All You Need To Know About Atal Pension Scheme

Atal Pension Yojana (APY) is a government-run pension scheme focused on unorganised sector workers. Launched in 2015, Atal Pension Yojana or APY admits individuals in the age group of 18-40 years to contribute Rs. 42-1,454 a month till they attain the age of 60, and ensures a fixed minimum monthly
pension of Rs. 1,000-Rs. 5,000 for them subsequently, according to regulator Pension Fund Regulatory and Development Authority (PFRDA)'s website - pfrda.org.in. (Also read: Key things to know about new pension scheme for unorganised workers)

Here's how much one needs to contribute in the Atal pension scheme to earn the desired fixed income after retirement:

Atal Pension Yojana (APY) indicative contribution chart

Age of entry	Years of contribution	Monthly pension of Rs.1,000	Monthly pension of Rs.2,000	Monthly pension of Rs.3,000	Monthly pension of Rs.4,000	Monthly pension of Rs.5,000
18	42	42	84	126	168	210
19	41	46	92	138	183	228
20	40	50	100	150	198	248
21	39	54	108	162	215	269
22	38	59	117	177	234	292
23	37	64	127	192	254	318
24	36	70	139	208	277	346
25	35	76	151	226	301	376
26	34	82	164	246	327	409
27	33	90	178	268	356	446
28	32	97	194	292	388	485
29	31	106	212	318	423	529
30	30	116	231	347	462	577
31	29	126	252	379	504	630
32	28	138	276	414	551	689
33	27	151	302	453	602	752
34	26	165	330	495	659	824
35	25	181	362	543	722	902
36	24	198	396	594	792	990
37	23	218	436	654	870	1,087
38	22	240	480	720	957	1,196
39	21	264	528	792	1,054	1,318
40	20	291	582	873	1,164	1,454
(Source: nsdl.co.in)

Under the APY pension scheme, subscribers can earn a fixed pension of Rs. 1,000 per month, Rs. 2,000 per month, Rs. 3,000 per month, Rs. 4,000 per month or Rs. 5,000 per month after retirement. While the pension amounts are fixed in the Atal pension scheme, the amount of contribution required by a subscriber depends on the age of entry.

Subscription to the Atal Pension Yojana (APY) at an early age maximises the benefit of the scheme by minimising the investment required to reach the desired goal, say wealth planners.

Minimum investment required

One can invest in the Atal pension scheme through three modes of payment: monthly, quarterly and half-yearly. This means that the pension scheme requires the investor to make a minimum of two contributions every year. For instance, an investor subscribing for the Atal scheme at the age of 18 years is required to pay Rs. 42 per month to reach a pension goal of Rs. 1,000 per month.

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