Atal Pension Yojana
Guaranteed pension for a secure retirement — accessible to all.
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What is Atal Pension Yojana?
Atal Pension Yojana (APY) is a government-backed pension scheme administered by the Pension Fund Regulatory and Development Authority (PFRDA) and launched under the Pradhan Mantri Jan Dhan Yojana umbrella. It is one of the simplest and most accessible pension products in India — designed primarily for workers in the unorganised sector, but open to any Indian citizen between 18 and 40 years of age with a savings bank account who is not a taxpayer. APY guarantees a fixed monthly pension of ₹1,000, ₹2,000, ₹3,000, ₹4,000, or ₹5,000 at the age of 60, depending on the contribution amount and the subscriber's age at enrollment. The government of India co-contributes 50% of the subscriber's annual contribution or ₹1,000 per year (whichever is lower) for eligible subscribers who enrolled before March 2016. While APY's pension amounts are modest, it serves as an important guaranteed income floor for unorganised sector workers, gig economy workers, domestic help, and small business owners across India who have no other pension provision. At Right Assets Management, we help eligible individuals enroll in APY, choose the right pension tier, and understand the scheme's nomination and exit rules.
Who Is This For?
- Workers across India's unorganised sector — domestic help, drivers, retail workers — who have no other pension provision
- Gig economy workers, freelancers, and delivery partners who need a basic guaranteed retirement income
- Small business owners and self-employed professionals below 40 wanting a low-cost, guaranteed pension add-on
- Young individuals (18–25 years) who can enroll at minimal contribution levels and secure maximum pension at 60
- Spouses of employed individuals wanting their own independent pension entitlement through a separate APY account
- Individuals who have previously not had access to any formal retirement saving mechanism
How We Help — Step by Step
Eligibility Check
We confirm your eligibility — Indian citizen, age 18–40, active savings bank account, and income taxpayer status (income tax payers are not eligible for APY as of October 2022).
Pension Amount Selection
We help you choose the right monthly pension amount (₹1,000–₹5,000) and show you the monthly contribution required based on your current age and chosen pension level.
Bank Enrollment Guidance
We guide you through the APY enrollment process at your bank — available at any nationalised or private bank offering APY (most do), or through the APY mobile app.
Form Completion
We assist with accurately filling the APY subscription form, including nominee details, bank account linkage, and contribution frequency (monthly, quarterly, or half-yearly).
Auto-Debit Setup
We ensure your auto-debit is set up correctly and that you maintain sufficient balance on the contribution due date to avoid account penalty charges for failed debits.
Nominee & Family Benefit Explanation
We explain the spousal and nominee benefits — in case of the subscriber's death before 60, the spouse can continue the account; in case of both deaths, nominees receive the entire pension corpus.
Integration with Financial Plan
We help you understand APY's role as a guaranteed income base alongside other retirement instruments and advise on additional savings needed to meet your retirement income goals.
Why Choose Right Assets for Atal Pension Yojana?
- Receive a guaranteed monthly pension of ₹1,000–₹5,000 for life from age 60 — backed by the Government of India
- Make affordable monthly contributions starting from as low as ₹42 per month for a ₹1,000 pension if enrolled at age 18
- Protect your spouse — APY provides the same pension amount to your spouse in case of your death
- Ensure your nominee receives the full accumulated pension corpus if both you and your spouse pass away before 60
- Benefit from PFRDA regulation and government backing — there is no market risk on the guaranteed pension amount
- Enroll through your existing bank account — no separate institution or complex process required
- Increase your pension tier later — APY allows subscribers to increase their pension amount once a year
Documents Required
Frequently Asked Questions
Who is eligible to enroll in Atal Pension Yojana?
APY is open to Indian citizens between 18 and 40 years of age who have a savings bank account. As of October 2022, income taxpayers are not eligible to enroll in APY. The scheme targets unorganised sector workers, gig economy workers, and others without formal pension coverage. Those already enrolled before the October 2022 notification are not affected.
What pension amounts are available under APY and what do they cost?
APY offers five pension tiers: ₹1,000, ₹2,000, ₹3,000, ₹4,000, and ₹5,000 per month. The monthly contribution required varies by age and tier — for example, enrolling at 18 for a ₹5,000 pension requires approximately ₹210 per month, while the same pension at age 35 requires ₹902 per month. Enrolling young makes APY very cost-effective.
What happens to APY if the subscriber dies before age 60?
If the subscriber dies before 60, the spouse can choose to continue the APY account and receive the pension from age 60, or exit the scheme and receive the accumulated corpus. If the spouse also passes away, the entire accumulated pension corpus (the pension wealth) is returned to the nominee.
Can I exit APY before age 60?
Voluntary exit before age 60 is allowed in exceptional circumstances — primarily if the subscriber is suffering from a terminal illness. In voluntary exit, the subscriber receives their own contributions plus the returns earned, after deducting government administrative charges. The government co-contribution (if any) and returns on it are not returned on voluntary exit.
Is APY sufficient as a standalone retirement plan?
APY provides a modest guaranteed pension floor of ₹1,000–₹5,000 per month. For most India residents, this alone would not cover living expenses in retirement. We recommend APY as one layer of a retirement plan — providing a guaranteed base — supplemented by NPS, PPF, mutual funds, or other savings instruments to achieve your full retirement income goal.
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