Atal Pension Yojana

Objectives of the Scheme

Salient features of the Scheme

• To advance universal social security, with special focus on the poor, underprivileged, and workers in the unorganised sector.
• To ensure income security in old age, thereby reducing vulnerability and old-age poverty.
• To promote voluntary retirement savings through defined pension benefits calibrated to age of entry and contribution levels.

• Ministry: Union Ministry of Finance
• Launched in: 2015
• Implementing agency: Pension Fund Regulatory and Development Authority (PFRDA) under the National Pension System (NPS). 
• Type: Central Sector Scheme
• Eligibility: 
  • APY is open to all bank account holders in the age group of 18 to 40 years who are not income tax payers. 
  • All eligible family members can join scheme. 
• Benefits: 
  • Guaranteed Monthly Pension: Lifelong pension between ₹1,000 to ₹5,000 from age 60 until death. 
  • Family Pension Provision: In case of death of subscriber, spouse receives the pension; nominee gets corpus. 
  • Premature death of the subscriber (before 60 years of age): Spouse can continue contribution to APY account. 
  • Tax Benefits: Contributions to APY are eligible for tax benefits similar to National Pension System (NPS) under section 80CCD (1).
• Payment: Subscribers can make contributions to APY on monthly/ quarterly/ half-yearly basis. Depending upon the intended/desired monthly pension and the age of subscriber at entry. 
• Exit and Withdrawal Options 
  • Exit at age 60: Full pension begins. 
  • Exit before age 60: Permitted only in cases of death or terminal illness. 
  • Voluntary Exit: Allowed, but the subscriber only receives the contribution made (with interest) and government co-contribution (if any) is forfeited. 
• Government Co-contribution (for Early Joiners): For eligible subscribers who joined between 1 June 2015 and 31 March 2016 (The scheme is continued but without Government Co-contribution). 
  • The government co-contributed 50% of the total contribution or ₹1,000 per annum (whichever is lower) for 5 years. 
  • This applied only to subscribers not covered under any statutory social security scheme and not income taxpayers at the time.
• Implementation Strategy (Extended up to 2030–31):
  • Promotional and Developmental activities to expand outreach among unorganised workers, including awareness and capacity building. 
  • Gap funding to meet viability requirements and ensure sustainability of the scheme.
• Progress: As of 19^th January, 2026, over 8.66 crore subscribers have been enrolled, making APY a cornerstone of India's inclusive social security framework.