ICICI BANK LIMITED IDBI BANK
IDFC First Bank INDIAN BANK INDIAN OVERSEAS BANK INDUSIND BANK
JAMMU AND KASHMIR BANK LIMITED JP MORGAN BANK JSC VTB BANK KARNATAKA BANK LIMITED
KARUR VYSYA BANK KOTAK MAHINDRA BANK LIMITED Krung Thai Bank Public Co. Ltd LAXMI VILAS BANK
MASHREQBANK PSC MIZUHO CORPORATE BANK LIMITED NORTH EAST SMALL FINANCE BANK LIMITED OMAN INTERNATIONAL BANK SAOG
ORIENTAL BANK OF COMMERCE PUNJAB AND SIND BANK PUNJAB NATIONAL BANK SBM BANK MAURITIUS LIMITED
SHINHAN BANK SOCIETE GENERALE SONALI BANK LTD SOUTH INDIAN BANK
STANDARD CHARTERED BANK STATE BANK OF BIKANER AND JAIPUR STATE BANK OF HYDERABAD STATE BANK OF INDIA
STATE BANK OF MYSORE STATE BANK OF PATIALA STATE BANK OF TRAVANCORE SURYODAY SMALL FINANCE BANK
SYNDICATE BANK TAMILNAD MERCANTILE BANK LIMITED THE BANK OF NOVA SCOTIA THE NAINITAL BANK LIMITED
UBS AG UCO Bank Ujjivan Small Finance Bank Limited UNION BANK OF INDIA
UNITED BANK OF INDIA UNITED OVERSEAS BANK LIMITED UTKARSH SMALL FINANCE BANK VIJAYA BANK
Woori Bank YES BANK ZILA SAHAKARI BANK LTD