Atal Pension Yojana (APY) is a government-backed pension scheme in India, primarily targeting the unorganized sector. It aims to provide old-age income security to subscribers.
Key Features of APY:
- Guaranteed pension: Subscribers are guaranteed a minimum pension of Rs 1,000, 2,000, 3,000, 4,000, or 5,000 per month after the age of 60 years, depending on their contributions.
- Eligibility: Any Indian citizen between the ages of 18 and 40 can join APY.
- Contribution: Subscribers make regular contributions to the scheme. Government co-contribution: The government makes an equal contribution to eligible subscribers.
- Risk-free: The risk of investing in this scheme is minimal.
Benefits of APY:
- Old age income security: Provides regular income after retirement. Government backing: Ensures the safety of investments.
- Affordable contributions: The plan is designed to be affordable for low-income people.
- Tax benefits: Contributions to APY may be eligible for tax benefits under certain conditions.
