Atal Pension Yojana Calculator

Atal Pension Yojana Scheme Calculator

The Atal Pension Yojana (APY) is an all-inclusive social security programme set up by the Indian government to ensure the financial stability of its residents as they age. This programme tries to motivate employees in unorganised sectors to set aside money for retirement.

We use an Atal Pension Yojana Calculator to calculate how much you need to contribute per month to get the desired interest rate. But before we discuss how to use Atal Pension Yojana Calculator, let us discuss some basics of these schemes-.

What is Atal Pension Yojana?

A National Pension Scheme (NPS) called the Atal Pension Yojana was unveiled in the Union Budget for 2015–2016. This pension’s target audience is people who work in the unorganised sector. Those who work in the private sector without access to pension benefits are also eligible. .

Atal Pension Yojana Eligibility

Following are the criteria to be eligible for the Atal Pension Yojana benefits: .

• Must be an Indian citizen.
• Between the ages of 18 and 40.
• Should put in at least 20 years' contributions
• To link your bank account to your Aadhar.
• A working mobile phone number

The Swavalamban Yojana beneficiaries will be moved automatically to the Atal Pension Yojana. .

How can one apply for APY?

For applying to Atal Pension Yojana, you need to visit your bank branch/post office and submit the following documents: .

• Filled out the APY application form; and
• Aadhaar card.

One can also apply for the Atal Pension Yojna scheme online through the net banking facility. After KYC (Know Your Customer) verification, the bank will enrol you in the APY scheme. .

You will be required to choose a monthly pension amount between Rs. 1000 - Rs. 5000. One should ensure a sufficient balance in their bank account to pay the required monthly contribution. You can use the Atal Pension Yojana calculator to estimate this amount. .

After understanding the basics of this scheme, let us discuss how to calculate how much pension we will receive every month: .

APY Formula

The formula is as follows-.

APY= (1+ Interest Rate/No. of times Interest is Compounded in a Year) No. of times Interest is Compounded in a Year – 1.

Is this formula looking like a Greek to you? Well, don't worry about this; we have Elearnmarkets Atal Pension Yojana Calculator Online. .

Atal Pension Yojana Calculator Online

You can calculate your pension received from this scheme easily by just inputting two values-.

• Desired Monthly Pension after Retirement
• Age should be between 18 to 39- when you want to start investing

By entering these two values, you will get to know how much you need to contribute per month, as shown below:

Now that we know what Atal Pension Yojana is, how it works and how to use the Atal Pension Yojana Calculator Online, let us discuss some FAQs about the same: .

How do I calculate my APY pension?

An individual employee has the option to receive a pension of Rs. 1,000, 2,000, 4,000, or 5,000 at age 60. This pension is based on their contribution to the plan and the age at which they begin making contributions. .

What is the 8.5 lakhs Atal Pension Yojana?

For a monthly pension of 5,000, use the Atal Pension Yojana Calculator Chart. If you choose a 5,000 pension plan, your monthly contribution would likely be between 210 and 1,454. It is anticipated that the candidate will receive 8.5 lakhs. .

Which is better Atal pension or NPS?

The minimum age to participate in the Atal Pension Yojana is 18, while the maximum age is merely 40. Both NRIs and Indian citizens are welcome to invest in the NPS programme. Although the NPS does not ensure a pension after retirement. After retirement, the Atal Pension Yojana offers you a guaranteed pension>.

Is Atal pension Scheme good?

One of the most advantageous social security programmes the government established in 2015–16 is the Atal Pension Yojana. In accordance with the programme, individuals can contribute to their Atal Income Yojana account up until the age of 60 and receive a monthly pension>.

Difference between APY and NPS

Atal Pension Yojana (APY) and the National Pension System (NPS) are two different retirement savings schemes by the Government of India.

Here is some key differences:

APY is applicable for only Indian Citizens. NPS is applicable for Indian Citizens and as well as for NRI (Non Resident Indians) The Atal Pension Yojana gives a guaranteed pension after retirement. Whereas NPS does not guarantee the pension post-retirement. The Age Limit for NPS is 18-55 years and for APY 18-40 years Under the Atal Pension Yojana Scheme, an individual can hold just one account in his name. But, for NPS, an investor is allowed two kinds of accounts, Tier I & Tier II account

What happens after death in the Atal Pension Yojana?

On the Atal Pension Yojana subscriber's death, the spouse (the default nominee) will get the monthly pension. At the passing of both, the nominee will be eligible for the return of pension wealth earned up to the subscriber turned 60.

But if the APY subscriber dies before reaching 60, the spouse may choose to continue to the subscriber's APY account, which will be held in the spouse's name until the original subscriber would have reached 60.

How can I receive a pension of ₹5000 per month?

If a subscriber starts investing in APY from the age of 18, he/she needs to pay ₹210/- month for 42 years (till the subscriber turns 60 years old) to get a monthly pension of ₹5000 after retirement.

But if the subscriber chooses to join the scheme at the age of 35, then he/she will have to contribute ₹902 monthly, for 25 years (till the subscriber turns 60 years old) to get ₹ 5,000 monthly pension after retirement. One can calculate the amount through an APY calculator.

How much amount is provided in the Atal Pension Yojana?

Under the scheme of Atal Pension Yojana, a minimum monthly pension between ₹1000 to ₹5000 is guaranteed for the beneficiaries. APY subscribers can have a monthly pension which could range between 1000, 2000, 3000, 4000 or 5000 rupees. The pension will start after the age of 60 years. The amount of pension one receives is directly related to the age from which an individual has joined APY and the monthly amount which the subscriber contributed throughout the years.