Government-backed pension scheme Atal Pension Yojana (APY) focuses to provide pension benefits to the unorganised sector. With guaranteed pension benefits during retirement, the subscriber has the option of selecting the contribution amount because it will affect the amount of returns it'll receive. The subscriber receives a pension amount ranging from Rs. 1000 to Rs. 5000 per month when it turns 60 years of age. However, if the actual returns on the contributions made are higher, then a higher amount of monthly pension may be received by the subscriber.
In 2016, enrollment into the Swavalamban Yojana scheme was put on halt because in 2015, the scheme was replaced by Atal Pension Yojana (APY), providing better social security benefits. Thus, the existing subscribers of Swavalamban Yojana will automatically be transferred to the APY Scheme by the PFRDA. Now the subscribers belonging to the unorganised sector can continue to contribute to the APY. The Government of India co-contribution will only be available for those who're below the income tax threshold and are not beneficiaries of any other social security schemes.
Some key facts are described below:
Subscribers in the age group of 18-40
Subscribers above 40 years of age
Subscribers who don't desire to continue under the Scheme may opt-out by complete withdrawal of the entire amount in a lump sum, or may prefer to continue till the age of 60 years, to be eligible for annuities.